As Reported by the Committee of Conference

125th General Assembly
Regular Session
2003-2004
Am. Sub. H. B. No. 95, Part II


Part II
55726

Part II of this act continues Part I.
55727

       Sec. 5101.83.  (A) As used in this section:55728

       (1) "Assistance group" has the same meaning as in sections55729
section 5107.02 and 5108.01 of the Revised Code, except that it 55730
also means a group provided benefits and services under the 55731
prevention, retention, and contingency program because the members 55732
of the group share a common need for benefits and services.55733

       (2) "Fraudulent assistance" means assistance and service,55734
including cash assistance, provided under the Ohio works first55735
program established under Chapter 5107., or benefits and services55736
provided under the prevention, retention, and contingency program55737
established under Chapter 5108. of the Revised Code, to or on55738
behalf of an assistance group that is provided as a result of55739
fraud by a member of the assistance group, including an55740
intentional violation of the program's requirements. "Fraudulent55741
assistance" does not include assistance or services to or on 55742
behalf of an assistance group that is provided as a result of an55743
error that is the fault of a county department of job and family55744
services or the state department of job and family services.55745

       (B) If a county director of job and family services55746
determines that an assistance group has received fraudulent55747
assistance, the assistance group is ineligible to participate in55748
the Ohio works first program or the prevention, retention, and55749
contingency program until a member of the assistance group repays55750
the cost of the fraudulent assistance. If a member repays the cost 55751
of the fraudulent assistance and the assistance group otherwise 55752
meets the eligibility requirements for the Ohio works first 55753
program or the prevention, retention, and contingency program, the55754
assistance group shall not be denied the opportunity to55755
participate in the program.55756

       This section does not limit the ability of a county55757
department of job and family services to recover erroneous55758
payments under section 5107.76 of the Revised Code.55759

       The state department of job and family services shall adopt55760
rules in accordance with Chapter 119. of the Revised Code to55761
implement this section.55762

       Sec. 5101.97.  (A)(1) Not later than the firstlast day of 55763
each July and January, the department of job and family services 55764
shall complete a report on the characteristics of the individuals 55765
who participate in or receive services through the programs 55766
operated by the department and the outcomes of the individuals' 55767
participation in or receipt of services through the programs. The 55768
reportreports shall be for the six-month periods ending on the 55769
last days of June and December and shall include information on55770
the following:55771

       (a) Work activities, developmental activities, and 55772
alternative work activities established under sections 5107.40 to 55773
5107.69 of the Revised Code;55774

       (b) Programs of publicly funded child day-care, as defined in 55775
section 5104.01 of the Revised Code;55776

       (c) Child support enforcement programs;55777

       (d) Births to recipients of the medical assistance program55778
established under Chapter 5111. of the Revised Code.55779

       (2) Not later than the first day of each July, the department 55780
shall complete a progress report on the partnership agreements 55781
between the director of job and family services and boards of55782
county commissioners under section 5101.21 of the Revised Code. 55783
The report shall include a review of whether the county family 55784
services agencies and workforce development agencies satisfied 55785
performance standards included in the agreements and whether the55786
department provided assistance, services, and technical support 55787
specified in the agreements to aid the agencies in meeting the 55788
performance standards.55789

       (3) The department shall submit the reports required under 55790
divisionsdivision (A)(1) and (2) of this section to the speaker 55791
and minority leader of the house of representatives, the president 55792
and minority leader of the senate, the legislative budget officer, 55793
the director of budget and management, and each board of county 55794
commissioners. The department shall provide copies of each report55795
the reports to any person or government entity on request.55796

       In designing the format for each reportthe reports, the 55797
department shall consult with individuals, organizations, and 55798
government entities interested in the programs operated by the 55799
department, so that the reports are designed to enable the general 55800
assembly and the public to evaluate the effectiveness of the 55801
programs and identify any needs that the programs are not meeting. 55802

       (B) Whenever the federal government requires that the 55803
department submit a report on a program that is operated by the 55804
department or is otherwise under the department's jurisdiction, 55805
the department shall prepare and submit the report in accordance 55806
with the federal requirements applicable to that report. To the 55807
extent possible, the department may coordinate the preparation and 55808
submission of a particular report with any other report, plan, or 55809
other document required to be submitted to the federal government, 55810
as well as with any report required to be submitted to the general55811
assembly. The reports required by the Personal Responsibility and55812
Work Opportunity Reconciliation Act of 1996 (P.L. 104-193) may be 55813
submitted as an annual summary.55814

       Sec. 5103.031.  (A) Except as provided in section 5103.033 of 55815
the Revised Code, the department of job and family services may55816
not issue a certificate under section 5103.03 of the Revised Code55817
to a foster home unless the foster caregiver successfully55818
completes the following amount of preplacement training through55819
the Ohio child welfare training program or a preplacement training55820
program operated under section 5103.034 or 5153.60 of the Revised55821
Code:55822

       (1) If the foster home is a family foster home, at least55823
twelve hours;55824

       (2) If the foster home is a specialized foster home, at least55825
thirty-six hours.55826

       (B) No child may be placed in a family foster home unless the55827
foster caregiver completes at least twelve additional hours of55828
preplacement training through the Ohio child welfare training55829
program or a preplacement training program operated under section55830
5103.034 or 5153.60 of the Revised Code.55831

       Sec. 5103.033.  The department of job and family services may55832
issue or renew a certificate under section 5103.03 of the Revised55833
Code to a foster home for the care of a child who is in the55834
custody of a public children services agency or private child55835
placing agency pursuant to an agreement entered into under section55836
5103.15 of the Revised Code regarding a child who was less than55837
six months of age on the date the agreement was executed if the55838
foster caregiver successfully completes the following amount of55839
training:55840

       (A) For an initial certificate, at least twelve hours of55841
preplacement training through the Ohio child welfare training55842
program or a preplacement training program operated under section55843
5103.034 or 5153.60 of the Revised Code;55844

       (B) For renewal of a certificate, at least twelve hours each55845
year of continuing training in accordance with the foster55846
caregiver's needs assessment and continuing training plan55847
developed and implemented under section 5103.035 of the Revised55848
Code.55849

       Sec. 5103.034. (A) A public children services agency, private 55850
child placing agency, or private noncustodial agency operating a 55851
preplacement training program or continuing training program 55852
approved by the department of job and family services under 55853
section 5103.038 of the Revised Code or the Ohio child welfare 55854
training program operating a preplacement training program or 55855
continuing training program pursuant to section 5153.60 of the 55856
Revised Code shall make the program available to foster 55857
caregivers. The agency or program shall make the programs 55858
available without regard to the type of recommending agency from 55859
which a foster caregiver seeks a recommendation and without charge 55860
to the foster caregiver.55861

       (B) A private child placing agency or private noncustodial 55862
agency operating a preplacement training program or continuing 55863
training program approved by the department of job and family 55864
services under section 5103.038 of the Revised Code may condition 55865
the enrollment of a foster caregiver in a program on either or 55866
both of the following:55867

        (1) Availability of space in the training program;55868

        (2) If applicable, payment of an instruction or registration 55869
fee, if any, by the foster caregiver's recommending agency.55870

        (C) The Ohio child welfare training program operating a 55871
preplacement training program or continuing training program 55872
pursuant to section 5153.60 of the Revised Code may condition the 55873
enrollment in a preplacement training program or continuing 55874
training program of a foster caregiver whose recommending agency 55875
is a private child placing agency or private noncustodial agency 55876
on either or both of the following:55877

        (1) Availability of space in the training program;55878

        (2) Assignment to the program by the foster caregiver's 55879
recommending agency of the allowance payable under section 55880
5103.0313 of the Revised Code.55881

       (D) A private child placing agency or private noncustodial 55882
agency may contract with an individual or a public or private 55883
entity to administer a preplacement training program or continuing 55884
training program operated by the agency and approved by the 55885
department of job and family services under section 5103.038 of 55886
the Revised Code.55887

       Sec. 5103.036.  For the purpose of determining whether a55888
foster caregiver has satisfied the requirement of section 5103.03155889
or 5103.032 of the Revised Code, a recommending agency shall55890
accept training obtained from the Ohio child welfare training55891
program or pursuant to a preplacement training program or55892
continuing training program operated under section 5103.034 or 55893
5153.60 of the Revised Code regardless of whether the program is 55894
operated by the recommending agency operated the preplacement55895
training program or continuing training program. The agency may 55896
require that the foster caregiver successfully complete additional 55897
training as a condition of the agency recommending that the 55898
department of job and family services certify or recertify the55899
foster caregiver's foster home under section 5103.03 of the55900
Revised Code.55901

       Sec. 5103.037.  The department of job and family services, in 55902
consultation with the departments of youth services, mental 55903
health, education, mental retardation and developmental 55904
disabilities, and alcohol and drug addiction services, shall 55905
develop a model design of a preplacement training program for55906
foster caregivers seeking an initial certificate under section55907
5103.03 of the Revised Code and a model design of a continuing 55908
training program for foster caregivers seeking renewal of a 55909
certificate under that section. The model design of a preplacement 55910
training program shall comply with section 5103.039 of the Revised 55911
Code. The model design of a continuing training program shall 55912
comply with section 5103.0310 of the Revised Code. The department 55913
of job and family services shall make the model designs available 55914
to public children services agenciesthe Ohio child welfare 55915
training program, private child placing agencies, and private 55916
noncustodial agencies.55917

       Sec. 5103.038.  (A) Every other year by a date specified in 55918
rules adopted under section 5103.0316 of the Revised Code, each55919
public children services agency, private child placing agency, and 55920
private noncustodial agency that seeks to operate a preplacement 55921
training program or continuing training program under section55922
5103.034 of the Revised Code shall submit to the department of job 55923
and family services a proposal outlining the program. The proposal 55924
may be the same as, a modification of, or different from, a model 55925
design developed under section 5103.037 of the Revised Code. The 55926
proposal shall include a budget for the program regarding the cost 55927
associated with trainers, obtaining sites at which the training is 55928
provided, and the administration of the training. The budget shall 55929
be consistent with rules adopted under section 5103.0316 of the 55930
Revised Code governing the department of job and family services' 55931
reimbursement of public children services agencies, private child 55932
placing agencies, and private noncustodial agencies under section 55933
5103.0313 of the Revised Code.55934

       (B) Not later than thirty days after receiving a proposal 55935
under division (A) of this section, the department shall either 55936
approve or disapprove the proposed program. The department shall 55937
approve a proposed preplacement training program if it complies 55938
with section 5103.039 or 5103.0310 of the Revised Code, as 55939
appropriate, and, in the case of a proposal submitted by an agency 55940
operating a preplacement training program at the time the proposal 55941
is submitted, the department is satisfied with the agency's 55942
operation of the program. The department shall approve a proposed 55943
continuing training program if it complies with section 5103.0310 55944
or 5103.0311 of the Revised Code, as appropriate, and, in the case 55945
of a proposal submitted by an agency operating a continuing 55946
training program at the time the proposal is submitted, the 55947
department is satisfied with the agency's operation of the 55948
program. The department shall disapprove a proposed program if the 55949
program's budget is not consistent with rules adopted under 55950
section 5103.0316 of the Revised Code governing the department's 55951
reimbursement of public children services agencies, private child 55952
placing agencies, and private noncustodial agencies under section 55953
5103.0313 of the Revised Code. If the department disapproves a 55954
proposal, it shall provide the reason for disapproval to the 55955
agency that submitted the proposal and advise the agency of how to 55956
revise the proposal so that the department can approve it.55957

       (C) The department's approval under division (B) of this55958
section of a proposed preplacement training program or continuing 55959
training program is valid only for two years following the year 55960
the proposal for the program is submitted to the department under 55961
division (A) of this section.55962

       Sec. 5103.0312.  A public children services agency, private55963
child placing agency, or private noncustodial agency acting as a55964
recommending agency for foster caregivers who hold certificates55965
issued under section 5103.03 of the Revised Code shall pay those55966
foster caregivers who have had at least one foster child placed in 55967
their home a stipend to reimburse them for attending training55968
courses provided by the Ohio child welfare training program or55969
pursuant to a preplacement training program or continuing training55970
program operated under section 5103.034 or 5153.60 of the Revised 55971
Code. The payment shall be based on a stipend rate established by 55972
the department of job and family services. The stipend rate shall 55973
be the same regardless of the type of recommending agency from55974
which a foster caregiver seeks a recommendation. The department 55975
shall, pursuant to rules adopted under section 5103.0316 of the 55976
Revised Code, reimburse the recommending agency for stipend 55977
payments it makes in accordance with this section.55978

       Sec. 5103.0313.  The department of job and family services55979
shall reimburse the followingcompensate a private child placing 55980
agency or private noncustodial agency for the cost of providing55981
procuring or operating preplacement and continuing training to 55982
foster caregivers:55983

       (A) The Ohio child welfare training program;55984

       (B) A public children services agency, private child placing55985
agency, or private noncustodial agency through a preplacement55986
training program or continuing training program operatedprograms55987
under section 5103.034 of the Revised Code for foster caregivers 55988
who are recommended for initial certification or recertification 55989
by the agency.55990

       The reimbursementcompensation shall be on a per diem basis 55991
and limited to the cost associated with the trainer, obtaining a 55992
site at which the training is provided, and the administration of 55993
the trainingpaid to the agency in the form of an allowance for 55994
each hour of preplacement and continuing training provided or 55995
received. A reimbursement rate shall be the same regardless of 55996
whether the training program is operated by the Ohio child welfare 55997
training program or a public children services agency, private 55998
child placing agency, or private noncustodial agency.55999

       Sec. 5103.0314.  The department of job and family services56000
shall not reimbursecompensate a recommending agency for the cost 56001
of any training the agency requires a foster caregiver to undergo 56002
as a condition of the agency recommending the department certify 56003
or recertify the foster caregiver's foster home under section 56004
5103.03 of the Revised Code if the training is in addition to the56005
minimum training required by section 5103.031 or 5103.032 of the 56006
Revised Code.56007

       Sec. 5103.0315.  The department of job and family services 56008
shall seek federal financial participation for the cost of making 56009
payments under section 5103.0312 of the Revised Code and 56010
reimbursementsallowances under section 5103.0313 of the Revised 56011
Code. The department shall notify the governor, president of the 56012
senate, minority leader of the senate, speaker of the house of 56013
representatives, and minority leader of the house of 56014
representatives of any proposed federal legislation that endangers 56015
the federal financial participation. 56016

       Sec. 5103.0316. Not later than ninety days after January 1,56017
2001, theThe department of job and family services shall adopt56018
rules in accordance with Chapter 119. of the Revised Code as 56019
necessary for the efficient administration of sections 5103.031 to 56020
5103.0316 of the Revised Code. The rules shall provide for all of 56021
the following:56022

       (A) For the purpose of section 5103.038 of the Revised Code,56023
the date by which a public children services agency, private child56024
placing agency, or private noncustodial agency that seeks to56025
operate a preplacement training program or continuing training56026
program under section 5103.034 of the Revised Code must submit to56027
the department a proposal outlining the program;56028

       (B) Requirements governing the department's reimbursement56029
compensation of the Ohio child welfare training program and public 56030
children services agencies, private child placing agencies, and 56031
private noncustodial agencies under sections 5103.0312 and56032
5103.0313 of the Revised Code;56033

       (C) Any other matter the department considers appropriate.56034

       Sec. 5103.154.  (A) Information concerning all children who56035
are, pursuant to section 2151.353 or 5103.15 of the Revised Code,56036
in the permanent custody of an institution or association56037
certified by the department of job and family services under56038
section 5103.03 of the Revised Code shall be listed with the56039
department within ninety days after permanent custody is56040
effective, unless the child has been placed for adoption or unless56041
an application for placement was initiated under section 5103.1656042
of the Revised Code.56043

       (B) All persons who wish to adopt children, and are approved56044
by an agency so empowered under this chapter, shall be listed with56045
the department within ninety days of approval, unless a person56046
requests in writing that that person's name not be so listed, or56047
has had a child placed in that person's home in preparation for56048
adoption, or has filed a petition for adoption.56049

       (C) All persons who wish to adopt a child with special needs56050
as defined in rules adopted under section 5153.163 of the Revised56051
Code, and who are approved by an agency so empowered under this56052
chapter, shall be listed separately by the department within56053
ninety days of approval, unless a person requests in writing that56054
that person's name not be so listed, or has had a child with56055
special needs placed in that person's home in preparation for56056
adoption, or has filed a petition for adoption.56057

       (D) The department shall forward information on such children 56058
and listed persons at least quarterly, to all public children56059
services agencies and all certified agencies.56060

       (E) The appropriate listed names shall be removed when a56061
child is placed in an adoptive home or when a person withdraws an56062
application for adoption.56063

       (F) No later than six months after the end of each fiscal56064
year, the department shall compile a report of its conclusions56065
regarding the effectiveness of its actions pursuant to this56066
section and of the restrictions on placement under division (E)(G)56067
of section 5153.163 of the Revised Code in increasing adoptive56068
placements of children with special needs, together with its56069
recommendations, and shall submit a copy of the report to the56070
chairpersons of the principal committees of the senate and the56071
house of representatives who consider welfare legislation.56072

       Sec. 5103.155. As used in this section, "children with 56073
special needs" has the same meaning as in rules adopted under 56074
section 5153.163 of the Revised Code.56075

       If the department of job and family services determines that 56076
money in the putative father registry fund created under section 56077
2101.16 of the Revised Code is more than is needed to perform its 56078
duties related to the putative father registry, the department may 56079
use surplus moneys in the fund to promote adoption of children 56080
with special needs.56081

       Sec. 5104.01.  As used in this chapter:56082

       (A) "Administrator" means the person responsible for the56083
daily operation of a center or type A home. The administrator and56084
the owner may be the same person.56085

       (B) "Approved child day camp" means a child day camp approved 56086
pursuant to section 5104.22 of the Revised Code.56087

       (C) "Authorized provider" means a person authorized by a56088
county director of job and family services to operate a certified56089
type B family day-care home.56090

       (D) "Border state child day-care provider" means a child56091
day-care provider that is located in a state bordering Ohio and56092
that is licensed, certified, or otherwise approved by that state56093
to provide child day-care.56094

       (E) "Caretaker parent" means the father or mother of a child56095
whose presence in the home is needed as the caretaker of the56096
child, a person who has legal custody of a child and whose56097
presence in the home is needed as the caretaker of the child, a56098
guardian of a child whose presence in the home is needed as the56099
caretaker of the child, and any other person who stands in loco56100
parentis with respect to the child and whose presence in the home56101
is needed as the caretaker of the child.56102

       (F) "Certified type B family day-care home" and "certified56103
type B home" mean a type B family day-care home that is certified56104
by the director of the county department of job and family56105
services pursuant to section 5104.11 of the Revised Code to56106
receive public funds for providing child day-care pursuant to this56107
chapter and any rules adopted under it.56108

       (G) "Chartered nonpublic school" means a school that meets56109
standards for nonpublic schools prescribed by the state board of56110
education for nonpublic schools pursuant to section 3301.07 of the56111
Revised Code.56112

       (H) "Child" includes an infant, toddler, preschool child, or56113
school child.56114

       (I) "Child care block grant act" means the "Child Care and56115
Development Block Grant Act of 1990," established in section 508256116
of the "Omnibus Budget Reconciliation Act of 1990," 104 Stat.56117
1388-236 (1990), 42 U.S.C. 9858, as amended.56118

       (J) "Child day camp" means a program in which only school56119
children attend or participate, that operates for no more than56120
seven hours per day, that operates only during one or more public56121
school district's regular vacation periods or for no more than56122
fifteen weeks during the summer, and that operates outdoor56123
activities for each child who attends or participates in the56124
program for a minimum of fifty per cent of each day that children56125
attend or participate in the program, except for any day when56126
hazardous weather conditions prevent the program from operating56127
outdoor activities for a minimum of fifty per cent of that day. 56128
For purposes of this division, the maximum seven hours of56129
operation time does not include transportation time from a child's56130
home to a child day camp and from a child day camp to a child's56131
home.56132

       (K) "Child day-care" means administering to the needs of56133
infants, toddlers, preschool children, and school children outside56134
of school hours by persons other than their parents or guardians,56135
custodians, or relatives by blood, marriage, or adoption for any56136
part of the twenty-four-hour day in a place or residence other56137
than a child's own home.56138

       (L) "Child day-care center" and "center" mean any place in56139
which child day-care or publicly funded child day-care is provided56140
for thirteen or more children at one time or any place that is not56141
the permanent residence of the licensee or administrator in which56142
child day-care or publicly funded child day-care is provided for56143
seven to twelve children at one time. In counting children for the 56144
purposes of this division, any children under six years of age who 56145
are related to a licensee, administrator, or employee and who are 56146
on the premises of the center shall be counted. "Child day-care 56147
center" and "center" do not include any of the following:56148

       (1) A place located in and operated by a hospital, as defined 56149
in section 3727.01 of the Revised Code, in which the needs of 56150
children are administered to, if all the children whose needs are 56151
being administered to are monitored under the on-site supervision 56152
of a physician licensed under Chapter 4731. of the Revised Code or 56153
a registered nurse licensed under Chapter 4723. of the Revised 56154
Code, and the services are provided only for children who, in the 56155
opinion of the child's parent, guardian, or custodian, are 56156
exhibiting symptoms of a communicable disease or other illness or 56157
are injured;56158

       (2) A child day camp;56159

       (3) A place that provides child day-care, but not publicly56160
funded child day-care, if all of the following apply:56161

       (a) An organized religious body provides the child day-care;56162

       (b) A parent, custodian, or guardian of at least one child56163
receiving child day-care is on the premises and readily accessible56164
at all times;56165

       (c) The child day-care is not provided for more than thirty56166
days a year;56167

       (d) The child day-care is provided only for preschool and56168
school children.56169

       (M) "Child day-care resource and referral service56170
organization" means a community-based nonprofit organization that56171
provides child day-care resource and referral services but not56172
child day-care.56173

       (N) "Child day-care resource and referral services" means all 56174
of the following services:56175

       (1) Maintenance of a uniform data base of all child day-care56176
providers in the community that are in compliance with this56177
chapter, including current occupancy and vacancy data;56178

       (2) Provision of individualized consumer education to56179
families seeking child day-care;56180

       (3) Provision of timely referrals of available child day-care 56181
providers to families seeking child day-care;56182

       (4) Recruitment of child day-care providers;56183

       (5) Assistance in the development, conduct, and dissemination 56184
of training for child day-care providers and provision of 56185
technical assistance to current and potential child day-care 56186
providers, employers, and the community;56187

       (6) Collection and analysis of data on the supply of and56188
demand for child day-care in the community;56189

       (7) Technical assistance concerning locally, state, and56190
federally funded child day-care and early childhood education56191
programs;56192

       (8) Stimulation of employer involvement in making child56193
day-care more affordable, more available, safer, and of higher56194
quality for their employees and for the community;56195

       (9) Provision of written educational materials to caretaker56196
parents and informational resources to child day-care providers;56197

       (10) Coordination of services among child day-care resource56198
and referral service organizations to assist in developing and56199
maintaining a statewide system of child day-care resource and56200
referral services if required by the department of job and family56201
services;56202

       (11) Cooperation with the county department of job and family 56203
services in encouraging the establishment of parent cooperative56204
child day-care centers and parent cooperative type A family 56205
day-care homes.56206

       (O) "Child-care staff member" means an employee of a child56207
day-care center or type A family day-care home who is primarily56208
responsible for the care and supervision of children. The56209
administrator may be a part-time child-care staff member when not56210
involved in other duties.56211

       (P) "Drop-in child day-care center," "drop-in center,"56212
"drop-in type A family day-care home," and "drop-in type A home"56213
mean a center or type A home that provides child day-care or56214
publicly funded child day-care for children on a temporary,56215
irregular basis.56216

       (Q) "Employee" means a person who either:56217

       (1) Receives compensation for duties performed in a child56218
day-care center or type A family day-care home;56219

       (2) Is assigned specific working hours or duties in a child56220
day-care center or type A family day-care home.56221

       (R) "Employer" means a person, firm, institution,56222
organization, or agency that operates a child day-care center or56223
type A family day-care home subject to licensure under this56224
chapter.56225

       (S) "Federal poverty line" means the official poverty56226
guideline as revised annually in accordance with section 673(2) of56227
the "Omnibus Budget Reconciliation Act of 1981," 95 Stat. 511, 4256228
U.S.C. 9902, as amended, for a family size equal to the size of56229
the family of the person whose income is being determined.56230

       (T) "Head start program" means a comprehensive child56231
development program that receives funds distributed under the56232
"Head Start Act," 95 Stat. 499 (1981), 42 U.S.C.A. 9831, as56233
amended, or under sectionsections 3301.31 to 3301.37 of the 56234
Revised Code.56235

       (U) "Income" means gross income, as defined in section56236
5107.10 of the Revised Code, less any amounts required by federal56237
statutes or regulations to be disregarded.56238

       (V) "Indicator checklist" means an inspection tool, used in56239
conjunction with an instrument-based program monitoring56240
information system, that contains selected licensing requirements56241
that are statistically reliable indicators or predictors of a56242
child day-care center or type A family day-care home's compliance56243
with licensing requirements.56244

       (W) "Infant" means a child who is less than eighteen months56245
of age.56246

       (X) "In-home aide" means a person certified by a county56247
director of job and family services pursuant to section 5104.12 of56248
the Revised Code to provide publicly funded child day-care to a56249
child in a child's own home pursuant to this chapter and any rules56250
adopted under it.56251

       (Y) "Instrument-based program monitoring information system"56252
means a method to assess compliance with licensing requirements56253
for child day-care centers and type A family day-care homes in56254
which each licensing requirement is assigned a weight indicative56255
of the relative importance of the requirement to the health,56256
growth, and safety of the children that is used to develop an56257
indicator checklist.56258

       (Z) "License capacity" means the maximum number in each age56259
category of children who may be cared for in a child day-care56260
center or type A family day-care home at one time as determined by56261
the director of job and family services considering building56262
occupancy limits established by the department of commerce, number56263
of available child-care staff members, amount of available indoor56264
floor space and outdoor play space, and amount of available play56265
equipment, materials, and supplies.56266

       (AA) "Licensed preschool program" or "licensed school child56267
program" means a preschool program or school child program, as56268
defined in section 3301.52 of the Revised Code, that is licensed56269
by the department of education pursuant to sections 3301.52 to56270
3301.59 of the Revised Code.56271

       (BB) "Licensee" means the owner of a child day-care center or 56272
type A family day-care home that is licensed pursuant to this56273
chapter and who is responsible for ensuring its compliance with56274
this chapter and rules adopted pursuant to this chapter.56275

       (CC) "Operate a child day camp" means to operate, establish,56276
manage, conduct, or maintain a child day camp.56277

       (DD) "Owner" includes a person, as defined in section 1.59 of 56278
the Revised Code, or government entity.56279

       (EE) "Parent cooperative child day-care center," "parent56280
cooperative center," "parent cooperative type A family day-care56281
home," and "parent cooperative type A home" mean a corporation or56282
association organized for providing educational services to the56283
children of members of the corporation or association, without56284
gain to the corporation or association as an entity, in which the56285
services of the corporation or association are provided only to56286
children of the members of the corporation or association,56287
ownership and control of the corporation or association rests56288
solely with the members of the corporation or association, and at56289
least one parent-member of the corporation or association is on56290
the premises of the center or type A home during its hours of56291
operation.56292

       (FF) "Part-time child day-care center," "part-time center,"56293
"part-time type A family day-care home," and "part-time type A56294
home" mean a center or type A home that provides child day-care or56295
publicly funded child day-care for no more than four hours a day56296
for any child.56297

       (GG) "Place of worship" means a building where activities of56298
an organized religious group are conducted and includes the56299
grounds and any other buildings on the grounds used for such56300
activities.56301

       (HH) "Preschool child" means a child who is three years old56302
or older but is not a school child.56303

       (II) "Protective day-care" means publicly funded child56304
day-care for the direct care and protection of a child to whom56305
either of the following applies:56306

       (1) A case plan prepared and maintained for the child56307
pursuant to section 2151.412 of the Revised Code indicates a need56308
for protective day-care and the child resides with a parent,56309
stepparent, guardian, or another person who stands in loco56310
parentis as defined in rules adopted under section 5104.38 of the56311
Revised Code;56312

       (2) The child and the child's caretaker either temporarily56313
reside in a facility providing emergency shelter for homeless56314
families or are determined by the county department of job and56315
family services to be homeless, and are otherwise ineligible for56316
publicly funded child day-care.56317

       (JJ) "Publicly funded child day-care" means administering to56318
the needs of infants, toddlers, preschool children, and school56319
children under age thirteen during any part of the56320
twenty-four-hour day by persons other than their caretaker parents56321
for remuneration wholly or in part with federal or state funds,56322
including funds available under the child care block grant act 56323
fundsTitle IV-A, and Title XX, distributed by the department of 56324
job and family services.56325

       (KK) "Religious activities" means any of the following:56326
worship or other religious services; religious instruction; Sunday56327
school classes or other religious classes conducted during or56328
prior to worship or other religious services; youth or adult56329
fellowship activities; choir or other musical group practices or56330
programs; meals; festivals; or meetings conducted by an organized56331
religious group.56332

       (LL) "School child" means a child who is enrolled in or is56333
eligible to be enrolled in a grade of kindergarten or above but is56334
less than fifteen years old.56335

       (MM) "School child day-care center," "school child center,"56336
"school child type A family day-care home," and "school child type56337
A family home" mean a center or type A home that provides child56338
day-care for school children only and that does either or both of56339
the following:56340

       (1) Operates only during that part of the day that56341
immediately precedes or follows the public school day of the56342
school district in which the center or type A home is located;56343

       (2) Operates only when the public schools in the school56344
district in which the center or type A home is located are not56345
open for instruction with pupils in attendance.56346

       (NN) "State median income" means the state median income56347
calculated by the department of development pursuant to division56348
(A)(1)(g) of section 5709.61 of the Revised Code.56349

       (OO) "Title IV-A" means Title IV-A of the "Social Security 56350
Act," 110 Stat. 2113 (1996), 42 U.S.C. 601, as amended.56351

       (PP) "Title XX" means Title XX of the "Social Security Act," 56352
88 Stat. 2337 (1974), 42 U.S.C. 1397, as amended.56353

       (QQ) "Toddler" means a child who is at least eighteen months56354
of age but less than three years of age.56355

       (PP)(RR) "Type A family day-care home" and "type A home" mean 56356
a permanent residence of the administrator in which child day-care56357
or publicly funded child day-care is provided for seven to twelve56358
children at one time or a permanent residence of the administrator56359
in which child day-care is provided for four to twelve children at56360
one time if four or more children at one time are under two years56361
of age. In counting children for the purposes of this division,56362
any children under six years of age who are related to a licensee,56363
administrator, or employee and who are on the premises of the type56364
A home shall be counted. "Type A family day-care home" does not56365
include a residence in which the needs of children are56366
administered to, if all of the children whose needs are being56367
administered to are siblings of the same immediate family and the56368
residence is the home of the siblings. "Type A family day-care56369
home" and "type A home" do not include any child day camp.56370

       (QQ)(SS) "Type B family day-care home" and "type B home" mean56371
a permanent residence of the provider in which child day-care is56372
provided for one to six children at one time and in which no more56373
than three children are under two years of age at one time. In56374
counting children for the purposes of this division, any children56375
under six years of age who are related to the provider and who are56376
on the premises of the type B home shall be counted. "Type B56377
family day-care home" does not include a residence in which the56378
needs of children are administered to, if all of the children56379
whose needs are being administered to are siblings of the same56380
immediate family and the residence is the home of the siblings. 56381
"Type B family day-care home" and "type B home" do not include any56382
child day camp.56383

       Sec. 5104.011.  (A) The director of job and family services56384
shall adopt rules pursuant to Chapter 119. of the Revised Code56385
governing the operation of child day-care centers, including, but56386
not limited to, parent cooperative centers, part-time centers,56387
drop-in centers, and school child centers, which rules shall56388
reflect the various forms of child day-care and the needs of56389
children receiving child day-care or publicly funded child56390
day-care and, no later than January 1, 1992, shall include56391
specific rules for school child day-care centers that are56392
developed in consultation with the department of education. The56393
rules shall not require an existing school facility that is in56394
compliance with applicable building codes to undergo an additional56395
building code inspection or to have structural modifications. The56396
rules shall include the following:56397

       (1) Submission of a site plan and descriptive plan of56398
operation to demonstrate how the center proposes to meet the56399
requirements of this chapter and rules adopted pursuant to this56400
chapter for the initial license application;56401

       (2) Standards for ensuring that the physical surroundings of56402
the center are safe and sanitary including, but not limited to,56403
the physical environment, the physical plant, and the equipment of56404
the center;56405

       (3) Standards for the supervision, care, and discipline of56406
children receiving child day-care or publicly funded child56407
day-care in the center;56408

       (4) Standards for a program of activities, and for play56409
equipment, materials, and supplies, to enhance the development of56410
each child; however, any educational curricula, philosophies, and56411
methodologies that are developmentally appropriate and that56412
enhance the social, emotional, intellectual, and physical56413
development of each child shall be permissible. As used in this56414
division, "program" does not include instruction in religious or56415
moral doctrines, beliefs, or values that is conducted at child56416
day-care centers owned and operated by churches and does include56417
methods of disciplining children at child day-care centers.56418

       (5) Admissions policies and procedures, health care policies56419
and procedures, including, but not limited to, procedures for the56420
isolation of children with communicable diseases, first aid and56421
emergency procedures, procedures for discipline and supervision of56422
children, standards for the provision of nutritious meals and56423
snacks, and procedures for screening children and employees,56424
including, but not limited to, any necessary physical examinations56425
and immunizations;56426

       (6) Methods for encouraging parental participation in the56427
center and methods for ensuring that the rights of children,56428
parents, and employees are protected and that responsibilities of56429
parents and employees are met;56430

       (7) Procedures for ensuring the safety and adequate56431
supervision of children traveling off the premises of the center56432
while under the care of a center employee;56433

       (8) Procedures for record keeping, organization, and56434
administration;56435

       (9) Procedures for issuing, renewing, denying, and revoking a 56436
license that are not otherwise provided for in Chapter 119. of the 56437
Revised Code;56438

       (10) Inspection procedures;56439

       (11) Procedures and standards for setting initial and renewal 56440
license application fees;56441

       (12) Procedures for receiving, recording, and responding to56442
complaints about centers;56443

       (13) Procedures for enforcing section 5104.04 of the Revised56444
Code;56445

       (14) A standard requiring the inclusion, on and after July 1, 56446
1987, of a current department of job and family services toll-free56447
telephone number on each center provisional license or license56448
which any person may use to report a suspected violation by the56449
center of this chapter or rules adopted pursuant to this chapter;56450

       (15) Requirements for the training of administrators and56451
child-care staff members in first aid, in prevention, recognition,56452
and management of communicable diseases, and in child abuse56453
recognition and prevention. Training requirements for child56454
day-care centers adopted under this division shall be consistent56455
with divisions (B)(6) and (C)(1) of this section.56456

       (16) Procedures to be used by licensees for checking the56457
references of potential employees of centers and procedures to be56458
used by the director for checking the references of applicants for56459
licenses to operate centers;56460

       (17) Standards providing for the special needs of children56461
who are handicapped or who require treatment for health conditions56462
while the child is receiving child day-care or publicly funded56463
child day-care in the center;56464

       (18) Any other procedures and standards necessary to carry56465
out this chapter.56466

       (B)(1) The child day-care center shall have, for each child56467
for whom the center is licensed, at least thirty-five square feet56468
of usable indoor floor space wall-to-wall regularly available for56469
the child day-care operation exclusive of any parts of the56470
structure in which the care of children is prohibited by law or by56471
rules adopted by the board of building standards. The minimum of56472
thirty-five square feet of usable indoor floor space shall not56473
include hallways, kitchens, storage areas, or any other areas that56474
are not available for the care of children, as determined by the56475
director, in meeting the space requirement of this division, and56476
bathrooms shall be counted in determining square footage only if56477
they are used exclusively by children enrolled in the center,56478
except that the exclusion of hallways, kitchens, storage areas,56479
bathrooms not used exclusively by children enrolled in the center,56480
and any other areas not available for the care of children from56481
the minimum of thirty-five square feet of usable indoor floor56482
space shall not apply to:56483

       (a) Centers licensed prior to or on September 1, 1986, that56484
continue under licensure after that date;56485

       (b) Centers licensed prior to or on September 1, 1986, that56486
are issued a new license after that date solely due to a change of56487
ownership of the center.56488

       (2) The child day-care center shall have on the site a safe56489
outdoor play space which is enclosed by a fence or otherwise56490
protected from traffic or other hazards. The play space shall56491
contain not less than sixty square feet per child using such space56492
at any one time, and shall provide an opportunity for supervised56493
outdoor play each day in suitable weather. The director may exempt 56494
a center from the requirement of this division, if an outdoor play 56495
space is not available and if all of the following are met:56496

       (a) The center provides an indoor recreation area that has56497
not less than sixty square feet per child using the space at any56498
one time, that has a minimum of one thousand four hundred forty56499
square feet of space, and that is separate from the indoor space56500
required under division (B)(1) of this section.56501

       (b) The director has determined that there is regularly56502
available and scheduled for use a conveniently accessible and safe56503
park, playground, or similar outdoor play area for play or56504
recreation.56505

       (c) The children are closely supervised during play and while 56506
traveling to and from the area.56507

       The director also shall exempt from the requirement of this56508
division a child day-care center that was licensed prior to56509
September 1, 1986, if the center received approval from the56510
director prior to September 1, 1986, to use a park, playground, or56511
similar area, not connected with the center, for play or56512
recreation in lieu of the outdoor space requirements of this56513
section and if the children are closely supervised both during56514
play and while traveling to and from the area and except if the56515
director determines upon investigation and inspection pursuant to56516
section 5104.04 of the Revised Code and rules adopted pursuant to56517
that section that the park, playground, or similar area, as well56518
as access to and from the area, is unsafe for the children.56519

       (3) The child day-care center shall have at least two56520
responsible adults available on the premises at all times when56521
seven or more children are in the center. The center shall56522
organize the children in the center in small groups, shall provide56523
child-care staff to give continuity of care and supervision to the56524
children on a day-by-day basis, and shall ensure that no child is56525
left alone or unsupervised. Except as otherwise provided in56526
division (E) of this section, the maximum number of children per56527
child-care staff member and maximum group size, by age category of56528
children, are as follows:56529

Maximum Number of 56530
Children Per Maximum 56531
Age Category Child-Care Group 56532
of Children Staff Member Size 56533
(a) Infants: 56534
(i) Less than twelve 56535
months old 5:1, or 56536
12:2 if two 56537
child-care 56538
staff members 56539
are in the room 12 56540
(ii) At least twelve 56541
months old, but 56542
less than eighteen 56543
months old 6:1 12 56544
(b) Toddlers: 56545
(i) At least eighteen 56546
months old, but 56547
less than thirty 56548
months old 7:1 14 56549
(ii) At least thirty months 56550
old, but less than 56551
three years old 8:1 16 56552
(c) Preschool 56553
children: 56554
(i) Three years old 12:1 24 56555
(ii) Four years old and 56556
five years old who 56557
are not school 56558
children 14:1 28 56559
(d) School children: 56560
(i) A child who is 56561
enrolled in or is 56562
eligible to be 56563
enrolled in a grade 56564
of kindergarten 56565
or above, but 56566
is less than 56567
eleven years old 18:1 36 56568
(ii) Eleven through fourteen 56569
years old 20:1 40 56570

       Except as otherwise provided in division (E) of this section,56571
the maximum number of children per child-care staff member and56572
maximum group size requirements of the younger age group shall56573
apply when age groups are combined.56574

       (4)(a) The child day-care center administrator shall show the 56575
director both of the following:56576

       (i) Evidence of at least high school graduation or56577
certification of high school equivalency by the state board of56578
education or the appropriate agency of another state;56579

       (ii) Evidence of having completed at least two years of56580
training in an accredited college, university, or technical56581
college, including courses in child development or early childhood56582
education, or at least two years of experience in supervising and56583
giving daily care to children attending an organized group56584
program.56585

       (b) In addition to the requirements of division (B)(4)(a) of56586
this section, any administrator employed or designated on or after56587
September 1, 1986, shall show evidence of, and any administrator56588
employed or designated prior to September 1, 1986, shall show56589
evidence within six years after such date of, at least one of the56590
following:56591

       (i) Two years of experience working as a child-care staff56592
member in a center and at least four courses in child development56593
or early childhood education from an accredited college,56594
university, or technical college, except that a person who has two56595
years of experience working as a child-care staff member in a56596
particular center and who has been promoted to or designated as56597
administrator of that center shall have one year from the time the56598
person was promoted to or designated as administrator to complete56599
the required four courses;56600

       (ii) Two years of training, including at least four courses56601
in child development or early childhood education from an56602
accredited college, university, or technical college;56603

       (iii) A child development associate credential issued by the56604
national child development associate credentialing commission;56605

       (iv) An associate or higher degree in child development or56606
early childhood education from an accredited college, technical56607
college, or university, or a license designated for teaching in an56608
associate teaching position in a preschool setting issued by the56609
state board of education.56610

       (5) All child-care staff members of a child day-care center56611
shall be at least eighteen years of age, and shall furnish the56612
director evidence of at least high school graduation or56613
certification of high school equivalency by the state board of56614
education or the appropriate agency of another state or evidence56615
of completion of a training program approved by the department of56616
job and family services or state board of education, except as56617
follows:56618

       (a) A child-care staff member may be less than eighteen years 56619
of age if the staff member is either of the following:56620

       (i) A graduate of a two-year vocational child-care training56621
program approved by the state board of education;56622

       (ii) A student enrolled in the second year of a vocational56623
child-care training program approved by the state board of56624
education which leads to high school graduation, provided that the56625
student performs the student's duties in the child day-care center56626
under the continuous supervision of an experienced child-care56627
staff member, receives periodic supervision from the vocational56628
child-care training program teacher-coordinator in the student's56629
high school, and meets all other requirements of this chapter and56630
rules adopted pursuant to this chapter.56631

       (b) A child-care staff member shall be exempt from the56632
educational requirements of this division if the staff member:56633

       (i) Prior to January 1, 1972, was employed or designated by a 56634
child day-care center and has been continuously employed since56635
either by the same child day-care center employer or at the same56636
child day-care center; or56637

       (ii) Is a student enrolled in the second year of a vocational 56638
child-care training program approved by the state board of 56639
education which leads to high school graduation, provided that the 56640
student performs the student's duties in the child day-care center 56641
under the continuous supervision of an experienced child-care 56642
staff member, receives periodic supervision from the vocational 56643
child-care training program teacher-coordinator in the student's 56644
high school, and meets all other requirements of this chapter and 56645
rules adopted pursuant to this chapter.56646

       (6) Every child day-care staff member of a child day-care56647
center annually shall complete fifteen hours of inservice training56648
in child development or early childhood education, child abuse56649
recognition and prevention, first aid, and in prevention,56650
recognition, and management of communicable diseases, until a56651
total of forty-five hours of training has been completed, unless56652
the staff member furnishes one of the following to the director:56653

       (a) Evidence of an associate or higher degree in child56654
development or early childhood education from an accredited56655
college, university, or technical college;56656

       (b) A license designated for teaching in an associate56657
teaching position in a preschool setting issued by the state board56658
of education;56659

       (c) Evidence of a child development associate credential;56660

       (d) Evidence of a preprimary credential from the American56661
Montessori society or the association Montessori international.56662
For the purposes of division (B)(6) of this section, "hour" means56663
sixty minutes.56664

       (7) The administrator of each child day-care center shall56665
prepare at least once annually and for each group of children at56666
the center a roster of names and telephone numbers of parents,56667
custodians, or guardians of each group of children attending the56668
center and upon request shall furnish the roster for each group to56669
the parents, custodians, or guardians of the children in that56670
group. The administrator may prepare a roster of names and56671
telephone numbers of all parents, custodians, or guardians of56672
children attending the center and upon request shall furnish the56673
roster to the parents, custodians, or guardians of the children56674
who attend the center. The administrator shall not include in any56675
roster the name or telephone number of any parent, custodian, or56676
guardian who requests the administrator not to include the56677
parent's, custodian's, or guardian's name or number and shall not56678
furnish any roster to any person other than a parent, custodian,56679
or guardian of a child who attends the center.56680

       (C)(1) Each child day-care center shall have on the center56681
premises and readily available at all times at least one56682
child-care staff member who has completed a course in first aid56683
and in prevention, recognition, and management of communicable56684
diseases which is approved by the state department of health and a56685
staff member who has completed a course in child abuse recognition56686
and prevention training which is approved by the department of job56687
and family services.56688

       (2) The administrator of each child day-care center shall56689
maintain enrollment, health, and attendance records for all56690
children attending the center and health and employment records56691
for all center employees. The records shall be confidential,56692
except as otherwise provided in division (B)(7) of this section56693
and except that they shall be disclosed by the administrator to56694
the director upon request for the purpose of administering and56695
enforcing this chapter and rules adopted pursuant to this chapter.56696
Neither the center nor the licensee, administrator, or employees56697
of the center shall be civilly or criminally liable in damages or56698
otherwise for records disclosed to the director by the56699
administrator pursuant to this division. It shall be a defense to56700
any civil or criminal charge based upon records disclosed by the56701
administrator to the director that the records were disclosed56702
pursuant to this division.56703

       (3)(a) Any parent who is the residential parent and legal56704
custodian of a child enrolled in a child day-care center and any56705
custodian or guardian of such a child shall be permitted unlimited56706
access to the center during its hours of operation for the56707
purposes of contacting their children, evaluating the care56708
provided by the center, evaluating the premises of the center, or56709
for other purposes approved by the director. A parent of a child56710
enrolled in a child day-care center who is not the child's56711
residential parent shall be permitted unlimited access to the56712
center during its hours of operation for those purposes under the56713
same terms and conditions under which the residential parent of56714
that child is permitted access to the center for those purposes.56715
However, the access of the parent who is not the residential56716
parent is subject to any agreement between the parents and, to the56717
extent described in division (C)(3)(b) of this section, is subject56718
to any terms and conditions limiting the right of access of the56719
parent who is not the residential parent, as described in division56720
(I) of section 3109.051 of the Revised Code, that are contained in56721
a parenting time order or decree issued under that section,56722
section 3109.12 of the Revised Code, or any other provision of the 56723
Revised Code.56724

       (b) If a parent who is the residential parent of a child has56725
presented the administrator or the administrator's designee with a56726
copy of a parenting time order that limits the terms and56727
conditions under which the parent who is not the residential56728
parent is to have access to the center, as described in division56729
(I) of section 3109.051 of the Revised Code, the parent who is not56730
the residential parent shall be provided access to the center only56731
to the extent authorized in the order. If the residential parent56732
has presented such an order, the parent who is not the residential56733
parent shall be permitted access to the center only in accordance56734
with the most recent order that has been presented to the56735
administrator or the administrator's designee by the residential56736
parent or the parent who is not the residential parent.56737

       (c) Upon entering the premises pursuant to division (C)(3)(a) 56738
or (b) of this section, the parent who is the residential parent 56739
and legal custodian, the parent who is not the residential parent, 56740
or the custodian or guardian shall notify the administrator or the 56741
administrator's designee of the parent's, custodian's, or 56742
guardian's presence.56743

       (D) The director of job and family services, in addition to56744
the rules adopted under division (A) of this section, shall adopt56745
rules establishing minimum requirements for child day-care56746
centers. The rules shall include, but not be limited to, the56747
requirements set forth in divisions (B) and (C) of this section.56748
Except as provided in section 5104.07 of the Revised Code, the56749
rules shall not change the square footage requirements of division56750
(B)(1) or (2) of this section; the maximum number of children per56751
child-care staff member and maximum group size requirements of56752
division (B)(3) of this section; the educational and experience56753
requirements of division (B)(4) of this section; the age,56754
educational, and experience requirements of division (B)(5) of56755
this section; the number of inservice training hours required56756
under division (B)(6) of this section; or the requirement for at56757
least annual preparation of a roster for each group of children of56758
names and telephone numbers of parents, custodians, or guardians56759
of each group of children attending the center that must be56760
furnished upon request to any parent, custodian, or guardian of56761
any child in that group required under division (B)(7) of this56762
section; however, the rules shall provide procedures for56763
determining compliance with those requirements.56764

       (E)(1) When age groups are combined, the maximum number of56765
children per child-care staff member shall be determined by the56766
age of the youngest child in the group, except that when no more56767
than one child thirty months of age or older receives services in56768
a group in which all the other children are in the next older age56769
group, the maximum number of children per child-care staff member56770
and maximum group size requirements of the older age group56771
established under division (B)(3) of this section shall apply.56772

       (2) The maximum number of toddlers or preschool children per56773
child-care staff member in a room where children are napping shall56774
be twice the maximum number of children per child-care staff56775
member established under division (B)(3) of this section if all56776
the following criteria are met:56777

       (a) At least one child-care staff member is present in the56778
room.56779

       (b) Sufficient child-care staff members are on the child56780
day-care center premises to meet the maximum number of children56781
per child-care staff member requirements established under56782
division (B)(3) of this section.56783

       (c) Naptime preparations are complete and all napping56784
children are resting or sleeping on cots.56785

       (d) The maximum number established under division (E)(2) of56786
this section is in effect for no more than one and one-half hours56787
during a twenty-four-hour day.56788

       (F) The director of job and family services shall adopt rules56789
pursuant to Chapter 119. of the Revised Code governing the56790
operation of type A family day-care homes, including, but not56791
limited to, parent cooperative type A homes, part-time type A56792
homes, drop-in type A homes, and school child type A homes, which56793
shall reflect the various forms of child day-care and the needs of56794
children receiving child day-care. The rules shall include the56795
following:56796

       (1) Submission of a site plan and descriptive plan of56797
operation to demonstrate how the type A home proposes to meet the56798
requirements of this chapter and rules adopted pursuant to this56799
chapter for the initial license application;56800

       (2) Standards for ensuring that the physical surroundings of56801
the type A home are safe and sanitary, including, but not limited56802
to, the physical environment, the physical plant, and the56803
equipment of the type A home;56804

       (3) Standards for the supervision, care, and discipline of56805
children receiving child day-care or publicly funded child56806
day-care in the type A home;56807

       (4) Standards for a program of activities, and for play56808
equipment, materials, and supplies, to enhance the development of56809
each child; however, any educational curricula, philosophies, and56810
methodologies that are developmentally appropriate and that56811
enhance the social, emotional, intellectual, and physical56812
development of each child shall be permissible;56813

       (5) Admissions policies and procedures, health care policies56814
and procedures, including, but not limited to, procedures for the56815
isolation of children with communicable diseases, first aid and56816
emergency procedures, procedures for discipline and supervision of56817
children, standards for the provision of nutritious meals and56818
snacks, and procedures for screening children and employees,56819
including, but not limited to, any necessary physical examinations56820
and immunizations;56821

       (6) Methods for encouraging parental participation in the56822
type A home and methods for ensuring that the rights of children,56823
parents, and employees are protected and that the responsibilities56824
of parents and employees are met;56825

       (7) Procedures for ensuring the safety and adequate56826
supervision of children traveling off the premises of the type A56827
home while under the care of a type A home employee;56828

       (8) Procedures for record keeping, organization, and56829
administration;56830

       (9) Procedures for issuing, renewing, denying, and revoking a 56831
license that are not otherwise provided for in Chapter 119. of the 56832
Revised Code;56833

       (10) Inspection procedures;56834

       (11) Procedures and standards for setting initial and renewal 56835
license application fees;56836

       (12) Procedures for receiving, recording, and responding to56837
complaints about type A homes;56838

       (13) Procedures for enforcing section 5104.04 of the Revised56839
Code;56840

       (14) A standard requiring the inclusion, on or after July 1,56841
1987, of a current department of job and family services toll-free56842
telephone number on each type A home provisional license or56843
license which any person may use to report a suspected violation56844
by the type A home of this chapter or rules adopted pursuant this56845
chapter;56846

       (15) Requirements for the training of administrators and56847
child-care staff members in first aid, in prevention, recognition,56848
and management of communicable diseases, and in child abuse56849
recognition and prevention;56850

       (16) Procedures to be used by licensees for checking the56851
references of potential employees of type A homes and procedures56852
to be used by the director for checking the references of56853
applicants for licenses to operate type A homes;56854

       (17) Standards providing for the special needs of children56855
who are handicapped or who require treatment for health conditions56856
while the child is receiving child day-care or publicly funded56857
child day-care in the type A home;56858

       (18) Standards for the maximum number of children per56859
child-care staff member;56860

       (19) Requirements for the amount of usable indoor floor space 56861
for each child;56862

       (20) Requirements for safe outdoor play space;56863

       (21) Qualifications and training requirements for56864
administrators and for child-care staff members;56865

       (22) Procedures for granting a parent who is the residential56866
parent and legal custodian, or a custodian or guardian access to56867
the type A home during its hours of operation;56868

       (23) Standards for the preparation and distribution of a56869
roster of parents, custodians, and guardians;56870

       (24) Any other procedures and standards necessary to carry56871
out this chapter.56872

       (G) The director of job and family services shall adopt rules56873
pursuant to Chapter 119. of the Revised Code governing the56874
certification of type B family day-care homes.56875

       (1) The rules shall include procedures, standards, and other56876
necessary provisions for granting limited certification to type B56877
family day-care homes that are operated by the following adult56878
providers:56879

       (a) Persons who provide child day-care for eligible children56880
who are great-grandchildren, grandchildren, nieces, nephews, or56881
siblings of the provider or for eligible children whose caretaker56882
parent is a grandchild, child, niece, nephew, or sibling of the56883
provider;56884

       (b) Persons who provide child day-care for eligible children56885
all of whom are the children of the same caretaker parent.56886

       The rules shall require, and shall include procedures for the56887
director to ensure, that type B family day-care homes that receive56888
a limited certification provide child day-care to children in a56889
safe and sanitary manner. With regard to providers who apply for56890
limited certification, a provider shall be granted a provisional56891
limited certification on signing a declaration under oath56892
attesting that the provider meets the standards for limited56893
certification. Such provisional limited certifications shall56894
remain in effect for no more than sixty calendar days and shall56895
entitle the provider to offer publicly funded child day-care56896
during the provisional period. Except as otherwise provided in56897
division (G)(1) of this section, prior to the expiration of the56898
provisional limited certificate, a county department of job and56899
family services shall inspect the home and shall grant limited56900
certification to the provider if the provider meets the56901
requirements of this division. Limited certificates remain valid56902
for two years unless earlier revoked. Except as otherwise provided 56903
in division (G)(1) of this section, providers operating under 56904
limited certification shall be inspected annually.56905

       If a provider is a person described in division (G)(1)(a) of56906
this section or a person described in division (G)(1)(b) of this56907
section who is a friend of the caretaker parent, the provider and56908
the caretaker parent may verify in writing to the county56909
department of job and family services that minimum health and56910
safety requirements are being met in the home. If such56911
verification is provided, the county shall waive any inspection56912
and any criminal records check required by this chapter and grant56913
limited certification to the provider.56914

       (2) The rules shall provide for safeguarding the health,56915
safety, and welfare of children receiving child day-care or56916
publicly funded child day-care in a certified type B home and56917
shall include the following:56918

       (a) Standards for ensuring that the type B home and the56919
physical surroundings of the type B home are safe and sanitary,56920
including, but not limited to, physical environment, physical56921
plant, and equipment;56922

       (b) Standards for the supervision, care, and discipline of56923
children receiving child day-care or publicly funded child56924
day-care in the home;56925

       (c) Standards for a program of activities, and for play56926
equipment, materials, and supplies to enhance the development of56927
each child; however, any educational curricula, philosophies, and56928
methodologies that are developmentally appropriate and that56929
enhance the social, emotional, intellectual, and physical56930
development of each child shall be permissible;56931

       (d) Admission policies and procedures, health care, first aid 56932
and emergency procedures, procedures for the care of sick56933
children, procedures for discipline and supervision of children,56934
nutritional standards, and procedures for screening children and56935
authorized providers, including, but not limited to, any necessary56936
physical examinations and immunizations;56937

       (e) Methods of encouraging parental participation and56938
ensuring that the rights of children, parents, and authorized56939
providers are protected and the responsibilities of parents and56940
authorized providers are met;56941

       (f) Standards for the safe transport of children when under56942
the care of authorized providers;56943

       (g) Procedures for issuing, renewing, denying, refusing to56944
renew, or revoking certificates;56945

       (h) Procedures for the inspection of type B family day-care56946
homes that require, at a minimum, that each type B family day-care56947
home be inspected prior to certification to ensure that the home56948
is safe and sanitary;56949

       (i) Procedures for record keeping and evaluation;56950

       (j) Procedures for receiving, recording, and responding to56951
complaints;56952

       (k) Standards providing for the special needs of children who 56953
are handicapped or who receive treatment for health conditions56954
while the child is receiving child day-care or publicly funded56955
child day-care in the type B home;56956

       (l) Requirements for the amount of usable indoor floor space56957
for each child;56958

       (m) Requirements for safe outdoor play space;56959

       (n) Qualification and training requirements for authorized56960
providers;56961

       (o) Procedures for granting a parent who is the residential56962
parent and legal custodian, or a custodian or guardian access to56963
the type B home during its hours of operation;56964

       (p) Any other procedures and standards necessary to carry out 56965
this chapter.56966

       (H) The director shall adopt rules pursuant to Chapter 119.56967
of the Revised Code governing the certification of in-home aides.56968
The rules shall include procedures, standards, and other necessary56969
provisions for granting limited certification to in-home aides who56970
provide child day-care for eligible children who are56971
great-grandchildren, grandchildren, nieces, nephews, or siblings56972
of the in-home aide or for eligible children whose caretaker56973
parent is a grandchild, child, niece, nephew, or sibling of the56974
in-home aide. The rules shall require, and shall include56975
procedures for the director to ensure, that in-home aides that56976
receive a limited certification provide child day-care to children56977
in a safe and sanitary manner. The rules shall provide for56978
safeguarding the health, safety, and welfare of children receiving56979
publicly funded child day-care in their own home and shall include56980
the following:56981

       (1) Standards for ensuring that the child's home and the56982
physical surroundings of the child's home are safe and sanitary,56983
including, but not limited to, physical environment, physical56984
plant, and equipment;56985

       (2) Standards for the supervision, care, and discipline of56986
children receiving publicly funded child day-care in their own56987
home;56988

       (3) Standards for a program of activities, and for play56989
equipment, materials, and supplies to enhance the development of56990
each child; however, any educational curricula, philosophies, and56991
methodologies that are developmentally appropriate and that56992
enhance the social, emotional, intellectual, and physical56993
development of each child shall be permissible;56994

       (4) Health care, first aid, and emergency procedures,56995
procedures for the care of sick children, procedures for56996
discipline and supervision of children, nutritional standards, and56997
procedures for screening children and in-home aides, including,56998
but not limited to, any necessary physical examinations and56999
immunizations;57000

       (5) Methods of encouraging parental participation and57001
ensuring that the rights of children, parents, and in-home aides57002
are protected and the responsibilities of parents and in-home57003
aides are met;57004

       (6) Standards for the safe transport of children when under57005
the care of in-home aides;57006

       (7) Procedures for issuing, renewing, denying, refusing to57007
renew, or revoking certificates;57008

       (8) Procedures for inspection of homes of children receiving57009
publicly funded child day-care in their own homes;57010

       (9) Procedures for record keeping and evaluation;57011

       (10) Procedures for receiving, recording, and responding to57012
complaints;57013

       (11) Qualifications and training requirements for in-home57014
aides;57015

       (12) Standards providing for the special needs of children57016
who are handicapped or who receive treatment for health conditions57017
while the child is receiving publicly funded child day-care in the57018
child's own home;57019

       (13) Any other procedures and standards necessary to carry57020
out this chapter.57021

       (I) To the extent that any rules adopted for the purposes of57022
this section require a health care professional to perform a57023
physical examination, the rules shall include as a health care57024
professional a physician assistant, a clinical nurse specialist, a57025
certified nurse practitioner, or a certified nurse-midwife.57026

       (J)(1) The director of job and family services shall send57027
copiesdo all of the following:57028

       (a) Send to each licensee notice of proposed rules to each 57029
licensee and each county director of job and family services and 57030
shall givegoverning the licensure of child day-care centers and 57031
type A homes;57032

       (b) Give public notice of hearings regarding the rules to 57033
each licensee and each county director of job and family services57034
at least thirty days prior to the date of the public hearing, in57035
accordance with section 119.03 of the Revised Code.;57036

       (c) Prior to the effective date of a rule, the director of 57037
job and family services shall provide copies, in either paper or 57038
electronic form, a copy of the adopted rule to each licensee and 57039
each county director of job and family services.57040

       (2) The director shall do all of the following:57041

       (a) Send to each county director of job and family services a 57042
notice of proposed rules governing the certification of type B 57043
family homes and in-home aides that includes an internet web site 57044
address where the proposed rules can be viewed;57045

       (b) Give public notice of hearings regarding the proposed 57046
rules not less than thirty days in advance;57047

       (c) Provide to each county director of job and family 57048
services an electronic copy of each adopted rule prior to the 57049
rule's effective date.57050

       (3) The county director of job and family services shall send57051
copies of proposed rules to each authorized provider and in-home57052
aide and shall give public notice of hearings regarding the rules57053
to each authorized provider and in-home aide at least thirty days57054
prior to the date of the public hearing, in accordance with57055
section 119.03 of the Revised Code. Prior to the effective date of 57056
a rule, the county director of job and family services shall57057
provide copies of the adopted rule to each authorized provider and57058
in-home aide.57059

       (4) Additional copies of proposed and adopted rules shall be57060
made available by the director of job and family services to the 57061
public on request at no charge.57062

       (K) The director of job and family services shall review all57063
rules adopted pursuant to this chapter at least once every seven57064
years.57065

       (L) Notwithstanding any provision of the Revised Code, the57066
director of job and family services shall not regulate in any way57067
under this chapter or rules adopted pursuant to this chapter,57068
instruction in religious or moral doctrines, beliefs, or values.57069

       Sec. 5104.02.  (A) The director of job and family services is57070
responsible for the licensing of child day-care centers and type A 57071
family day-care homes, and for the enforcement of this chapter and 57072
of rules promulgated pursuant to this chapter. No person, firm, 57073
organization, institution, or agency shall operate, establish, 57074
manage, conduct, or maintain a child day-care center or type A 57075
family day-care home without a license issued under section57076
5104.03 of the Revised Code. The current license shall be posted57077
in a conspicuous place in the center or type A home that is57078
accessible to parents, custodians, or guardians and employees of57079
the center or type A home at all times when the center or type A57080
home is in operation.57081

       (B) A person, firm, institution, organization, or agency57082
operating any of the following programs is exempt from the57083
requirements of this chapter:57084

       (1) A program of child day-care that operates for two or less 57085
consecutive weeks;57086

       (2) Child day-care in places of worship during religious57087
activities during which children are cared for while at least one57088
parent, guardian, or custodian of each child is participating in57089
such activities and is readily available;57090

       (3) Religious activities which do not provide child day-care;57091

       (4) Supervised training, instruction, or activities of57092
children in specific areas, including, but not limited to: art;57093
drama; dance; music; gymnastics, swimming, or another athletic57094
skill or sport; computers; or an educational subject conducted on57095
an organized or periodic basis no more than one day a week and for57096
no more than six hours duration;57097

       (5) Programs in which the director determines that at least57098
one parent, custodian, or guardian of each child is on the57099
premises of the facility offering child day-care and is readily57100
accessible at all times, except that child day-care provided on57101
the premises at which a parent, custodian, or guardian is employed57102
more than two and one-half hours a day shall be licensed in57103
accordance with division (A) of this section;57104

       (6)(a) Programs that provide child day-care funded and57105
regulated or operated and regulated by state departments other57106
than the department of job and family services or the state board57107
of education when the director of job and family services has57108
determined that the rules governing the program are equivalent to57109
or exceed the rules promulgated pursuant to this chapter.57110

       Notwithstanding any exemption from regulation under this57111
chapter, each state department shall submit to the director of job57112
and family services a copy of the rules that govern programs that57113
provide child day-care and are regulated or operated and regulated57114
by the department. Annually, each state department shall submit to 57115
the director a report for each such program it regulates or57116
operates and regulates that includes the following information:57117

       (i) The site location of the program;57118

       (ii) The maximum number of infants, toddlers, preschool57119
children, or school children served by the program at one time;57120

       (iii) The number of adults providing child day-care for the57121
number of infants, toddlers, preschool children, or school57122
children;57123

       (iv) Any changes in the rules made subsequent to the time57124
when the rules were initially submitted to the director.57125

       The director shall maintain a record of the child day-care57126
information submitted by other state departments and shall provide57127
this information upon request to the general assembly or the57128
public.57129

       (b) Child day-care programs conducted by boards of education57130
or by chartered nonpublic schools that are conducted in school57131
buildings and that provide child day-care to school children only57132
shall be exempt from meeting or exceeding rules promulgated57133
pursuant to this chapter.57134

       (7) Any preschool program or school child program, except a 57135
head start program, that is subject to licensure by the department 57136
of education under sections 3301.52 to 3301.59 of the Revised 57137
Code.57138

       (8) Any program providing child day-care that meets all of57139
the following requirements and, on October 20, 1987, was being57140
operated by a nonpublic school that holds a charter issued by the57141
state board of education for kindergarten only:57142

       (a) The nonpublic school has given the notice to the state57143
board and the director of job and family services required by57144
Section 4 of Substitute House Bill No. 253 of the 117th general57145
assembly;57146

       (b) The nonpublic school continues to be chartered by the57147
state board for kindergarten, or receives and continues to hold a57148
charter from the state board for kindergarten through grade five;57149

       (c) The program is conducted in a school building;57150

       (d) The program is operated in accordance with rules57151
promulgated by the state board under sections 3301.52 to 3301.5757152
of the Revised Code.57153

       (9) A youth development program operated outside of school57154
hours by a community-based center to which all of the following57155
apply:57156

       (a) The children enrolled in the program are under nineteen57157
years of age and enrolled in or eligible to be enrolled in a grade57158
of kindergarten or above.57159

       (b) The program provides informal child care and at least two 57160
of the following supervised activities: educational, recreational, 57161
culturally enriching, social, and personal development activities.57162

       (c) The state board of education has approved the program's57163
participation in the child and adult care food program as an57164
outside-school-hours care center pursuant to standards established57165
under section 3313.813 of the Revised Code.57166

       (d) The community-based center operating the program is57167
exempt from federal income taxation pursuant to 26 U.S.C. 501(a)57168
and (c)(3).57169

       Sec. 5104.04.  (A) The department of job and family services57170
shall establish procedures to be followed in investigating,57171
inspecting, and licensing child day-care centers and type A family57172
day-care homes.57173

       (B)(1) The department shall, at least twice during every57174
twelve-month period of operation of a center or type A home,57175
inspect the center or type A home. The department shall inspect a57176
part-time center or part-time type A home at least once during57177
every twelve-month period of operation. The department shall57178
provide a written inspection report to the licensee within a57179
reasonable time after each inspection. The licensee shall display57180
all written reports of inspections conducted during the current57181
licensing period in a conspicuous place in the center or type A57182
home.57183

       At least one inspection shall be unannounced and all57184
inspections may be unannounced. No person, firm, organization,57185
institution, or agency shall interfere with the inspection of a57186
center or type A home by any state or local official engaged in57187
performing duties required of the state or local official by57188
Chapter 5104. of the Revised Code or rules adopted pursuant to57189
Chapter 5104. of the Revised Code, including inspecting the center57190
or type A home, reviewing records, or interviewing licensees,57191
employees, children, or parents.57192

       Upon receipt of any complaint that a center or type A home is57193
out of compliance with the requirements of Chapter 5104. of the57194
Revised Code or rules adopted pursuant to Chapter 5104. of the57195
Revised Code, the department shall investigate and may inspect a57196
center or type A home.57197

       (2) If the department implements an instrument-based program57198
monitoring information system, it may use an indicator checklist57199
to comply with division (B)(1) of this section.57200

       (3) The department shall, at least once during every57201
twelve-month period of operation of a center or type A home,57202
collect information concerning the amounts charged by the center57203
or home for providing child day-care services for use in57204
establishing rates of reimbursement and payment pursuant to 57205
section 5104.30 of the Revised Code.57206

       (C) In the event a licensed center or type A home is57207
determined to be out of compliance with the requirements of57208
Chapter 5104. of the Revised Code or rules adopted pursuant to57209
Chapter 5104. of the Revised Code, the department shall notify the57210
licensee of the center or type A home in writing regarding the57211
nature of the violation, what must be done to correct the57212
violation, and by what date the correction must be made. If the57213
correction is not made by the date established by the department,57214
the department may commence action under Chapter 119. of the57215
Revised Code to revoke the license.57216

       (D) The department may deny or revoke a license, or refuse to 57217
renew a license of a center or type A home, if the applicant57218
knowingly makes a false statement on the application, does not57219
comply with the requirements of Chapter 5104. or rules adopted57220
pursuant to Chapter 5104. of the Revised Code, or has pleaded57221
guilty to or been convicted of an offense described in section57222
5104.09 of the Revised Code.57223

       (E) If the department finds, after notice and hearing57224
pursuant to Chapter 119. of the Revised Code, that any person,57225
firm, organization, institution, or agency licensed under section57226
5104.03 of the Revised Code is in violation of any provision of57227
Chapter 5104. of the Revised Code or rules adopted pursuant to57228
Chapter 5104. of the Revised Code, the department may issue an57229
order of revocation to the center or type A home revoking the57230
license previously issued by the department. Upon the issuance of57231
any order of revocation, the person whose license is revoked may57232
appeal in accordance with section 119.12 of the Revised Code.57233

       (F) The surrender of a center or type A home license to the57234
department or the withdrawal of an application for licensure by57235
the owner or administrator of the center or type A home shall not57236
prohibit the department from instituting any of the actions set57237
forth in this section.57238

       (G) Whenever the department receives a complaint, is advised, 57239
or otherwise has any reason to believe that a center or type A 57240
home is providing child day-care without a license issued or 57241
renewed pursuant to section 5104.03 and is not exempt from57242
licensing pursuant to section 5104.02 of the Revised Code, the57243
department shall investigate the center or type A home and may57244
inspect the areas children have access to or areas necessary for57245
the care of children in the center or type A home during suspected57246
hours of operation to determine whether the center or type A home57247
is subject to the requirements of Chapter 5104. or rules adopted57248
pursuant to Chapter 5104. of the Revised Code.57249

       (H) The department, upon determining that the center or type57250
A home is operating without a license, shall notify the attorney57251
general, the prosecuting attorney of the county in which the57252
center or type A home is located, or the city attorney, village57253
solicitor, or other chief legal officer of the municipal57254
corporation in which the center or type A home is located, that57255
the center or type A home is operating without a license. Upon57256
receipt of the notification, the attorney general, prosecuting57257
attorney, city attorney, village solicitor, or other chief legal57258
officer of a municipal corporation shall file a complaint in the57259
court of common pleas of the county in which the center or type A57260
home is located requesting that the court grant an order enjoining57261
the owner from operating the center or type A home. The court57262
shall grant such injunctive relief upon a showing that the57263
respondent named in the complaint is operating a center or type A57264
home and is doing so without a license.57265

       (I) The department shall prepare an annual report on57266
inspections conducted under this section. The report shall include 57267
the number of inspections conducted, the number and types of 57268
violations found, and the steps taken to address the violations. 57269
The department shall file the report with the governor, the 57270
president and minority leader of the senate, and the speaker and 57271
minority leader of the house of representatives on or before the 57272
first day of January of each year, beginning in 1999.57273

       Sec. 5104.30.  (A) The department of job and family services 57274
is hereby designated as the state agency responsible for57275
administration and coordination of federal and state funding for57276
publicly funded child day-care in this state. Publicly funded57277
child day-care shall be provided to the following:57278

       (1) Recipients of transitional child day-care as provided 57279
under section 5104.34 of the Revised Code;57280

       (2) Participants in the Ohio works first program established 57281
under Chapter 5107. of the Revised Code;57282

       (3) Individuals who would be participating in the Ohio works57283
first program if not for a sanction under section 5107.16 of the 57284
Revised Code and who continue to participate in a work activity, 57285
developmental activity, or alternative work activity pursuant to 57286
an assignment under section 5107.42 of the Revised Code;57287

       (4) A family receiving publicly funded child day-care on57288
October 1, 1997, until the family's income reaches one hundred 57289
fifty per cent of the federal poverty line;57290

       (5) Subject to available funds, other individuals determined 57291
eligible in accordance with rules adopted under section 5104.38 of 57292
the Revised Code.57293

       The department shall apply to the United States department of 57294
health and human services for authority to operate a coordinated 57295
program for publicly funded child day-care, if the director of job 57296
and family services determines that the application is necessary. 57297
For purposes of this section, the department of job and family 57298
services may enter into agreements with other state agencies that 57299
are involved in regulation or funding of child day-care. The 57300
department shall consider the special needs of migrant workers 57301
when it administers and coordinates publicly funded child day-care 57302
and shall develop appropriate procedures for accommodating the 57303
needs of migrant workers for publicly funded child day-care.57304

       (B) The department of job and family services shall 57305
distribute state and federal funds for publicly funded child 57306
day-care, including appropriations of state funds for publicly 57307
funded child day-care and appropriations of federal funds for 57308
publicly funded child day-careavailable under Title XX of the 57309
"Social Security Act," 88 Stat. 2337 (1974), 42 U.S.C.A. 1397, as57310
amended, and the child care block grant act, Title IV-A, and Title 57311
XX. The department may use any state funds appropriated for 57312
publicly funded child day-care as the state share required to 57313
match any federal funds appropriated for publicly funded child 57314
day-care.57315

       (C) The department mayIn the use of federal funds available 57316
under the child care block grant act, all of the following apply:57317

       (1) The department may use the federal funds to hire staff to 57318
prepare any rules required under this chapter and to administer 57319
and coordinate federal and state funding for publicly funded child 57320
day-care. 57321

       (2) Not more than five per cent of the aggregate amount of 57322
thosethe federal funds received for a fiscal year may be expended 57323
for administrative costs. The57324

       (3) The department shall allocate and use at least four per 57325
cent of the federal funds for the following:57326

       (1)(a) Activities designed to provide comprehensive consumer 57327
education to parents and the public;57328

       (2)(b) Activities that increase parental choice;57329

       (3)(c) Activities, including child day-care resource and 57330
referral services, designed to improve the quality, and increase 57331
the supply, of child day-care.57332

       (D)(4) The department shall ensure that anythe federal funds 57333
received by the state under the child care block grant act will be 57334
used only to supplement, and will not be used to supplant, 57335
federal, state, and local funds available on the effective date of 57336
thatthe child care block grant act for publicly funded child 57337
day-care and related programs. A county department of job and 57338
family services may purchase child day-care from funds obtained 57339
through any other means.57340

       (E)(D) The department shall encourage the development of57341
suitable child day-care throughout the state, especially in areas57342
with high concentrations of recipients of public assistance and57343
families with low incomes. The department shall encourage the 57344
development of suitable child day-care designed to accommodate the 57345
special needs of migrant workers. On request, the department, 57346
through its employees or contracts with state or community child 57347
day-care resource and referral service organizations, shall 57348
provide consultation to groups and individuals interested in 57349
developing child day-care. The department of job and family 57350
services may enter into interagency agreements with the department 57351
of education, the board of regents, the department of development, 57352
and other state agencies and entities whenever the cooperative 57353
efforts of the other state agencies and entities are necessary for 57354
the department of job and family services to fulfill its duties 57355
and responsibilities under this chapter.57356

       The department may develop and maintain a registry of persons 57357
providing child day-care. The director may adopt rules pursuant to 57358
Chapter 119. of the Revised Code establishing procedures and 57359
requirements for the registry's administration.57360

       (F)(E)(1) The director shall adopt rules in accordance with57361
Chapter 119. of the Revised Code establishing both of the 57362
following:57363

       (a) Reimbursement ceilings for providers of publicly funded 57364
child day-care;57365

       (b) A procedure for reimbursing and paying providers of57366
publicly funded child day-care.57367

       (2) In establishing reimbursement ceilings under division 57368
(F)(E)(1)(a) of this section, the director shall do all of the 57369
following:57370

       (a) Use the information obtained under division (B)(3) of 57371
section 5104.04 of the Revised Code;57372

       (b) Establish an enhanced reimbursement ceiling for providers 57373
who provide child day-care for caretaker parents who work 57374
nontraditional hours;57375

       (c) For a type B family day-care home provider that has 57376
received limited certification pursuant to rules adopted under57377
division (G)(1) of section 5104.011 of the Revised Code, establish 57378
a reimbursement ceiling that is the following:57379

        (i) If the provider is a person described in division 57380
(G)(1)(a) of section 5104.011 of the Revised Code, seventy-five 57381
per cent of the reimbursement ceiling that applies to a type B 57382
family day-care home certified by the same county department of 57383
job and family services pursuant to section 5104.11 of the Revised 57384
Code;57385

       (ii) If the provider is a person described in division 57386
(G)(1)(b) of section 5104.011 of the Revised Code, sixty per cent 57387
of the reimbursement ceiling that applies to a type B family 57388
day-care home certified by the same county department pursuant to 57389
section 5104.11 of the Revised Code.57390

       (3) In establishing reimbursement ceilings under division 57391
(F)(E)(1)(a) of this section, the director may establish different 57392
reimbursement ceilings based on any of the following:57393

        (a) Geographic location of the provider;57394

        (b) Type of care provided;57395

        (c) Age of the child served;57396

        (d) Special needs of the child served;57397

        (e) Whether the expanded hours of service are provided;57398

        (f) Whether weekend service is provided;57399

        (g) Whether the provider has exceeded the minimum 57400
requirements of state statutes and rules governing child day-care;57401

        (h) Any other factors the director considers appropriate.57402

       Sec. 5104.32.  (A) Except as provided in division (C) of this 57403
section, all purchases of publicly funded child day-care shall be 57404
made under a contract entered into by a licensed child day-care 57405
center, licensed type A family day-care home, certified type B 57406
family day-care home, certified in-home aide, approved child day 57407
camp, licensed preschool program, licensed school child program, 57408
or border state child day-care provider and the county department 57409
of job and family services. A county department of job and family 57410
services may enter into a contract with a provider for publicly 57411
funded child day-care for a specified period of time or upon a 57412
continuous basis for an unspecified period of time. All contracts 57413
for publicly funded child day-care shall be contingent upon the 57414
availability of state and federal funds. The department of job and 57415
family services shall prescribe a standard form to be used for all 57416
contracts for the purchase of publicly funded child day-care, 57417
regardless of the source of public funds used to purchase the 57418
child day-care. To the extent permitted by federal law and 57419
notwithstanding any other provision of the Revised Code that 57420
regulates state or county contracts or contracts involving the 57421
expenditure of state, county, or federal funds, all contracts for 57422
publicly funded child day-care shall be entered into in accordance 57423
with the provisions of this chapter and are exempt from any other 57424
provision of the Revised Code that regulates state or county 57425
contracts or contracts involving the expenditure of state, county, 57426
or federal funds.57427

       (B) Each contract for publicly funded child day-care shall57428
specify at least the following:57429

       (1) That the provider of publicly funded child day-care57430
agrees to be paid for rendering services at the lowest of the rate57431
customarily charged by the provider for children enrolled for57432
child day-care, the reimbursement ceiling or rate of payment57433
established pursuant to section 5104.30 of the Revised Code, or a 57434
rate the county department negotiates with the provider;57435

       (2) That, if a provider provides child day-care to an57436
individual potentially eligible for publicly funded child day-care57437
who is subsequently determined to be eligible, the county57438
department agrees to pay for all child day-care provided between57439
the date the county department receives the individual's completed57440
application and the date the individual's eligibility is57441
determined;57442

       (3) Whether the county department of job and family services, 57443
the provider, or a child day-care resource and referral service57444
organization will make eligibility determinations, whether the57445
provider or a child day-care resource and referral service57446
organization will be required to collect information to be used by57447
the county department to make eligibility determinations, and the57448
time period within which the provider or child day-care resource57449
and referral service organization is required to complete required57450
eligibility determinations or to transmit to the county department57451
any information collected for the purpose of making eligibility57452
determinations;57453

       (4) That the provider, other than a border state child57454
day-care provider or except as provided in division (B) of section 57455
3301.37 of the Revised Code, shall continue to be licensed,57456
approved, or certified pursuant to this chapter or sections57457
3301.52 to 3301.59 of the Revised Code and shall comply with all57458
standards and other requirements in this chapter and those57459
sections and in rules adopted pursuant to this chapter or those57460
sections for maintaining the provider's license, approval, or57461
certification;57462

       (5) That, in the case of a border state child day-care57463
provider, the provider shall continue to be licensed, certified,57464
or otherwise approved by the state in which the provider is57465
located and shall comply with all standards and other requirements57466
established by that state for maintaining the provider's license,57467
certificate, or other approval;57468

       (6) Whether the provider will be paid by the county57469
department of job and family services or the state department of57470
job and family services;57471

       (7) That the contract is subject to the availability of state 57472
and federal funds.57473

       (C) Unless specifically prohibited by federal law, the county 57474
department of job and family services shall give individuals57475
eligible for publicly funded child day-care the option of57476
obtaining certificates for payment that the individual may use to57477
purchase services from any provider qualified to provide publicly57478
funded child day-care under section 5104.31 of the Revised Code. 57479
Providers of publicly funded child day-care may present these57480
certificates for payment for reimbursement in accordance with57481
rules that the director of job and family services shall adopt. 57482
Only providers may receive reimbursement for certificates for 57483
payment. The value of the certificate for payment shall be based 57484
on the lowest of the rate customarily charged by the provider, the 57485
reimbursement ceiling or rate of payment established pursuant to 57486
section 5104.30 of the Revised Code, or a rate the county 57487
department negotiates with the provider. The county department may 57488
provide the certificates for payment to the individuals or may 57489
contract with child day-care providers or child day-care resource 57490
and referral service organizations that make determinations of 57491
eligibility for publicly funded child day-care pursuant to 57492
contracts entered into under section 5104.34 of the Revised Code 57493
for the providers or resource and referral service organizations 57494
to provide the certificates for payment to individuals whom they 57495
determine are eligible for publicly funded child day-care.57496

       For each six-month period a provider of publicly funded child57497
day-care provides publicly funded child day-care to the child of57498
an individual given certificates offor payment, the individual 57499
shall provide the provider certificates for days the provider 57500
would have provided publicly funded child day-care to the child 57501
had the child been present. County departments shall specify the 57502
maximum number of days providers will be provided certificates of 57503
payment for days the provider would have provided publicly funded 57504
child day-care had the child been present. The maximum number of 57505
days shall not exceed ten days in a six-month period during which57506
publicly funded child day-care is provided to the child regardless57507
of the number of providers that provide publicly funded child57508
day-care to the child during that period.57509

       Sec. 5107.02.  As used in this chapter:57510

       (A) "Adult" means an individual who is not a minor child.57511

       (B) "Assistance group" means a group of individuals treated57512
as a unit for purposes of determining eligibility for and the57513
amount of assistance provided under Ohio works first.57514

       (C) "Custodian" means an individual who has legal custody, as57515
defined in section 2151.011 of the Revised Code, of a minor child57516
or comparable status over a minor child created by a court of57517
competent jurisdiction in another state.57518

       (D) "Guardian" means an individual that is granted authority57519
by a probate court pursuant to Chapter 2111. of the Revised Code,57520
or a court of competent jurisdiction in another state, to exercise57521
parental rights over a minor child to the extent provided in the57522
court's order and subject to residual parental rights of the minor57523
child's parents.57524

       (E) "Minor child" means either of the following:57525

       (1) An individual who has not attained age eighteen;57526

       (2) An individual who has not attained age nineteen and is a57527
full-time student in a secondary school or in the equivalent level57528
of vocational or technical training.57529

       (F) "Minor head of household" means a minor child who is 57530
either of the following:57531

       (1) AtIs married, at least six months pregnant, and a member 57532
of an assistance group that does not include an adult;57533

       (2) AIs married and is a parent of a child included in the 57534
same assistance group that does not include an adult.57535

       (G) "Ohio works first" means the program established by this57536
chapter known as temporary assistance for needy families in Title57537
IV-A.57538

       (H) "Payment standard" means the amount specified in rules57539
adopted under section 5107.05 of the Revised Code that is the57540
maximum amount of cash assistance an assistance group may receive57541
under Ohio works first from state and federal funds.57542

       (I) "Specified relative" means the following individuals who57543
are age eighteen or older:57544

       (1) The following individuals related by blood or adoption:57545

       (a) Grandparents, including grandparents with the prefix57546
"great," "great-great," or "great-great-great";57547

       (b) Siblings;57548

       (c) Aunts, uncles, nephews, and nieces, including such57549
relatives with the prefix "great," "great-great," "grand," or57550
"great-grand";57551

       (d) First cousins and first cousins once removed.57552

       (2) Stepparents and stepsiblings;57553

       (3) Spouses and former spouses of individuals named in57554
division (I)(1) or (2) of this section.57555

       (J) "Title IV-A" or "Title IV-D" means Title IV-A or Title57556
IV-D of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.57557
301, as amended.57558

       Sec. 5107.30.  (A) As used in this section:57559

       (1) "LEAP program" means the learning, earning, and parenting 57560
program.57561

       (2) "Teen" means a participant of Ohio works first who is 57562
under age twentyeighteen or is age eighteen and in school and is 57563
a natural or adoptive parent or is pregnant.57564

       (3) "School" means an educational program that is designed to 57565
lead to the attainment of a high school diploma or the equivalent 57566
of a high school diploma.57567

       (B) The director of job and family services may adopt rules 57568
under section 5107.05 of the Revised Code, to the extent that such 57569
rules are consistent with federal law, to do all of the following:57570

       (1) Define "good cause" and "the equivalent of a high school 57571
diploma" for the purposes of this section;57572

       (2) Conduct one or more special demonstration programsa 57573
program titled the "LEAP program" and establish requirements57574
governing the program. The purpose of the LEAP program is to 57575
encourage teens to complete school.57576

       (3) Require every teen who is subject to LEAP program57577
requirements to attend school in accordance with the requirements57578
governing the program unless the teen shows good cause for not57579
attending school. The department shall provide, in addition to the 57580
cash assistance payment provided under Ohio works first, an 57581
incentive payment, in an amount determined by the department, to 57582
every teen who is participating in the LEAP program and attends 57583
school in accordance with the requirements governing the program. 57584
The department shall reduce the cash assistance payment, in an57585
amount determined by the department, under Ohio works first to57586
every teen participating in the LEAP program who fails or refuses, 57587
without good cause, to attend school in accordance withmeet the 57588
requirements governing the program.57589

       (4) Require every teen who is subject to LEAP program57590
requirements to enter into a written agreement with the county 57591
department of job and family services that provides all of the57592
following:57593

       (a) The teen, to be eligible to receive the incentive payment 57594
under division (B)(3) of this section, must attend school in 57595
accordance withmeet the requirements of the LEAP program;.57596

       (b) The county department will provide the incentive payment 57597
to the teen if the teen attends school;meets the requirements of 57598
the LEAP program.57599

       (c) The county department will reduce the cash assistance57600
payment under Ohio works first if the teen fails or refuses 57601
without good cause to attend school in accordance with the 57602
requirements governing the LEAP program.57603

       (5) Evaluate the demonstration programs established under57604
this section. In conducting the evaluations, the department of job 57605
and family services shall select control groups of teens who are 57606
otherwise subject to the LEAP program requirements.57607

       (C) A teenminor head of household who is participating in 57608
the LEAP program shall be considered to be participating in a work 57609
activity for the purpose of sections 5107.40 to 5107.69 of the 57610
Revised Code. However, the teenminor head of household is not57611
subject to the requirements or sanctions of those sections, unless 57612
the teen is over age eighteen and meets the LEAP program 57613
requirements by participating regularly in work activities,57614
developmental activities, or alternative work activities under 57615
those sections.57616

       (D) Subject to the availability of funds, county departments 57617
of job and family services shall provide for LEAP participants to 57618
receive support services the county department determines to be 57619
necessary for LEAP participation. Support services may include 57620
publicly funded child day-care under Chapter 5104. of the Revised 57621
Code, transportation, and other services.57622

       Sec. 5107.37. An(A) Except as provided in division (B) of 57623
this section, an individual who resides in a county home, city 57624
infirmary, jail, or other public institution is not eligible to 57625
participate in Ohio works first.57626

       (B) Division (A) of this section does not apply to a minor 57627
child residing with the minor child's mother who participates in a 57628
prison nursery program established under section 5120.65 of the 57629
Revised Code.57630

       Sec. 5107.40.  As used in sections 5107.40 to 5107.69 of the 57631
Revised Code:57632

       (A) "Alternative work activity" means an activity designed to 57633
promote self sufficiency and personal responsibility established 57634
by a county department of job and family services under section 57635
5107.64 of the Revised Code.57636

       (B) "Developmental activity" means an activity designed to57637
promote self sufficiency and personal responsibility established57638
by a county department of job and family services under section 57639
5107.62 of the Revised Code.57640

       (C) "High school equivalence diploma" means a diploma 57641
attesting to achievement of the equivalent of a high school 57642
education as measured by scores obtained on the tests of general 57643
educational development published by the American council on 57644
education. "High school equivalence diploma" includes a 57645
certificate of high school equivalence issued prior to January 1, 57646
1994, attesting to the achievement of the equivalent of a high 57647
school education as measured by scores obtained on tests of 57648
general educational development.57649

       (D) "Work activity" means the following:57650

       (1) Unsubsidized employment activities established under57651
section 5107.60 of the Revised Code;57652

       (2) The subsidized employment program established under57653
section 5107.52 of the Revised Code;57654

       (3) The work experience program established under section57655
5107.54 of the Revised Code;57656

       (4) On-the-job training activities established under section 57657
5107.60 of the Revised Code;57658

       (5) The job search and readiness program established under 57659
section 5107.50 of the Revised Code;57660

       (6) Community service activities established under section 57661
5107.60 of the Revised Code;57662

       (7) Vocational educational training activities established 57663
under section 5107.60 of the Revised Code;57664

       (8) Jobs skills training activities established under section 57665
5107.60 of the Revised Code that are directly related to 57666
employment;57667

       (9) Education activities established under section 5107.60 of 57668
the Revised Code that are directly related to employment for 57669
participants of Ohio works first who have not earned a high school 57670
diploma or high school equivalence diploma;57671

       (10) Education activities established under section 5107.60 57672
of the Revised Code for participants of Ohio works first who have 57673
not completed secondary school or received a high school 57674
equivalence diploma under which the participants attend a 57675
secondary school or a course of study leading to a high school 57676
equivalence diploma;57677

       (11) Child-care service activities, including training, 57678
established under section 5107.60 of the Revised Code to aid 57679
another participant of Ohio works first assigned to a community 57680
service activity or other work activity;57681

       (12) The education program established under section 5107.58 57682
of the Revised Code that are operated pursuant to a federal waiver 57683
granted by the United States secretary of health and human 57684
services pursuant to a request made under former section 5101.09 57685
of the Revised Code;57686

       (13) Except as limitedTo the extent provided by division (C) 57687
of section 5107.30 of the Revised Code, the LEAP program 57688
established under that section.57689

       Sec. 5107.60.  In accordance with Title IV-A, federal57690
regulations, state law, the Title IV-A state plan prepared under57691
section 5101.80 of the Revised Code, and amendments to the plan,57692
county departments of job and family services shall establish and57693
administer the following work activities, in addition to the work57694
activities established under sections 5107.50, 5107.52, 5107.54,57695
and 5107.58 of the Revised Code, for minor heads of households and57696
adults participating in Ohio works first:57697

       (A) Unsubsidized employment activities, including activities57698
a county department determines are legitimate entrepreneurial57699
activities;57700

       (B) On-the-job training activities, including training to57701
become an employee of a child day-care center or type A family57702
day-care home, authorized provider of a certified type B family57703
day-care home, or in-home aide;57704

       (C) Community service activities including a program under57705
which a participant of Ohio works first who is the parent,57706
guardian, custodian, or specified relative responsible for the57707
care of a minor child enrolled in grade twelve or lower is57708
involved in the minor child's education on a regular basis;57709

       (D) Vocational educational training activities;57710

       (E) Jobs skills training activities that are directly related 57711
to employment;57712

       (F) Education activities that are directly related to57713
employment for participants who have not earned a high school57714
diploma or high school equivalence diploma;57715

       (G) Education activities for participants who have not57716
completed secondary school or received a high school equivalence57717
diploma under which the participants attend a secondary school or57718
a course of study leading to a high school equivalence diploma, 57719
including LEAP participation by a minor head of household;57720

       (H) Child-care service activities aiding another participant57721
assigned to a community service activity or other work activity. A 57722
county department may provide for a participant assigned to this57723
work activity to receive training necessary to provide child-care57724
services.57725

       Sec. 5108.01.  As used in this chapter:57726

       (A) "Assistance group" means a group of individuals treated57727
as a unit for purposes of determining eligibility for the57728
prevention, retention, and contingency program"County family 57729
services planning committee" means the county family services 57730
planning committee established under section 329.06 of the Revised 57731
Code or the board created by consolidation under division (C) of 57732
section 6301.06 of the Revised Code.57733

       (B) "Prevention, retention, and contingency program" means57734
the program established by this chapter and funded in part with57735
federal funds provided under Title IV-A.57736

       (C) "Title IV-A" means Title IV-A of the "Social Security57737
Act," 49 Stat. 620 (1935), 42 U.S.C. 301, as amended.57738

       Sec. 5108.03.  Under the prevention, retention, and57739
contingency program, aeach county department of job and family57740
services shall providedo both of the following in accordance with 57741
the statement of policies the county department develops under 57742
section 5108.04 of the Revised Code:57743

       (A) Provide benefits and services that individuals need to 57744
overcome immediate barriers to achieving or maintaining self 57745
sufficiency and personal responsibility;57746

       (B) Perform related administrative duties. A county 57747
department shall provide the benefits and services in accordance 57748
with either the model design for the program that the department 57749
of job and family services develops under section 5108.05 of the 57750
Revised Code or the county department's own policies for the 57751
program developed under section 5108.06 of the Revised Code.57752

       Sec. 5108.06.        Sec. 5108.04.  Each county department of job and57753
family services shall either adopt the model design fora written 57754
statement of policies governing the prevention, retention, and 57755
contingency program the department of job and family services57756
develops under section 5108.05 of the Revised Code or develop its 57757
own policies for the programcounty. To develop its own policies, 57758
a county department shall adopt a written statement of the 57759
policies governing the program. The policies may be a modification 57760
of the model design, different from the model design, or a 57761
combination.The statement of policies shall be adopted not later 57762
than October 1, 2003, and shall be updated at least every two 57763
years thereafter. A county department may amend its statement of57764
policies to modify, terminate, and establish new policies. The 57765
county director of job and family services shall sign and date the 57766
statement of policies and any amendment to it. Neither the 57767
statement of policies nor any amendment to it may have an 57768
effective date that is earlier than the date of the county 57769
director's signature.57770

       AEach county department of job and family services shall 57771
informprovide the department of job and family services of57772
whether it has adopted the model design or developed its own57773
policies for the prevention, retention, and contingency program. 57774
If a county department develops its own policies, it shall provide 57775
the department a written copy of the statement of policies and any57776
amendments it adopts to the statement not later than ten calendar 57777
days after the statement or amendment's effective date.57778

       Sec. 5108.07.        Sec. 5108.05. The model design for the prevention,57779
retention, and contingency program that the department of job and57780
family services develops under section 5108.05 of the Revised Code57781
and policies for the program that a county department of job and57782
family services may develop under section 5108.06 of the Revised57783
Code shall establishIn adopting a statement of policies under 57784
section 5108.04 of the Revised Code for the county's prevention, 57785
retention, and contingency program, each county department of job 57786
and family services shall do all of the following:57787

       (A) Establish or specify eligibility requirements for57788
assistance groups that apply for the program under section 5108.1057789
of the Revised Code, benefitsall of the following:57790

       (1) Benefits and services to be provided under the program to 57791
assistance groups, administrativethat are allowable uses of 57792
federal Title IV-A funds under 42 U.S.C. 601 and 604(a), except 57793
that they may not be "assistance" as defined in 45 C.F.R. 57794
260.31(a) but rather benefits and services that 45 C.F.R. 57795
260.31(b) excludes from the definition of assistance;57796

       (2) Restrictions on the amount, duration, and frequency of 57797
the benefits and services;57798

       (3) Eligibility requirements for the benefits and services;57799

       (4) Fair and equitable procedures for both of the following:57800

       (a) The certification of eligibility for the benefits and 57801
services that do not have a financial need eligibility 57802
requirement;57803

       (b) The determination and verification of eligibility for the 57804
benefits and services that have a financial need eligibility 57805
requirement.57806

       (5) Objective criteria for the delivery of the benefits and 57807
services;57808

       (6) Administrative requirements, and other;57809

       (7) Other matters the department, in the case of the model 57810
design, or a county department, in the case of county policies, 57811
determinedetermines are necessary.57812

       The model design and a county department's policies may57813
establish eligibility requirements for, and specify benefits and57814
services to be provided to, types of groups, such as students in57815
the same class, that share a common need for the benefits and57816
services. If the model design or a county department's policies57817
include such a provision, the model design or county department's57818
policies shall require that each individual who is to receive the57819
benefits and services meet the eligibility requirements57820
established for the type of group of which the individual is a57821
member. The model design or county department's policies also57822
shall require that the county department providing the benefits57823
and services certify the group's eligibility, specify the duration57824
that the group is to receive the benefits and services, and57825
maintain the eligibility information for each member of the group57826
receiving the benefits and services.57827

       The model design and a county department's policies may57828
specify benefits and services that a county department may provide57829
for the general public, including billboards that promote the57830
prevention, and reduction in the incidence, of out-of-wedlock57831
pregnancies or encourage the formation and maintenance of57832
two-parent families.57833

       The model design and a county department's policies must be57834
consistent with(B) Provide for the statement of policies to be 57835
consistent with all of the following:57836

       (1) The plan of cooperation the board of county commissioners 57837
develops under section 307.983 of the Revised Code;57838

       (2) The review and analysis of the county family services 57839
committee conducted in accordance with division (B)(2) of section 57840
329.06 of the Revised Code;57841

       (3) Title IV-A, federal regulations, state law, the Title 57842
IV-A state plan submitted to the United States secretary of health 57843
and human services under section 5101.80 of the Revised Code, and 57844
amendments to the plan. All benefits and services to be provided 57845
under the model design or a county department's policies must be 57846
allowable uses of federal Title IV-A funds as specified in 42 57847
U.S.C.A. 604(a), except that they may not be "assistance" as57848
defined in 45 C.F.R. 260.31(a). The benefits and services shall be 57849
benefits and services that 45 C.F.R. 260.31(b) excludes from the57850
definition of assistance.57851

       (C) Either provide the public and local government entities 57852
at least thirty days to submit comments on, or have the county 57853
family services planning committee review, the statement of 57854
policies, including the design of the county's prevention, 57855
retention, and contingency program, before the county director 57856
signs and dates the statement of policies.57857

       Sec. 5108.051. A county department of job and family services 57858
is not required to follow division (C) of section 5108.05 of the 57859
Revised Code when amending its statement of policies under section 57860
5108.04 of the Revised Code. Division (C) of section 5108.05 of 57861
the Revised Code applies only when a county department adopts its 57862
initial and updated statement of policies under section 5108.04 of 57863
the Revised Code.57864

       Sec. 5108.06. In adopting a statement of policies under 57865
section 5108.04 of the Revised Code for the county's prevention, 57866
retention, and contingency program, a county department of job and 57867
family services may specify both of the following:57868

        (A) Benefits and services to be provided under the program 57869
that prevent and reduce the incidence of out-of-wedlock 57870
pregnancies or encourage the formation and maintenance of 57871
two-parent families as permitted by 45 C.F.R. 260.20(c) and (d);57872

        (B) How the county department will certify individuals' 57873
eligibility for such benefits and services.57874

       Sec. 5108.07. (A) Each statement of policies adopted under 57875
section 5108.04 of the Revised Code shall include the board of 57876
county commissioners' certification that the county department of 57877
job and family services complied with this chapter in adopting the 57878
statement of policies.57879

        (B) The board of county commissioners shall revise its 57880
certification under division (A) of this section if an amendment 57881
to the statement of policies that the board considers to be 57882
significant is adopted under section 5108.04 of the Revised Code.57883

       Sec. 5108.09.  When a state hearing under division (B) of57884
section 5101.35 of the Revised Code or an administrative appeal57885
under division (C) of that section is held regarding the57886
prevention, retention, and contingency program, the hearing57887
officer, director of job and family services, or director's57888
designee shall base the decision in the hearing or appeal on the57889
following:57890

       (A) If the county department of job and family services57891
involved in the hearing or appeal adopted the department of job57892
and family services' model design for the program developed under57893
section 5108.05 of the Revised Code, the model design;57894

       (B) If the county department developed its own policies for57895
the program, the county department'sdepartment of job and family 57896
services' written statement of policies adopted under section 57897
5108.065108.04 of the Revised Code and any amendments the county 57898
department adopted to the statement if the county department 57899
provides a copy of the statement of policies and all amendments to 57900
the hearing officer, director, or director's designee at the 57901
hearing or appeal.57902

       Sec. 5108.10. An assistance group seeking to participate in57903
the prevention, retention, and contingency program shall apply to57904
a county department of job and family services usingEligibility 57905
for a benefit or service under a county's prevention, retention, 57906
and contingency program shall be certified in accordance with the 57907
statement of policies adopted under section 5108.04 of the Revised 57908
Code if the benefit or service does not have a financial need 57909
eligibility requirement.57910

       Eligibility for a benefit or service shall be determined in 57911
accordance with the statement of policies and based on an57912
application containing information the county department of job 57913
and family services requires.57914

       Whenif the benefit or service has a financial need 57915
eligibility requirement. When a county department receives an 57916
application for participation in the prevention, retention, and 57917
contingency programsuch benefits and services, it shall promptly 57918
make an investigation and record of the circumstances of the 57919
applicant in order to ascertainfollow verification procedures 57920
established by the statement of policies to verify the facts57921
surrounding the application and to obtain such other information57922
as may be required. On completion of the investigation57923
verification procedure, the county department shall determine 57924
whether the applicant is eligible to participate,for the benefits 57925
or services the applicant should receive, and the approximate date 57926
when participation isthe benefits or services are to begin.57927

       Sec. 5108.11. (A) To the extent permitted by section 307.982 57928
of the Revised Code, a board of county commissioners may enter 57929
into a written contract with a private or government entity for 57930
the entity to do either or both of the following for the county's 57931
prevention, retention, and contingency program:57932

        (1) Certify eligibility for benefits and services that do not 57933
have a financial need eligibility requirement;57934

        (2) Accept applications and determine and verify eligibility 57935
for benefits and services that have a financial need eligibility 57936
requirement.57937

        (B) If a board of county commissioners enters into a contract 57938
under division (A) of this section with a private or government 57939
entity, the county department of job and family services shall do 57940
all of the following:57941

        (1) Ensure that eligibility for benefits and services is 57942
certified or determined and verified in accordance with the 57943
statement of policies adopted under section 5108.04 of the Revised 57944
Code;57945

        (2) Ensure that the private or government entity maintains 57946
all records that are necessary for audits;57947

        (3) Monitor the private or government entity for compliance 57948
with Title IV-A, this chapter of the Revised Code, and the 57949
statement of policies;57950

        (4) Take actions that are necessary to recover any funds that 57951
are not spent in accordance with Title IV-A or this chapter of the 57952
Revised Code.57953

       Sec. 5108.12. Each county department of job and family 57954
services is responsible for funds expended or claimed under the 57955
county's prevention, retention, and contingency program that the 57956
department of job and family services, auditor of state, United 57957
States department of health and human services, or other 57958
government entity determines is expended or claimed in a manner 57959
that federal or state law or policy does not permit.57960

       Sec. 5111.016. (A) As used in this section, "healthcheck" has57961
the same meaning as in section 3313.714 of the Revised Code.57962

       (B) In accordance with federal law and regulations, the57963
department of job and family services shall establish a57964
combination of written and oral methods designed to provide 57965
information about healthcheck to all persons eligible for the 57966
program or their parents or guardians. The department shall ensure 57967
that its methods of providing information are effective.57968

       Each county department of job and family services or other57969
entity that distributes or accepts applications for medical 57970
assistance shall prominently display in a conspicuous place the 57971
following notice:57972

       "Under state and federal law, if you are a Medicaid57973
recipient, your child is entitled to a thorough medical57974
examination provided through Healthcheck. Once this examination is 57975
completed, your child is entitled to receive, at no cost to you, 57976
any service determined to be medically necessary."57977

       (C) Before a healthcheck medical examination may be performed 57978
on a child, the department of job and family services shall do 57979
both of the following:57980

       (1) Inform the child's parent, through both oral and written 57981
communication, that the examination may include the following 57982
components:57983

        (a) A mental evaluation;57984

        (b) A physical assessment;57985

        (c) An unclothed physical examination of the child's 57986
reproductive system, including a genital examination.57987

        (2) Obtain the parent's consent to perform the examination.57988

        The department shall not require a parent to consent to a 57989
healthcheck medical examination for the parent's child as a 57990
condition of receipt of other medicaid services.57991

       Sec. 5111.0112. The director of job and family services shall57992
examine instituting a copayment program under medicaid. As part of 57993
the examination, the director shall determine which groups of57994
medicaid recipients may be subjected to a copayment requirement57995
under federal statutes and regulations and which of those groups57996
are appropriate for a copayment program designed to reduce57997
inappropriate and excessive use of medical goods and services. If,57998
on completion of the examination, the director determines that it57999
is feasible to institute such a copayment program, the director58000
may seek approval from the United States secretary of health and58001
human services to institute the copayment program. If necessary,58002
the director may seek approval by applying for a waiver of federal58003
statutes and regulations. If such approval is obtained, the58004
director shall adopt rules in accordance with Chapter 119. of the58005
Revised Code governing the copayment program.58006

       Sec. 5111.0113.  Children who are in the temporary or 58007
permanent custody of a certified public or private nonprofit 58008
agency or institution or in adoptions subsidized under division 58009
(B) of section 5153.163 of the Revised Code are eligible for 58010
medical assistance through the medicaid program established under 58011
section 5111.01 of the Revised Code.58012

       Sec. 5111.02.  (A) Under the medical assistance program:58013

       (1) Except as otherwise permitted by federal statute or58014
regulation and at the department's discretion, reimbursement by58015
the department of job and family services to a medical provider58016
for any medical service rendered under the program shall not58017
exceed the authorized reimbursement level for the same service58018
under the medicare program established under Title XVIII of the58019
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as58020
amended.58021

       (2) Reimbursement for freestanding medical laboratory charges 58022
shall not exceed the customary and usual fee for laboratory 58023
profiles.58024

       (3) The department may deduct from payments for services58025
rendered by a medicaid provider under the medical assistance58026
program any amounts the provider owes the state as the result of58027
incorrect medical assistance payments the department has made to58028
the provider.58029

       (4) The department may conduct final fiscal audits in58030
accordance with the applicable requirements set forth in federal58031
laws and regulations and determine any amounts the provider may58032
owe the state. When conducting final fiscal audits, the department 58033
shall consider generally accepted auditing standards, which 58034
include the use of statistical sampling.58035

       (5) The number of days of inpatient hospital care for which58036
reimbursement is made on behalf of a recipient of medical58037
assistance to a hospital that is not paid under a58038
diagnostic-related-group prospective payment system shall not58039
exceed thirty days during a period beginning on the day of the58040
recipient's admission to the hospital and ending sixty days after58041
the termination of that hospital stay, except that the department58042
may make exceptions to this limitation. The limitation does not58043
apply to children participating in the program for medically58044
handicapped children established under section 3701.023 of the58045
Revised Code.58046

       (B) The director of job and family services may adopt, amend, 58047
or rescind rules under Chapter 119. of the Revised Code58048
establishing the amount, duration, and scope of medical services58049
to be included in the medical assistance program. Such rules shall58050
establish the conditions under which services are covered and58051
reimbursed, the method of reimbursement applicable to each covered 58052
service, and the amount of reimbursement or, in lieu of such 58053
amounts, methods by which such amounts are to be determined for 58054
each covered service. Any rules that pertain to nursing facilities 58055
or intermediate care facilities for the mentally retarded shall be 58056
consistent with sections 5111.20 to 5111.33 of the Revised Code.58057

       (C) No health insuring corporation that has a contract to58058
provide health care services to recipients of medical assistance58059
shall restrict the availability to its enrollees of any58060
prescription drugs included in the Ohio medicaid drug formulary as58061
established under rules adopted by the director.58062

       (D) The division of any reimbursement between a collaborating58063
physician or podiatrist and a clinical nurse specialist, certified58064
nurse-midwife, or certified nurse practitioner for services 58065
performed by the nurse shall be determined and agreed on by the 58066
nurse and collaborating physician or podiatrist. In no case shall 58067
reimbursement exceed the payment that the physician or podiatrist 58068
would have received had the physician or podiatrist provided the 58069
entire service.58070

       Sec. 5111.021.  Under the medical assistance program, any58071
amount determined to be owed the state by a final fiscal audit58072
conducted pursuant to division (A)(4) of section 5111.02 of the58073
Revised Code, upon the issuance of an adjudication order pursuant58074
to Chapter 119. of the Revised Code that contains a finding that58075
there is a preponderance of the evidence that the provider will58076
liquidate assets or file bankruptcy in order to prevent payment of 58077
the amount determined to be owed the state, becomes a lien upon 58078
the real and personal property of the provider. Upon failure of 58079
the provider to pay the amount to the state, the director of job 58080
and family services shall file notice of the lien, for which there 58081
shall be no charge, in the office of the county recorder of the 58082
county in which it is ascertained that the provider owns real or 58083
personal property. The director shall notify the provider by mail 58084
of the lien, but absence of proof that the notice was sent does 58085
not affect the validity of the lien. The lien is not valid as 58086
against the claim of any mortgagee, pledgee, purchaser, judgment 58087
creditor, or other lienholder of record at the time the notice is 58088
filed.58089

       If the provider acquires real or personal property after58090
notice of the lien is filed, the lien shall not be valid as58091
against the claim of any mortgagee, pledgee, subsequent bona fide58092
purchaser for value, judgment creditor, or other lienholder of58093
record to such after-acquired property unless the notice of lien58094
is refiled after the property is acquired by the provider and58095
before the competing lien attaches to the after-acquired property58096
or before the conveyance to the subsequent bona fide purchaser for 58097
value.58098

       When the amount has been paid, the provider may record with58099
the recorder notice of the payment. For recording such notice of58100
payment, the recorder shall charge and receive from the provider a 58101
base fee of one dollar for services and a housing trust fund fee 58102
of one dollar pursuant to section 317.36 of the Revised Code.58103

       In the event of a distribution of a provider's assets58104
pursuant to an order of any court under the law of this state58105
including any receivership, assignment for benefit of creditors,58106
adjudicated insolvency, or similar proceedings, amounts then or58107
thereafter due the state under this chapter have the same priority 58108
as provided by law for the payment of taxes due the state and 58109
shall be paid out of the receivership trust fund or other such 58110
trust fund in the same manner as provided for claims for unpaid 58111
taxes due the state.58112

       If the attorney general finds after investigation that any58113
amount due the state under this chapter is uncollectable, in whole 58114
or in part, the attorney general shall recommend to the director 58115
the cancellation of all or part of the claim. The director may58116
thereupon effect the cancellation.58117

       Sec. 5111.022.  (A) As used in this section:58118

       (1) "Community mental health facility" means a community 58119
mental health facility that has a quality assurance program 58120
accredited by the joint commission on accreditation of healthcare 58121
organizations or is certified by the department of mental health 58122
or department of job and family services.58123

        (2) "Mental health professional" means a person qualified to 58124
work with mentally ill persons under the standards established by 58125
the director of mental health pursuant to section 5119.611 of the 58126
Revised Code.58127

        (B) The state medicaid plan for providing medical assistance 58128
under Title XIX of the "Social Security Act," 49 Stat. 620, 42 58129
U.S.C.A. 301, as amended, shall include provision of the following 58130
mental health services when provided by community mental health58131
facilities described in division (B) of this section:58132

       (1) Outpatient mental health services, including, but not58133
limited to, preventive, diagnostic, therapeutic, rehabilitative,58134
and palliative interventions rendered to individuals in an58135
individual or group setting by a mental health professional in58136
accordance with a plan of treatment appropriately established,58137
monitored, and reviewed;58138

       (2) Partial-hospitalization mental health services of three58139
to fourteen hours per service day, rendered by persons directly58140
supervised by a mental health professional;58141

       (3) Unscheduled, emergency mental health services of a kind58142
ordinarily provided to persons in crisis when rendered by persons58143
supervised by a mental health professional;58144

       (4) Subject to receipt of federal approval, assertive 58145
community treatment and intensive home-based mental health 58146
services.58147

       (B) Services shall be included in the state plan only when58148
provided by community mental health facilities that have quality58149
assurance programs accredited by the joint commission on58150
accreditation of healthcare organizations or certified by the58151
department of mental health or department of job and family58152
services.58153

       (C) The comprehensive annual plan shall certify the58154
availability of sufficient unencumbered community mental health58155
state subsidy and local funds to match Title XIXfederal medicaid58156
reimbursement funds earned by thecommunity mental health58157
facilities. Reimbursement for eligible services shall be based on 58158
the prospective cost of providing the services as developed in 58159
standards adopted as part of the comprehensive annual plan.58160

       (D) As used in this section, "mental health professional"58161
means a person qualified to work with mentally ill persons under58162
the standards established by the director of mental health58163
pursuant to section 5119.611 of the Revised Code.58164

       (E) With respect to services established by division (A) of58165
this section, theThe department of job and family services shall58166
enter into a separate contract with the department of mental58167
health under section 5111.91 of the Revised Code with regard to 58168
the component of the medicaid program provided for by this 58169
section. The terms of the contract between the department of job58170
and family services and the department of mental health shall58171
specify both of the following:58172

       (1) That the department of mental health and boards of58173
alcohol, drug addiction, and mental health services shall provide58174
state and local matching funds for Title XIX of the "Social58175
Security Act," for reimbursement of services established by58176
division (A) of this section;58177

       (2) How the community mental health facilities described in58178
division (B) of this section will be paid for providing the58179
services established by division (A) of this section.58180

       (E) Not later than May 1, 2004, the department of job and 58181
family services shall request federal approval to provide 58182
assertive community treatment and intensive home-based mental 58183
health services under medicaid pursuant to this section.58184

       (F) On receipt of federal approval sought under division (E) 58185
of this section, the director of job and family services shall 58186
adopt rules in accordance with Chapter 119. of the Revised Code 58187
establishing statewide access and acuity standards for partial 58188
hospitalization mental health services and assertive community 58189
treatment and intensive home-based mental health services provided 58190
under medicaid pursuant to this section. The director shall 58191
consult with the department of mental health in adopting the 58192
rules.58193

       Sec. 5111.025. (A) In rules adopted under section 5111.02 of 58194
the Revised Code, the director of job and family services shall 58195
modify the manner or establish a new manner in which the following 58196
are paid under medicaid:58197

        (1) Community mental health facilities for providing mental 58198
health services included in the state medicaid plan pursuant to 58199
section 5111.022 of the Revised Code;58200

        (2) Providers of alcohol and drug addiction services for 58201
providing alcohol and drug addiction services included in the 58202
medicaid program pursuant to rules adopted under section 5111.02 58203
of the Revised Code.58204

        (B) In modifying the manner, or establishing a new manner, 58205
for medicaid to pay for the services specified in division (A) of 58206
this section, the director shall include a provision for obtaining 58207
federal financial participation for the costs that each board of 58208
alcohol, drug addiction, and mental health services incurs in its 58209
administration of those services. Except as provided in section 58210
5111.92 of the Revised Code, the department of job and family 58211
services shall pay the federal financial participation obtained 58212
for such administrative costs to the board that incurs the 58213
administrative costs.58214

       (C) The director's authority to modify the manner, or to 58215
establish a new manner, for medicaid to pay for the services 58216
specified in division (A) of this section is not limited by any 58217
rules adopted under section 5111.02 or 5119.61 of the Revised Code 58218
that are in effect on the effective date of this section and 58219
govern the way medicaid pays for those services. This is the case 58220
regardless of what state agency adopted the rules. 58221

       Sec. 5111.03.  (A) No provider of services or goods58222
contracting with the department of job and family services58223
pursuant to the medicaid program shall, by deception, obtain or 58224
attempt to obtain payments under this chapter to which the 58225
provider is not entitled pursuant to the provider agreement, or 58226
the rules of the federal government or the department of job and 58227
family services relating to the program. No provider shall 58228
willfully receive payments to which the provider is not entitled, 58229
or willfully receive payments in a greater amount than that to 58230
which the provider is entitled; nor shall any provider falsify any 58231
report or document required by state or federal law, rule, or 58232
provider agreement relating to medicaid payments. As used in this 58233
section, a provider engages in "deception" when the provider, 58234
acting with actual knowledge of the representation or information 58235
involved, acting in deliberate ignorance of the truth or falsity 58236
of the representation or information involved, or acting in 58237
reckless disregard of the truth or falsity of the representation 58238
or information involved, deceives another or causes another to be 58239
deceived by any false or misleading representation, by withholding 58240
information, by preventing another from acquiring information, or 58241
by any other conduct, act, or omission that creates, confirms, or 58242
perpetuates a false impression in another, including a false 58243
impression as to law, value, state of mind, or other objective or 58244
subjective fact. No proof of specific intent to defraud is 58245
required to show, for purposes of this section, that a provider 58246
has engaged in deception.58247

       (B) Any provider who violates division (A) of this section58248
shall be liable, in addition to any other penalties provided by58249
law, for all of the following civil penalties:58250

       (1) Payment of interest on the amount of the excess payments 58251
at the maximum interest rate allowable for real estate mortgages 58252
under section 1343.01 of the Revised Code on the date the payment 58253
was made to the provider for the period from the date upon which 58254
payment was made, to the date upon which repayment is made to the 58255
state;58256

       (2) Payment of an amount equal to three times the amount of 58257
any excess payments;58258

       (3) Payment of a sum of not less than five thousand dollars 58259
and not more than ten thousand dollars for each deceptive claim or 58260
falsification;58261

       (4) All reasonable expenses which the court determines have 58262
been necessarily incurred by the state in the enforcement of this 58263
section.58264

       (C) InAs used in this division, "intermediate care facility 58265
for the mentally retarded" and "nursing facility" have the same 58266
meanings given in section 5111.20 of the Revised Code.58267

       In addition to the civil penalties provided in division (B) 58268
of this section, the director of job and family services, upon the 58269
conviction of, or the entry of a judgment in either a criminal or 58270
civil action against, a medicaid provider or its owner, officer, 58271
authorized agent, associate, manager, or employee in an action 58272
brought pursuant to section 109.85 of the Revised Code, shall 58273
terminate the provider agreement between the department and the 58274
provider and stop reimbursement to the provider for services 58275
rendered for a period of up to five years from the date of 58276
conviction or entry of judgment. As used in this chapter, "owner" 58277
means any person having at least five per cent ownership in the 58278
medicaid provider. No such provider, owner, officer, authorized 58279
agent, associate, manager, or employee shall own or provide 58280
services to any other medicaid provider or risk contractor or 58281
arrange for, render, or order services for medicaid recipients 58282
during the period of termination as provided in division (C) of 58283
this section, nor, during the period of termination as provided in 58284
division (C) of this section, shall such provider, owner, officer, 58285
authorized agent, associate, manager, or employee receive 58286
reimbursement in the form of direct payments from the department 58287
or indirect payments of medicaid funds in the form of salary, 58288
shared fees, contracts, kickbacks, or rebates from or through any 58289
participating provider or risk contractor. The provider agreement 58290
shall not be terminated or reimbursement terminated if the 58291
provider or owner can demonstrate that the provider or owner did 58292
not directly or indirectly sanction the action of its authorized 58293
agent, associate, manager, or employee that resulted in the 58294
conviction or entry of a judgment in a criminal or civil action 58295
brought pursuant to section 109.85 of the Revised Code. Nothing in 58296
this division prohibits any owner, officer, authorized agent, 58297
associate, manager, or employee of a medicaid provider from 58298
entering into a medicaid provider agreement if the person can 58299
demonstrate that the person had no knowledge of an action of the 58300
medicaid provider the person was formerly associated with that 58301
resulted in the conviction or entry of a judgment in a criminal or 58302
civil action brought pursuant to section 109.85 of the Revised 58303
Code.58304

       Providers subject to sections 5111.20 to 5111.32 of the58305
Revised CodeNursing facility or intermediate care facility for 58306
the mentally retarded providers whose agreements are terminated 58307
pursuant to this section may continue to receive reimbursement for 58308
up to thirty days after the effective date of the termination if 58309
the provider makes reasonable efforts to transfer recipients to 58310
another facility or to alternate care and if federal funds are 58311
provided for such reimbursement.58312

       (D) Any provider of services or goods contracting with the58313
department of job and family services pursuant to Title XIX of the58314
"Social Security Act," who, without intent, obtains payments under 58315
this chapter in excess of the amount to which the provider is58316
entitled, thereby becomes liable for payment of interest on the58317
amount of the excess payments at the maximum real estate mortgage58318
rate on the date the payment was made to the provider for the58319
period from the date upon which payment was made to the date upon58320
which repayment is made to the state.58321

       (E) The attorney general on behalf of the state may commence 58322
proceedings to enforce this section in any court of competent 58323
jurisdiction; and the attorney general may settle or compromise 58324
any case brought under this section with the approval of the 58325
department of job and family services. Notwithstanding any other58326
provision of law providing a shorter period of limitations, the58327
attorney general may commence a proceeding to enforce this section 58328
at any time within six years after the conduct in violation of 58329
this section terminates.58330

       (F) The authority, under state and federal law, of the58331
department of job and family services or a county department of 58332
job and family services to recover excess payments made to a 58333
provider is not limited by the availability of remedies under 58334
sections 5111.11 and 5111.12 of the Revised Code for recovering 58335
benefits paid on behalf of recipients of medical assistance.58336

       The penalties under this chapter apply to any overpayment,58337
billing, or falsification occurring on and after April 24, 1978.58338
All moneys collected by the state pursuant to this section shall58339
be deposited in the state treasury to the credit of the general58340
revenue fund.58341

       Sec. 5111.06.  (A)(1) As used in this section:58342

       (a) "Provider" means any person, institution, or entity that58343
furnishes medicaid services under a provider agreement with the58344
department of job and family services pursuant to Title XIX of the58345
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as58346
amended.58347

       (b) "Party" has the same meaning as in division (G) of58348
section 119.01 of the Revised Code.58349

       (c) "Adjudication" has the same meaning as in division (D) of 58350
section 119.01 of the Revised Code.58351

       (2) This section does not apply to any action taken by the58352
department of job and family services under sections 5111.35 to58353
5111.62 of the Revised Code.58354

       (B) Except as provided in division (D) of this section, the58355
department shall do either of the following by issuing an order58356
pursuant to an adjudication conducted in accordance with Chapter58357
119. of the Revised Code:58358

       (1) Enter into or refuse to enter into a provider agreement58359
with a provider, or suspend, terminate, renew, or refuse to renew58360
an existing provider agreement with a provider;58361

       (2) Take any action based upon a final fiscal audit of a58362
provider.58363

       (C) Any party who is adversely affected by the issuance of an 58364
adjudication order under division (B) of this section may appeal 58365
to the court of common pleas of Franklin county in accordance with 58366
section 119.12 of the Revised Code.58367

       (D) The department is not required to comply with division58368
(B)(1) of this section whenever any of the following occur:58369

       (1) The terms of a provider agreement require the provider to 58370
have a license, permit, or certificate issued by an official,58371
board, commission, department, division, bureau, or other agency58372
of state government other than the department of job and family58373
services, and the license, permit, or certificate has been denied58374
or revoked.58375

       (2) The provider agreement is denied, terminated, or not58376
renewed pursuant to division (C) or (E) of section 5111.03 of the58377
Revised Code;58378

       (3) The provider agreement is denied, terminated, or not58379
renewed due to the provider's termination, suspension, or58380
exclusion from the medicare program established under Title XVIII58381
of the "Social Security Act," and the termination, suspension, or58382
exclusion is binding on the provider's participation in the58383
medicaid program;58384

       (4) The provider agreement is denied, terminated, or not58385
renewed due to the provider's pleading guilty to or being58386
convicted of a criminal activity materially related to either the58387
medicare or medicaid program;58388

       (5) The provider agreement is denied, terminated, or58389
suspended as a result of action by the United States department of58390
health and human services and that action is binding on the58391
provider's participation in the medicaid program.58392

       (E) The department may withhold payments for services58393
rendered by a medicaid provider under the medical assistance58394
program during the pendency of proceedings initiated under58395
division (B)(1) of this section. If the proceedings are initiated58396
under division (B)(2) of this section, the department may withhold58397
payments only to the extent that they equal amounts determined in58398
a final fiscal audit as being due the state. This division does58399
not apply if the department fails to comply with section 119.07 of58400
the Revised Code, requests a continuance of the hearing, or does58401
not issue a decision within thirty days after the hearing is58402
completed. This division does not apply to nursing facilities and58403
intermediate care facilities for the mentally retarded subject to58404
sectionsas defined in section 5111.20 to 5111.32 of the Revised 58405
Code.58406

       Sec. 5111.08.        Sec. 5111.071.  Commencing in December, 1986, and 58407
every second December thereafter, the director of job and family 58408
services shall establish a dispensing fee, effective the following 58409
January, for licensed pharmacists who are providers under this 58410
chapter. The dispensing fee shall take into consideration the58411
results of the survey conducted under section 5111.07 of the 58412
Revised Code.58413

       Sec. 5111.16.        Sec. 5111.08.  In accordance with subsection (g) of 58414
section 1927 of the "Social Security Act," 49 Stat. 320 (1935), 42 58415
U.S.C.A. 1396r-8(g), as amended, the department of job and family 58416
services shall establish an outpatient drug use review program to 58417
assure that prescriptions obtained by recipients of medical58418
assistance under this chapter are appropriate, medically58419
necessary, and unlikely to cause adverse medical results.58420

       Sec. 5111.082.  The director of job and family services, in58421
rules adopted under section 5111.02 of the Revised Code, may58422
establish and implement a supplemental drug rebate program under58423
which drug manufacturers may be required to provide the department58424
of job and family services a supplemental rebate as a condition of58425
having the drug manufacturers' drug products covered by the58426
medicaid program without prior approval. If necessary, the58427
director may apply to the United States secretary of health and58428
human services for a waiver of federal statutes and regulations to58429
establish the supplemental drug rebate program.58430

       If the director establishes a supplemental drug rebate58431
program, the director shall consult with drug manufacturers58432
regarding the establishment and implementation of the program.58433

       If the director establishes a supplemental drug rebate58434
program, the director shall exempt from the program and from prior 58435
authorization or any other restriction all of a drug58436
manufacturer's drug products that have been approved by the United58437
States food and drug administration and for which there is no 58438
generic equivalent for the treatment of either of the following:58439

       (A) Mental illness, as defined in section 5122.01 of the58440
Revised Code, including schizophrenia, major depressive disorder,58441
and bipolar disorder;58442

       (B) HIV or AIDS, both as defined in section 3701.24 of the58443
Revised Code.58444

       Sec. 5111.083.  (A) Each time before the director of job and 58445
family services contracts with a person to administer the medicaid 58446
program's preferred drug list established under rules adopted 58447
under section 5111.02 of the Revised Code or supplemental drug 58448
rebate program established under section 5111.082 of the Revised 58449
Code, an advisory council consisting of the following members 58450
shall be appointed to review the proposals submitted by persons 58451
seeking the contract and to select the person who is to be awarded 58452
the contract:58453

       (1) The director of job and family services;58454

       (2) One member of the house of representatives who is a 58455
member of the majority party and one member of the house of 58456
representatives who is a member of the minority party, appointed 58457
by the speaker of the house of representatives;58458

       (3) One member of the senate who is a member of the majority 58459
party and one member of the senate who is a member of the minority 58460
party, appointed by the president of the senate;58461

       (4) One representative of patient advocates, appointed by the 58462
speaker of the house of representatives;58463

       (5) One representative of patient advocates, appointed by the 58464
president of the senate;58465

       (6) One representative of the Ohio state medical association, 58466
appointed by that association's executive director;58467

       (7) One representative of large businesses, appointed by the 58468
president of the Ohio chamber of commerce;58469

       (8) One representative of small businesses, appointed by the 58470
state director of the Ohio chapter of the national federation of 58471
independent businesses;58472

       (9) One representative of local government, appointed by the 58473
executive director of the county commissioners' association of 58474
Ohio.58475

       The advisory council shall elect a chairperson from among its 58476
members.58477

       (B) All of the following apply to an advisory council 58478
appointed under this section:58479

       (1) It is subject to the open meetings law under section 58480
121.22 of the Revised Code.58481

       (2) Its members may vote to select the person to be awarded 58482
the contract to administer the medicaid program's preferred drug 58483
list or supplemental drug rebate program only if a quorum of the 58484
members is present at the meeting at which the vote is taken.58485

       (3) Its members shall not be reimbursed for their expenses 58486
incurred in their work on the advisory council.58487

       (4) It may seek grants, donations, or other funds to pay for 58488
its activities.58489

       (5) It shall cease to exist when it selects the person to be 58490
awarded the contract that the advisory council was appointed to 58491
select.58492

       (C) The department of job and family services shall provide 58493
to an advisory council appointed under this section copies of 58494
proposals submitted by each person seeking the contract to 58495
administer the medicaid program's preferred drug list or 58496
supplemental drug rebate program for which the advisory council 58497
was appointed. The department shall redact from each copy of each 58498
proposal it provides to an advisory council under this section any 58499
proprietary information included in the proposal. The person with 58500
whom the department contracts for that purpose shall be the person 58501
the advisory council selects.58502

       Sec. 5111.111.  As used in this section, "home and58503
community-based services" means services provided pursuant to a 58504
waiver under section 1915 of the "Social Security Act," 49 Stat. 58505
620 (1935), 42 U.S.C.A. 1396n, as amended.58506

       The department of job and family services may place a lien58507
against the property of a medical assistance recipient or 58508
recipient's spouse, other than a recipient or spouse of a 58509
recipient of home and community-based services, that the 58510
department may recover as part of the program instituted under 58511
section 5111.11 of the Revised Code. When medical assistance is 58512
paid on behalf of any person in circumstances under which federal 58513
law and regulations and this section permit the imposition of a58514
lien, the director of job and family services or a person 58515
designated by the director may sign a certificate to the effect. 58516
The county department of job and family services shall file for 58517
recording and indexing the certificate, or a certified copy, in 58518
the real estate mortgage records in the office of the county 58519
recorder in every county in which real property of the recipient 58520
or spouse is situated. From the time of filing the certificate in 58521
the office of the county recorder, the lien attaches to all real 58522
property of the recipient or spouse described therein for all 58523
amounts of aid which are paid or which thereafter are paid, and 58524
shall remain a lien until satisfied.58525

       Upon filing the certificate in the office of the recorder,58526
all persons are charged with notice of the lien and the rights of58527
the department of job and family services thereunder.58528

       The county recorder shall keep a record of every certificate 58529
filed showing its date, the time of filing, the name and residence 58530
of the recipient or spouse, and any release, waivers, or 58531
satisfaction of the lien.58532

       The priority of the lien shall be established in accordance 58533
with state and federal law.58534

       The department may waive the priority of its lien to provide 58535
for the costs of the last illness as determined by the department, 58536
administration, attorney fees, administrator fees, a sum for the 58537
payment of the costs of burial, which shall be computed by 58538
deducting from five hundred dollars whatever amount is available 58539
for the same purpose from all other sources, and a similar sum for 58540
the spouse of the decedent.58541

       Sec. 5111.151. (A) This section applies to eligibility 58542
determinations for all cases involving medical assistance provided 58543
pursuant to this chapter, qualified medicare beneficiaries, 58544
specified low-income medicare beneficiaries, qualifying 58545
individuals-1, qualifying individuals-2, and medical assistance 58546
for covered families and children.58547

        (B) As used in this section:58548

        (1) "Trust" means any arrangement in which a grantor 58549
transfers real or personal property to a trust with the intention 58550
that it be held, managed, or administered by at least one trustee 58551
for the benefit of the grantor or beneficiaries. "Trust" includes 58552
any legal instrument or device similar to a trust.58553

        (2) "Legal instrument or device similar to a trust" includes, 58554
but is not limited to, escrow accounts, investment accounts, 58555
partnerships, contracts, and other similar arrangements that are 58556
not called trusts under state law but are similar to a trust and 58557
to which all of the following apply:58558

        (a) The property in the trust is held, managed, retained, or 58559
administered by a trustee.58560

        (b) The trustee has an equitable, legal, or fiduciary duty to 58561
hold, manage, retain, or administer the property for the benefit 58562
of the beneficiary.58563

        (c) The trustee holds identifiable property for the 58564
beneficiary.58565

        (3) "Grantor" is a person who creates a trust, including all 58566
of the following:58567

        (a) An individual;58568

        (b) An individual's spouse;58569

        (c) A person, including a court or administrative body, with 58570
legal authority to act in place of or on behalf of an individual 58571
or an individual's spouse;58572

        (d) A person, including a court or administrative body, that 58573
acts at the direction or on request of an individual or the 58574
individual's spouse.58575

        (4) "Beneficiary" is a person or persons, including a 58576
grantor, who benefits in some way from a trust.58577

        (5) "Trustee" is a person who manages a trust's principal and 58578
income for the benefit of the beneficiaries.58579

        (6) "Person" has the same meaning as in section 1.59 of the 58580
Revised Code and includes an individual, corporation, business 58581
trust, estate, trust, partnership, and association.58582

        (7) "Applicant" is an individual who applies for medical 58583
assistance benefits or the individual's spouse.58584

        (8) "Recipient" is an individual who receives medical 58585
assistance benefits or the individual's spouse.58586

        (9) "Revocable trust" is a trust that can be revoked by the 58587
grantor or the beneficiary, including all of the following, even 58588
if the terms of the trust state that it is irrevocable:58589

        (a) A trust that provides that the trust can be terminated 58590
only by a court;58591

        (b) A trust that terminates on the happening of an event, but 58592
only if the event occurs at the direction or control of the 58593
grantor, beneficiary, or trustee.58594

        (10) "Irrevocable trust" is a trust that cannot be revoked by 58595
the grantor or terminated by a court and that terminates only on 58596
the occurrence of an event outside of the control or direction of 58597
the beneficiary or grantor.58598

        (11) "Payment" is any disbursal from the principal or income 58599
of the trust, including actual cash, noncash or property 58600
disbursements, or the right to use and occupy real property.58601

        (12) "Payments to or for the benefit of the applicant or 58602
recipient" is a payment to any person resulting in a direct or 58603
indirect benefit to the applicant or recipient.58604

        (13) "Testamentary trust" is a trust that is established by a 58605
will and does not take effect until after the death of the person 58606
who created the trust.58607

        (C) If an applicant or recipient is a beneficiary of a trust, 58608
the county department of job and family services shall determine 58609
what type of trust it is and shall treat the trust in accordance 58610
with the appropriate provisions of this section and rules adopted 58611
by the department of job and family services governing trusts. The 58612
county department of job and family services may determine that 58613
the trust or portion of the trust is one of the following:58614

        (1) A countable resource;58615

        (2) Countable income;58616

        (3) A countable resource and countable income;58617

        (4) Not a countable resource or countable income.58618

        (D)(1) A trust or legal instrument or device similar to a 58619
trust shall be considered a medicaid qualifying trust if all of 58620
the following apply:58621

       (a) The trust was established on or prior to August 10, 1993.58622

       (b) The trust was not established by a will.58623

       (c) The trust was established by an applicant or recipient.58624

       (d) The applicant or recipient is or may become the 58625
beneficiary of all or part of the trust.58626

       (e) Payment from the trust is determined by one or more 58627
trustees who are permitted to exercise any discretion with respect 58628
to the distribution to the applicant or recipient.58629

       (2) If a trust meets the requirement of division (D)(1) of 58630
this section, the amount of the trust that is considered by the 58631
county department of job and family services as an available 58632
resource to the applicant or recipient shall be the maximum amount 58633
of payments permitted under the terms of the trust to be 58634
distributed to the applicant or recipient, assuming the full 58635
exercise of discretion by the trustee or trustees. The maximum 58636
amount shall include only amounts that are permitted to be 58637
distributed but are not distributed from either the income or 58638
principal of the trust.58639

       (3) Amounts that are actually distributed from a Medicaid 58640
qualifying trust to a beneficiary for any purpose shall be treated 58641
in accordance with rules adopted by the department of job and 58642
family services governing income.58643

       (4) Availability of a medicaid qualifying trust shall be 58644
considered without regard to any of the following:58645

       (a) Whether or not the trust is irrevocable or was 58646
established for purposes other than to enable a grantor to qualify 58647
for medicaid, medical assistance for covered families and 58648
children, or as a qualified medicare beneficiary, specified 58649
low-income medicare beneficiary, qualifying individual-1, or 58650
qualifying individual-2;58651

       (b) Whether or not the trustee actually exercises discretion.58652

       (5) If any real or personal property is transferred to a 58653
medicaid qualifying trust that is not distributable to the 58654
applicant or recipient, the transfer shall be considered an 58655
improper transfer of resources and shall be subject to rules 58656
adopted by the department of job and family services governing 58657
improper transfers of resources.58658

       (6) The baseline date for the look-back period for transfers 58659
of assets involving a medicaid qualifying trust shall be the date 58660
on which the applicant or recipient is both institutionalized and 58661
first applies for medical assistance. The following conditions 58662
also apply to look-back periods for transfers of assets involving 58663
medicaid qualifying trusts:58664

       (a) If a medicaid qualifying trust is a revocable trust and a 58665
portion of the trust is distributed to someone other than the 58666
applicant or recipient for the benefit of someone other than the 58667
applicant or recipient, the distribution shall be considered an 58668
improper transfer of resources. The look-back period shall be 58669
sixty months from the baseline date. The transfer shall be 58670
considered to have taken place on the date on which the payment to 58671
someone other than the applicant or recipient was made.58672

       (b) If a medicaid qualifying trust is an irrevocable trust 58673
and a portion of the trust is not distributable to the applicant 58674
or recipient, the trust shall be treated as an improper transfer 58675
of resources. The look-back period shall be sixty months from the 58676
baseline date. The transfer is considered to have been made as of 58677
the later of the date the trust was established or the date on 58678
which payment to the applicant or recipient was foreclosed. The 58679
value of the assets shall not be reduced by any payments from the 58680
trust that may be made from these unavailable assets at a later 58681
date.58682

       (c) If a medicaid qualifying trust is an irrevocable trust 58683
and a portion or all of the trust may be disbursed to or for the 58684
benefit of the applicant or recipient, any payment that is made to 58685
another person other than the applicant or recipient shall be 58686
considered an improper transfer of resources. The look-back period 58687
shall be thirty-six months from the baseline date. The transfer 58688
shall be considered to have been made as of the date of payment to 58689
the other person.58690

       (E)(1) A trust or legal instrument or device similar to a 58691
trust shall be considered a self-settled trust if all of the 58692
following apply:58693

        (a) The trust was established on or after August 11, 1993.58694

        (b) The trust was not established by a will.58695

        (c) The trust was established by an applicant or recipient, 58696
spouse of an applicant or recipient, or a person, including a 58697
court or administrative body, with legal authority to act in place 58698
of or on behalf of an applicant, recipient, or spouse, or acting 58699
at the direction or on request of an applicant, recipient, or 58700
spouse.58701

        (2) A trust that meets the requirements of division (E)(1) of 58702
this section and is a revocable trust shall be treated by the 58703
county department of job and family services as follows:58704

        (a) The corpus of the trust shall be considered a resource 58705
available to the applicant or recipient.58706

        (b) Payments from the trust to or for the benefit of the 58707
applicant or recipient shall be considered unearned income of the 58708
applicant or recipient.58709

        (c) Any other payments from the trust shall be considered an 58710
improper transfer of resources and shall be subject to rules 58711
adopted by the department of job and family services governing 58712
improper transfers of resources.58713

        (3) A trust that meets the requirements of division (E)(1) of 58714
this section and is an irrevocable trust shall be treated by the 58715
county department of job and family services as follows:58716

        (a) If there are any circumstances under which payment from 58717
the trust could be made to or for the benefit of the applicant or 58718
recipient, including a payment that can be made only in the 58719
future, the portion from which payments could be made shall be 58720
considered a resource available to the applicant or recipient. The 58721
county department of job and family services shall not take into 58722
account when payments can be made.58723

        (b) Any payment that is actually made to or for the benefit 58724
of the applicant or recipient from either the corpus or income 58725
shall be considered unearned income.58726

        (c) If a payment is made to someone other than to the 58727
applicant or recipient and the payment is not for the benefit of 58728
the applicant or recipient, the payment shall be considered an 58729
improper transfer of resources and shall be subject to rules 58730
adopted by the department of job and family services governing 58731
improper transfers of resources.58732

        (d) The date of the transfer shall be the later of the date 58733
of establishment of the trust or the date of the occurrence of the 58734
event.58735

        (e) When determining the value of the transferred resource 58736
under this provision, the value of the trust shall be its value on 58737
the date payment to the applicant or recipient was foreclosed.58738

        (f) Any income earned or other resources added subsequent to 58739
the foreclosure date shall be added to the total value of the 58740
trust.58741

        (g) Any payments to or for the benefit of the applicant or 58742
recipient after the foreclosure date but prior to the application 58743
date shall be subtracted from the total value. Any other payments 58744
shall not be subtracted from the value.58745

        (h) Any addition of resources after the foreclosure date 58746
shall be considered a separate transfer.58747

        (4) If a trust is funded with assets of another person or 58748
persons in addition to assets of the applicant or recipient, the 58749
applicable provisions of this section and rules adopted by the 58750
department of job and family services governing trusts shall apply 58751
only to the portion of the trust attributable to the applicant or 58752
recipient.58753

        (5) The availability of a self-settled trust shall be 58754
considered without regard to any of the following:58755

        (a) The purpose for which the trust is established;58756

        (b) Whether the trustees have exercised or may exercise 58757
discretion under the trust;58758

        (c) Any restrictions on when or whether distributions may be 58759
made from the trust;58760

        (d) Any restrictions on the use of distributions from the 58761
trust.58762

        (6) The baseline date for the look-back period for transfers 58763
of assets involving a self-settled trust shall be the date on 58764
which the applicant or recipient is both institutionalized and 58765
first applies for medical assistance. The following conditions 58766
also apply to look-back periods for transfers of assets involving 58767
self-settled trusts:58768

        (a) If a self-settled trust is a revocable trust and a 58769
portion of the trust is distributed to someone other than the 58770
applicant or recipient for the benefit of someone other than the 58771
applicant or recipient, the distribution shall be considered an 58772
improper transfer of resources. The look-back period shall be 58773
sixty months from the baseline date. The transfer shall be 58774
considered to have taken place on the date on which the payment to 58775
someone other than the applicant or recipient was made.58776

        (b) If a self-settled trust is an irrevocable trust and a 58777
portion of the trust is not distributable to the applicant or 58778
recipient, the trust shall be treated as an improper transfer of 58779
resources. The look-back period shall be sixty months from the 58780
baseline date. The transfer is considered to have been made as of 58781
the later of the date the trust was established or the date on 58782
which payment to the applicant or recipient was foreclosed. The 58783
value of these assets shall not be reduced by any payments from 58784
the trust that may be made from these unavailable assets at a 58785
later date.58786

        (c) If a self-settled trust is an irrevocable trust and a 58787
portion or all of the trust may be disbursed to or for the benefit 58788
of the applicant or recipient, any payment that is made to another 58789
person other than the applicant or recipient shall be considered 58790
an improper transfer of resources. The look-back period shall be 58791
thirty-six months from the baseline date. The transfer shall be 58792
considered to have been made as of the date of payment to the 58793
other person.58794

        (F) The principal or income from any of the following shall 58795
be exempt from being counted as a resource by a county department 58796
of job and family services:58797

        (1)(a) A special needs trust that meets all of the following 58798
requirements:58799

        (i) The trust contains assets of an applicant or recipient 58800
under sixty-five years of age and may contain the assets of other 58801
individuals.58802

        (ii) The applicant or recipient is disabled as defined in 58803
rules adopted by the department of job and family services.58804

        (iii) The trust is established for the benefit of the 58805
applicant or recipient by a parent, grandparent, legal guardian, 58806
or a court.58807

        (iv) The trust requires that on the death of the applicant or 58808
recipient the state will receive all amounts remaining in the 58809
trust up to an amount equal to the total amount of medical 58810
assistance paid on behalf of the applicant or recipient.58811

        (b) If a special needs trust meets the requirements of 58812
division (F)(1)(a) of this section and has been established for a 58813
disabled applicant or recipient under sixty-five years of age, the 58814
exemption for the trust granted pursuant to division (F) of this 58815
section shall continue after the disabled applicant or recipient 58816
becomes sixty-five years of age if the applicant or recipient 58817
continues to be disabled as defined in rules adopted by the 58818
department of job and family services. Except for income earned by 58819
the trust, the grantor shall not add to or otherwise augment the 58820
trust after the applicant or recipient attains sixty-five years of 58821
age. An addition or augmentation of the trust by the applicant or 58822
recipient with the applicant's own assets after the applicant or 58823
recipient attains sixty-five years of age shall be treated as an 58824
improper transfer of resources.58825

        (c) Cash distributions to the applicant or recipient shall be 58826
counted as unearned income. All other distributions from the trust 58827
shall be treated as provided in rules adopted by the department of 58828
job and family services governing in-kind income.58829

        (d) Transfers of assets to a special needs trust shall not be 58830
treated as an improper transfer of resources. Assets held prior to 58831
the transfer to the trust shall be considered as countable assets 58832
or countable income or countable assets and income.58833

        (2)(a) A qualifying income trust that meets all of the 58834
following requirements:58835

        (i) The trust is composed only of pension, social security, 58836
and other income to the applicant or recipient, including 58837
accumulated interest in the trust.58838

        (ii) The income is received by the individual and the right 58839
to receive the income is not assigned or transferred to the trust.58840

        (iii) The trust requires that on the death of the applicant 58841
or recipient the state will receive all amounts remaining in the 58842
trust up to an amount equal to the total amount of medical 58843
assistance paid on behalf of the applicant or recipient.58844

        (b) No resources shall be used to establish or augment the 58845
trust.58846

        (c) If an applicant or recipient has irrevocably transferred 58847
or assigned the applicant's or recipient's right to receive income 58848
to the trust, the trust shall not be considered a qualifying 58849
income trust by the county department of job and family services.58850

        (d) Income placed in a qualifying income trust shall not be 58851
counted in determining an applicant's or recipient's eligibility 58852
for medical assistance. The recipient of the funds may place any 58853
income directly into a qualifying income trust without those funds 58854
adversely affecting the applicant's or recipient's eligibility for 58855
medical assistance. Income generated by the trust that remains in 58856
the trust shall not be considered as income to the applicant or 58857
recipient.58858

        (e) All income placed in a qualifying income trust shall be 58859
combined with any countable income not placed in the trust to 58860
arrive at a base income figure to be used for spend down 58861
calculations.58862

        (f) The base income figure shall be used for post-eligibility 58863
deductions, including personal needs allowance, monthly income 58864
allowance, family allowance, and medical expenses not subject to 58865
third party payment. Any income remaining shall be used toward 58866
payment of patient liability. Payments made from a qualifying 58867
income trust shall not be combined with the base income figure for 58868
post-eligibility calculations.58869

        (g) The base income figure shall be used when determining the 58870
spend down budget for the applicant or recipient. Any income 58871
remaining after allowable deductions are permitted as provided 58872
under rules adopted by the department of job and family services 58873
shall be considered the applicant's or recipient's spend down 58874
liability.58875

        (3)(a) A pooled trust that meets all of the following 58876
requirements:58877

        (i) The trust contains the assets of the applicant or 58878
recipient of any age who is disabled as defined in rules adopted 58879
by the department of job and family services.58880

        (ii) The trust is established and managed by a nonprofit 58881
association.58882

        (iii) A separate account is maintained for each beneficiary 58883
of the trust but, for purposes of investment and management of 58884
funds, the trust pools the funds in these accounts.58885

        (iv) Accounts in the trust are established by the applicant 58886
or recipient, the applicant's or recipient's parent, grandparent, 58887
or legal guardian, or a court solely for the benefit of 58888
individuals who are disabled.58889

        (v) The trust requires that, to the extent that any amounts 58890
remaining in the beneficiary's account on the death of the 58891
beneficiary are not retained by the trust, the trust pay to the 58892
state the amounts remaining in the trust up to an amount equal to 58893
the total amount of medical assistance paid on behalf of the 58894
beneficiary.58895

        (b) Cash distributions to the applicant or recipient shall be 58896
counted as unearned income. All other distributions from the trust 58897
shall be treated as provided in rules adopted by the department of 58898
job and family services governing in-kind income.58899

        (c) Transfers of assets to a pooled trust shall not be 58900
treated as an improper transfer of resources. Assets held prior to 58901
the transfer to the trust shall be considered as countable assets, 58902
countable income, or countable assets and income.58903

        (4) A supplemental services trust that meets the requirements 58904
of section 1339.51 of the Revised Code and to which all of the 58905
following apply:58906

        (a) A person may establish a supplemental services trust 58907
pursuant to section 1339.51 of the Revised Code only for another 58908
person who is eligible to receive services through one of the 58909
following agencies:58910

        (i) The department of mental retardation and developmental 58911
disabilities;58912

        (ii) A county board of mental retardation and developmental 58913
disabilities;58914

        (iii) The department of mental health;58915

        (iv) A board of alcohol, drug addiction, and mental health 58916
services.58917

        (b) A county department of job and family services shall not 58918
determine eligibility for another agency's program. An applicant 58919
or recipient shall do one of the following:58920

        (i) Provide documentation from one of the agencies listed in 58921
division (F)(4)(a) of this section that establishes that the 58922
applicant or recipient was determined to be eligible for services 58923
from the agency at the time of the creation of the trust;58924

        (ii) Provide an order from a court of competent jurisdiction 58925
that states that the applicant or recipient was eligible for 58926
services from one of the agencies listed in division (F)(4)(a) of 58927
this section at the time of the creation of the trust.58928

        (c) At the time the trust is created, the trust principal 58929
does not exceed the maximum amount permitted. The maximum amount 58930
permitted in calendar year 2002 is two hundred fourteen thousand 58931
dollars. Each year thereafter, the maximum amount permitted is the 58932
prior year's amount plus two thousand dollars.58933

        (d) A county department of job and family services shall 58934
review the trust to determine whether it complies with the 58935
provisions of section 1339.51 of the Revised Code.58936

        (e) Payments from supplemental services trusts shall be 58937
exempt as long as the payments are for supplemental services as 58938
defined in rules adopted by the department of job and family 58939
services. All supplemental services shall be purchased by the 58940
trustee and shall not be purchased through direct cash payments to 58941
the beneficiary.58942

        (f) If a trust is represented as a supplemental services 58943
trust and a county department of job and family services 58944
determines that the trust does not meet the requirements provided 58945
in division (F)(4) of this section and section 1339.51 of the 58946
Revised Code, the county department of job and family services 58947
shall not consider it an exempt trust.58948

        (G)(1) A trust or legal instrument or device similar to a 58949
trust shall be considered a trust established by an individual for 58950
the benefit of the applicant or recipient if all of the following 58951
apply:58952

        (a) The trust is created by a person other than the applicant 58953
or recipient.58954

        (b) The trust names the applicant or recipient as a 58955
beneficiary.58956

        (c) The trust is funded with assets or property in which the 58957
applicant or recipient has never held an ownership interest prior 58958
to the establishment of the trust.58959

        (2) Any portion of a trust that meets the requirements of 58960
division (G)(1) of this section shall be an available resource 58961
only if the trust permits the trustee to expend principal, corpus, 58962
or assets of the trust for the applicant's or recipient's medical 58963
care, care, comfort, maintenance, health, welfare, general well 58964
being, or any combination of these purposes.58965

        (3) A trust that meets the requirements of division (G)(1) of 58966
this section shall be considered an available resource even if the 58967
trust contains any of the following types of provisions:58968

        (a) A provision that prohibits the trustee from making 58969
payments that would supplant or replace medical assistance or 58970
other public assistance;58971

        (b) A provision that prohibits the trustee from making 58972
payments that would impact or have an effect on the applicant's or 58973
recipient's right, ability, or opportunity to receive medical 58974
assistance or other public assistance;58975

        (c) A provision that attempts to prevent the trust or its 58976
corpus or principal from being counted as an available resource.58977

        (4) A trust that meets the requirements of division (G)(1) of 58978
this section shall not be counted as an available resource if at 58979
least one of the following circumstances applies:58980

        (a) If a trust contains a clear statement requiring the 58981
trustee to preserve a portion of the trust for another beneficiary 58982
or remainderman, that portion of the trust shall not be counted as 58983
an available resource. Terms of a trust that grant discretion to 58984
preserve a portion of the trust shall not qualify as a clear 58985
statement requiring the trustee to preserve a portion of the 58986
trust.58987

        (b) If a trust contains a clear statement requiring the 58988
trustee to use a portion of the trust for a purpose other than 58989
medical care, care, comfort, maintenance, welfare, or general well 58990
being of the applicant or recipient, that portion of the trust 58991
shall not be counted as an available resource. Terms of a trust 58992
that grant discretion to limit the use of a portion of the trust 58993
shall not qualify as a clear statement requiring the trustee to 58994
use a portion of the trust for a particular purpose.58995

        (c) If a trust contains a clear statement limiting the 58996
trustee to making fixed periodic payments, the trust shall not be 58997
counted as an available resource and payments shall be treated in 58998
accordance with rules adopted by the department of job and family 58999
services governing income. Terms of a trust that grant discretion 59000
to limit payments shall not qualify as a clear statement requiring 59001
the trustee to make fixed periodic payments.59002

        (d) If a trust contains a clear statement that requires the 59003
trustee to terminate the trust if it is counted as an available 59004
resource, the trust shall not be counted as an available resource. 59005
Terms of a trust that grant discretion to terminate the trust do 59006
not qualify as a clear statement requiring the trustee to 59007
terminate the trust.59008

        (e) If a person obtains a judgment from a court of competent 59009
jurisdiction that expressly prevents the trustee from using part 59010
or all of the trust for the medical care, care, comfort, 59011
maintenance, welfare, or general well being of the applicant or 59012
recipient, the trust or that portion of the trust subject to the 59013
court order shall not be counted as a resource.59014

        (f) If a trust is specifically exempt from being counted as 59015
an available resource by a provision of the Revised Code, rules, 59016
or federal law, the trust shall not be counted as a resource.59017

        (g) If an applicant or recipient presents a final judgment 59018
from a court demonstrating that the applicant or recipient was 59019
unsuccessful in a civil action against the trustee to compel 59020
payments from the trust, the trust shall not be counted as an 59021
available resource.59022

        (h) If an applicant or recipient presents a final judgment 59023
from a court demonstrating that in a civil action against the 59024
trustee the applicant or recipient was only able to compel limited 59025
or periodic payments, the trust shall not be counted as an 59026
available resource and payments shall be treated in accordance 59027
with rules adopted by the department of job and family services 59028
governing income.59029

        (i) If an applicant or recipient provides written 59030
documentation showing that the cost of a civil action brought to 59031
compel payments from the trust would be cost prohibitive, the 59032
trust shall not be counted as an available resource.59033

        (5) Any actual payments to the applicant or recipient from a 59034
trust that meet the requirements of division (G)(1) of this 59035
section, including trusts that are not counted as an available 59036
resource, shall be treated as provided in rules adopted by the 59037
department of job and family services governing income. Payments 59038
to any person other than the applicant or recipient shall not be 59039
considered income to the applicant or recipient. Payments from the 59040
trust to a person other than the applicant or recipient shall not 59041
be considered an improper transfer of assets.59042

       Sec. 5111.16. (A) As part of the medicaid program, the 59043
department of job and family services shall establish a care 59044
management system. The department shall submit, if necessary, 59045
applications to the United States department of health and human 59046
services for waivers of federal medicaid requirements that would 59047
otherwise be violated in the implementation of the system.59048

       The department shall implement the care management system in 59049
some or all counties and shall designate the medicaid recipients 59050
who are required or permitted to participate in the system. In the 59051
case of individuals who receive medicaid on the basis of being 59052
aged, blind, or disabled, as specified in division (A)(2) of 59053
section 5111.01 of the Revised Code, all of the following apply:59054

       (1) Not later than July 1, 2004, the department shall 59055
designate a portion of the individuals for participation in the 59056
care management system.59057

       (2) Individuals shall not be designated for participation 59058
unless they reside in a county in which individuals who receive 59059
medicaid on another basis have been designated for participation.59060

       (3) If, pursuant to division (B)(2) of this section, the 59061
department requires or permits the individuals to obtain health 59062
care services through managed care organizations, the department 59063
shall select the managed care organizations to be used by the 59064
individuals through a request for proposals process. The 59065
department shall issue its initial request for proposals not later 59066
than December 31, 2003.59067

       (4) Individuals shall not be required to obtain health care 59068
services through managed care organizations unless they are at 59069
least twenty-one years of age.59070

       (B) Under the care management system, the department may do 59071
both of the following:59072

       (1) Require or permit participants in the system to obtain 59073
health care services from providers designated by the department;59074

       (2) Subject to division (A)(4) of this section, require or 59075
permit participants in the system to obtain health care services 59076
through managed care organizations under contract with the 59077
department pursuant to section 5111.17 of the Revised Code.59078

       (C) The director of job and family services may adopt rules 59079
in accordance with Chapter 119. of the Revised Code to implement 59080
this section.59081

       Sec. 5111.161.  (A) As used in this section, "chronically ill 59082
child" means an individual who is not more than twenty-one years 59083
of age and meets the conditions specified in division (A)(2) of 59084
section 5111.01 of the Revised Code to be eligible for medicaid on 59085
the basis of being blind or disabled.59086

        (B) The department of job and family services shall develop a 59087
pilot program under which chronically ill children are included 59088
among the medicaid recipients who are required to participate in 59089
the care management system established under section 5111.16 of 59090
the Revised Code. The pilot program shall be implemented not later 59091
than October 1, 2004, or, if by that date the department has not 59092
received any necessary federal approval to implement the program, 59093
as soon as practicable after receiving the approval. The 59094
department shall operate the program until October 1, 2006, except 59095
that the department shall cease operation of the program before 59096
that date if either of the following is the case:59097

        (1) The department determines that requiring chronically ill 59098
children to participate in the care management system is not a 59099
cost-effective means of providing medicaid services;59100

        (2) The combined state and federal cost of the children's 59101
care coordination described in division (D) of this section 59102
reaches three million dollars.59103

        (C) The department shall ensure that the pilot program is 59104
operated in at least three counties selected by the department. In 59105
its consideration of the counties to be selected, the department 59106
may give priority to Hamilton county and Muskingum county. The 59107
department may extend its operation of the program into the areas 59108
surrounding the counties in which the program is operated.59109

        (D) The purpose of the pilot program shall be to determine 59110
whether occurrences of acute illnesses and hospitalizations among 59111
chronically ill children can be prevented or reduced by 59112
establishing a medical home for the children where care is 59113
administered proactively and in a manner that is accessible, 59114
continuous, family-centered, coordinated, and compassionate. In 59115
establishing a medical home for a chronically ill child, all of 59116
the following apply:59117

        (1) A physician shall serve as the care coordinator for the 59118
child. The care coordinator may be engaged in practice as a 59119
pediatrician certified in pediatrics by a medical specialty board 59120
of the American medical association or American osteopathic 59121
association, a pediatric subspecialist, or a provider for the 59122
bureau of children with medical handicaps within the department of 59123
health. If the physician is in a group practice, any member of the 59124
group practice may serve as the child's care coordinator. The 59125
duties of the care coordinator may be performed by a person acting 59126
under the supervision of the care coordinator.59127

        (2) The child may receive care from any health care 59128
practitioner appropriate to the child's needs, but the care 59129
coordinator shall direct and oversee the child's overall care.59130

        (3) The care coordinator shall establish a relationship of 59131
mutual responsibility with the child's parents or other persons 59132
who are responsible for the child. Under this relationship, the 59133
care coordinator shall commit to developing a long-term disease 59134
prevention strategy and providing disease management and education 59135
services, while the child's parents or other persons who are 59136
responsible for the child shall commit to participate fully in 59137
implementing the child's care management plan.59138

        (4) The medicaid program shall provide reimbursement for the 59139
reasonable and necessary costs of the services associated with 59140
care coordination, including, but not limited to, case management, 59141
care plan oversight, preventive care, health and behavioral care 59142
assessment and intervention, and any service modifier that 59143
reflects the provision of prolonged services or additional care.59144

        (E) The department shall conduct an evaluation of the pilot 59145
program's effectiveness. As part of the evaluation, the department 59146
shall maintain statistics on physician expenditures, hospital 59147
expenditures, preventable hospitalizations, and other matters the 59148
department considers necessary to conduct the evaluation.59149

        (F) The department shall adopt rules in accordance with 59150
Chapter 119. of the Revised Code as necessary to implement this 59151
section. The rules shall specify standards and procedures to be 59152
used in designating the chronically ill children who are required 59153
to participate in the pilot program.59154

       Sec. 5111.17.  (A) On receipt of a waiver from the United59155
States department of health and human services of any federal59156
requirement that would otherwise be violated, theThe department 59157
of job and family services may establish in some or all counties a59158
managed care system under which designated recipients of medical59159
assistance are required to obtain health care services from59160
providers designated by the department.59161

       (B) The department may enter into contracts with managed care 59162
organizations to authorize, including health insuring 59163
corporations, under which the organizations are authorized to59164
provide, or arrange for the provision of, health care services to59165
medical assistance recipients participating in awho are required 59166
or permitted to obtain health care services through managed care59167
organizations as part of the care management system established 59168
under this section 5111.16 of the Revised Code.59169

       (C) For the purpose of determining the amount the department59170
pays hospitals under section 5112.08 of the Revised Code and the59171
amount of disproportionate share hospital payments paid by the59172
medicare program established under Title XVIII of the "Social59173
Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as amended,59174
each managed care organization under contract with the department59175
to provide hospital services to participating medical assistance59176
recipients shall keep detailed records for each hospital with59177
which it contracts about the cost to the hospital of providing the59178
care, payments made by the organization to the hospital for the59179
care, utilization of hospital services by medical assistance59180
recipients participating in managed care, and other utilization59181
data required by the department.59182

       (D)(B) The director of job and family services may adopt 59183
rules in accordance with Chapter 119. of the Revised Code to59184
implement this section.59185

       Sec. 5111.171. (A) The department of job and family services59186
may provide financial incentive awards to managed care59187
organizations thatunder contract with the department under59188
pursuant to section 5111.17 of the Revised Code to provide health 59189
care services to participating medical assistance recipients and59190
that meet or exceed performance standards specified in provider 59191
agreements or rules adopted by the department. The department may 59192
specify in a contract with a managed care organization the amounts 59193
of financial incentive awards, methodology for distributing 59194
awards, types of awards, and standards for administration by the 59195
department.59196

       (B) There is hereby created in the state treasury the health59197
care compliance fund. The fund shall consist of all fines imposed59198
on and collected from managed care organizations for failure to59199
nmeetmeet performance standards or other requirements specified 59200
in provider agreements or rules adopted by the department. All59201
investment earnings of the fund shall be credited to the fund.59202
Moneys credited to the fund shall be used solely for the following59203
purposes:59204

       (1) To reimburse managed care organizations that have paid59205
fines for failures to meet performance standards or other59206
requirements and that have come into compliance by meeting59207
requirements as specified by the department;59208

       (2) To provide financial incentive awards established59209
pursuant to division (A) of this section and specified in59210
contracts between managed care organizations and the department.59211

       Sec. 5111.172.  When contracting under section 5111.17 of the 59212
Revised Code with a managed care organization that is a health 59213
insuring corporation, the department of job and family services 59214
may require the health insuring corporation to provide coverage of 59215
prescription drugs for medicaid recipients enrolled in the health 59216
insuring corporation. In providing the required coverage, the 59217
health insuring corporation may, subject to the department's 59218
approval, use strategies for the management of drug utilization.59219

       Sec. 5111.173.  The department of job and family services 59220
shall appoint a temporary manager for a managed care organization 59221
under contract with the department pursuant to section 5111.17 of 59222
the Revised Code if the department determines that the managed 59223
care organization has repeatedly failed to meet substantive 59224
requirements specified in section 1903(m) of the "Social Security 59225
Act," 79 Stat. 286 (1965), 42 U.S.C. 1396b(m), as amended; section 59226
1932 of the Social Security Act, 42 U.S.C. 1396u-2, as amended; or 59227
42 C.F.R. 438 Part I. The appointment of a temporary manager does 59228
not preclude the department from imposing other sanctions 59229
available to the department against the managed care organization.59230

       The managed care organization shall pay all costs of having 59231
the temporary manager perform the temporary manager's duties, 59232
including all costs the temporary manager incurs in performing 59233
those duties. If the temporary manager incurs costs or liabilities 59234
on behalf of the managed care organization, the managed care 59235
organization shall pay those costs and be responsible for those 59236
liabilities. 59237

       The appointment of a temporary manager is not subject to 59238
Chapter 119. of the Revised Code, but the managed care 59239
organization may request a reconsideration of the appointment. 59240
Reconsiderations shall be requested and conducted in accordance 59241
with rules the director of job and family services shall adopt in 59242
accordance with Chapter 119. of the Revised Code.59243

       The appointment of a temporary manager does not cause the 59244
managed care organization to lose the right to appeal, in 59245
accordance with Chapter 119. of the Revised Code, any proposed 59246
termination or any decision not to renew the managed care 59247
organization's medicaid provider agreement or the right to 59248
initiate the sale of the managed care organization or its assets.59249

       In addition to the rules required to be adopted under this 59250
section, the director may adopt any other rules necessary to 59251
implement this section. The rules shall be adopted in accordance 59252
with Chapter 119. of the Revised Code.59253

       Sec. 5111.174.  The department of job and family services may 59254
disenroll some or all medicaid recipients enrolled in a managed 59255
care organization under contract with the department pursuant to 59256
section 5111.17 of the Revised Code if the department proposes to 59257
terminate or not to renew the contract and determines that the 59258
recipients' access to medically necessary services is jeopardized 59259
by the proposal to terminate or not to renew the contract. The 59260
disenrollment is not subject to Chapter 119. of the Revised Code, 59261
but the managed care organization may request a reconsideration of 59262
the disenrollment. Reconsiderations shall be requested and 59263
conducted in accordance with rules the director of job and family 59264
services shall adopt in accordance with Chapter 119. of the 59265
Revised Code. The request for, or conduct of, a reconsideration 59266
regarding a proposed disenrollment shall not delay the 59267
disenrollment.59268

       In addition to the rules required to be adopted under this 59269
section, the director may adopt any other rules necessary to 59270
implement this section. The rules shall be adopted in accordance 59271
with Chapter 119. of the Revised Code.59272

       Sec. 5111.175. For the purpose of determining the amount the59273
department of job and family services pays hospitals under section 59274
5112.08 of the Revised Code and the amount of disproportionate 59275
share hospital payments paid by the medicare program established 59276
under Title XVIII of the "Social Security Act," 79 Stat. 28659277
(1965), 42 U.S.C. 1396n, as amended, a managed care organization 59278
under contract with the department pursuant to section 5111.17 of 59279
the Revised Code authorizing the organization to provide, or 59280
arrange for the provision of, hospital services to medicaid 59281
recipients shall keep detailed records for each hospital with59282
which it contracts about the cost to the hospital of providing the59283
services, payments made by the organization to the hospital for 59284
the services, utilization of hospital services by medicaid59285
recipients enrolled in the organization, and other utilization59286
data required by the department.59287

       Sec. 5111.20.  As used in sections 5111.20 to 5111.325111.3459288
of the Revised Code:59289

       (A) "Allowable costs" are those costs determined by the59290
department of job and family services to be reasonable and do not59291
include fines paid under sections 5111.35 to 5111.61 and section59292
5111.99 of the Revised Code.59293

       (B) "Capital costs" means costs of ownership and nonextensive 59294
renovation.59295

       (1) "Cost of ownership" means the actual expense incurred for 59296
all of the following:59297

       (a) Depreciation and interest on any capital assets that cost 59298
five hundred dollars or more per item, including the following:59299

       (i) Buildings;59300

       (ii) Building improvements that are not approved as59301
nonextensive renovations under section 5111.25 or 5111.251 of the59302
Revised Code;59303

       (iii) Equipment;59304

       (iv) Extensive renovations;59305

       (v) Transportation equipment.59306

       (b) Amortization and interest on land improvements and59307
leasehold improvements;59308

       (c) Amortization of financing costs;59309

       (d) Except as provided in division (I) of this section, lease 59310
and rent of land, building, and equipment.59311

       The costs of capital assets of less than five hundred dollars59312
per item may be considered costs of ownership in accordance with a59313
provider's practice.59314

       (2) "Costs of nonextensive renovation" means the actual59315
expense incurred for depreciation or amortization and interest on59316
renovations that are not extensive renovations.59317

       (C) "Capital lease" and "operating lease" shall be construed59318
in accordance with generally accepted accounting principles.59319

       (D) "Case-mix score" means the measure determined under59320
section 5111.231 of the Revised Code of the relative direct-care59321
resources needed to provide care and habilitation to a resident of59322
a nursing facility or intermediate care facility for the mentally59323
retarded.59324

       (E) "Date of licensure," for a facility originally licensed59325
as a nursing home under Chapter 3721. of the Revised Code, means59326
the date specific beds were originally licensed as nursing home59327
beds under that chapter, regardless of whether they were59328
subsequently licensed as residential facility beds under section59329
5123.19 of the Revised Code. For a facility originally licensed as 59330
a residential facility under section 5123.19 of the Revised Code,59331
"date of licensure" means the date specific beds were originally 59332
licensed as residential facility beds under that section.59333

       (1) If nursing home beds licensed under Chapter 3721. of the59334
Revised Code or residential facility beds licensed under section59335
5123.19 of the Revised Code were not required by law to be59336
licensed when they were originally used to provide nursing home or59337
residential facility services, "date of licensure" means the date59338
the beds first were used to provide nursing home or residential59339
facility services, regardless of the date the present provider59340
obtained licensure.59341

       (2) If a facility adds nursing home beds or residential59342
facility beds or extensively renovates all or part of the facility59343
after its original date of licensure, it will have a different59344
date of licensure for the additional beds or extensively renovated59345
portion of the facility, unless the beds are added in a space that59346
was constructed at the same time as the previously licensed beds59347
but was not licensed under Chapter 3721. or section 5123.19 of the59348
Revised Code at that time.59349

       (F) "Desk-reviewed" means that costs as reported on a cost59350
report submitted under section 5111.26 of the Revised Code have59351
been subjected to a desk review under division (A) of section59352
5111.27 of the Revised Code and preliminarily determined to be59353
allowable costs.59354

       (G) "Direct care costs" means all of the following:59355

       (1)(a) Costs for registered nurses, licensed practical59356
nurses, and nurse aides employed by the facility;59357

       (b) Costs for direct care staff, administrative nursing59358
staff, medical directors, social services staff, activities staff,59359
psychologists and psychology assistants, social workers and59360
counselors, habilitation staff, qualified mental retardation59361
professionals, program directors, respiratory therapists,59362
habilitation supervisors, and except as provided in division59363
(G)(2) of this section, other persons holding degrees qualifying59364
them to provide therapy;59365

       (c) Costs of purchased nursing services;59366

       (d) Costs of quality assurance;59367

       (e) Costs of training and staff development, employee59368
benefits, payroll taxes, and workers' compensation premiums or59369
costs for self-insurance claims and related costs as specified in59370
rules adopted by the director of job and family services in59371
accordance with Chapter 119. of the Revised Code, for personnel59372
listed in divisions (G)(1)(a), (b), and (d) of this section;59373

       (f) Costs of consulting and management fees related to direct 59374
care;59375

       (g) Allocated direct care home office costs.59376

       (2) In addition to the costs specified in division (G)(1) of59377
this section, for intermediate care facilities for the mentally59378
retarded only, direct care costs include both of the following:59379

       (a) Costs for physical therapists and physical therapy59380
assistants, occupational therapists and occupational therapy59381
assistants, speech therapists, and audiologists;59382

       (b) Costs of training and staff development, employee59383
benefits, payroll taxes, and workers' compensation premiums or59384
costs for self-insurance claims and related costs as specified in59385
rules adopted by the director of job and family services in59386
accordance with Chapter 119. of the Revised Code, for personnel59387
listed in division (G)(2)(a) of this section.59388

       (3) Costs of other direct-care resources that are specified59389
as direct care costs in rules adopted by the director of job and59390
family services in accordance with Chapter 119. of the Revised59391
Code.59392

       (H) "Fiscal year" means the fiscal year of this state, as59393
specified in section 9.34 of the Revised Code.59394

       (I) "Indirect care costs" means all reasonable costs other59395
than direct care costs, other protected costs, or capital costs.59396
"Indirect care costs" includes but is not limited to costs of59397
habilitation supplies, pharmacy consultants, medical and59398
habilitation records, program supplies, incontinence supplies,59399
food, enterals, dietary supplies and personnel, laundry,59400
housekeeping, security, administration, liability insurance,59401
bookkeeping, purchasing department, human resources,59402
communications, travel, dues, license fees, subscriptions, home59403
office costs not otherwise allocated, legal services, accounting59404
services, minor equipment, maintenance and repairs, help-wanted59405
advertising, informational advertising, consumer satisfaction 59406
survey fees paid under section 173.55 of the Revised Code,59407
start-up costs, organizational expenses, other interest, property 59408
insurance, employee training and staff development, employee 59409
benefits, payroll taxes, and workers' compensation premiums or 59410
costs for self-insurance claims and related costs as specified in 59411
rules adopted by the director of job and family services in 59412
accordance with Chapter 119. of the Revised Code, for personnel59413
listed in this division. Notwithstanding division (B)(1) of this59414
section, "indirect care costs" also means the cost of equipment,59415
including vehicles, acquired by operating lease executed before59416
December 1, 1992, if the costs are reported as administrative and59417
general costs on the facility's cost report for the cost reporting 59418
period ending December 31, 1992.59419

       (J) "Inpatient days" means all days during which a resident,59420
regardless of payment source, occupies a bed in a nursing facility59421
or intermediate care facility for the mentally retarded that is59422
included in the facility's certified capacity under Title XIX of59423
the "Social Security Act," 49 Stat. 610 (1935), 42 U.S.C.A. 301,59424
as amended. Therapeutic or hospital leave days for which payment59425
is made under section 5111.33 of the Revised Code are considered59426
inpatient days proportionate to the percentage of the facility's59427
per resident per day rate paid for those days.59428

       (K) "Intermediate care facility for the mentally retarded"59429
means an intermediate care facility for the mentally retarded59430
certified as in compliance with applicable standards for the59431
medical assistance program by the director of health in accordance59432
with Title XIX of the "Social Security Act."59433

       (L) "Maintenance and repair expenses" means, except as59434
provided in division (X)(2) of this section, expenditures that are59435
necessary and proper to maintain an asset in a normally efficient59436
working condition and that do not extend the useful life of the59437
asset two years or more. "Maintenance and repair expenses"59438
includes but is not limited to the cost of ordinary repairs such59439
as painting and wallpapering.59440

       (M) "Nursing facility" means a facility, or a distinct part59441
of a facility, that is certified as a nursing facility by the59442
director of health in accordance with Title XIX of the "Social59443
Security Act," and is not an intermediate care facility for the59444
mentally retarded. "Nursing facility" includes a facility, or a59445
distinct part of a facility, that is certified as a nursing59446
facility by the director of health in accordance with Title XIX of59447
the "Social Security Act," and is certified as a skilled nursing59448
facility by the director in accordance with Title XVIII of the59449
"Social Security Act."59450

       (N) "Other protected costs" means costs for medical supplies; 59451
real estate, franchise, and property taxes; natural gas, fuel oil, 59452
water, electricity, sewage, and refuse and hazardous medical waste 59453
collection; allocated other protected home office costs; and any 59454
additional costs defined as other protected costs in rules adopted 59455
by the director of job and family services in accordance with 59456
Chapter 119. of the Revised Code.59457

       (O) "Owner" means any person or government entity that has at 59458
least five per cent ownership or interest, either directly,59459
indirectly, or in any combination, in a nursing facility or59460
intermediate care facility for the mentally retarded.59461

       (P) "Patient" includes "resident."59462

       (Q) Except as provided in divisions (Q)(1) and (2) of this59463
section, "per diem" means a nursing facility's or intermediate59464
care facility for the mentally retarded's actual, allowable costs59465
in a given cost center in a cost reporting period, divided by the59466
facility's inpatient days for that cost reporting period.59467

       (1) When calculating indirect care costs for the purpose of59468
establishing rates under section 5111.24 or 5111.241 of the59469
Revised Code, "per diem" means a facility's actual, allowable59470
indirect care costs in a cost reporting period divided by the59471
greater of the facility's inpatient days for that period or the59472
number of inpatient days the facility would have had during that59473
period if its occupancy rate had been eighty-five per cent.59474

       (2) When calculating capital costs for the purpose of59475
establishing rates under section 5111.25 or 5111.251 of the59476
Revised Code, "per diem" means a facility's actual, allowable59477
capital costs in a cost reporting period divided by the greater of59478
the facility's inpatient days for that period or the number of59479
inpatient days the facility would have had during that period if59480
its occupancy rate had been ninety-five per cent.59481

       (R) "Provider" means a person or government entity that59482
operates a nursing facility or intermediate care facility for the59483
mentally retarded under a provider agreement.59484

       (S) "Provider agreement" means a contract between the59485
department of job and family services and a nursing facility or59486
intermediate care facility for the mentally retarded for the59487
provision of nursing facility services or intermediate care59488
facility services for the mentally retarded under the medical59489
assistance program.59490

       (T) "Purchased nursing services" means services that are59491
provided in a nursing facility by registered nurses, licensed59492
practical nurses, or nurse aides who are not employees of the59493
facility.59494

       (U) "Reasonable" means that a cost is an actual cost that is59495
appropriate and helpful to develop and maintain the operation of59496
patient care facilities and activities, including normal standby59497
costs, and that does not exceed what a prudent buyer pays for a59498
given item or services. Reasonable costs may vary from provider to 59499
provider and from time to time for the same provider.59500

       (V) "Related party" means an individual or organization that, 59501
to a significant extent, has common ownership with, is associated 59502
or affiliated with, has control of, or is controlled by, the 59503
provider.59504

       (1) An individual who is a relative of an owner is a related59505
party.59506

       (2) Common ownership exists when an individual or individuals 59507
possess significant ownership or equity in both the provider and 59508
the other organization. Significant ownership or equity exists 59509
when an individual or individuals possess five per cent ownership 59510
or equity in both the provider and a supplier. Significant 59511
ownership or equity is presumed to exist when an individual or 59512
individuals possess ten per cent ownership or equity in both the 59513
provider and another organization from which the provider 59514
purchases or leases real property.59515

       (3) Control exists when an individual or organization has the 59516
power, directly or indirectly, to significantly influence or59517
direct the actions or policies of an organization.59518

       (4) An individual or organization that supplies goods or59519
services to a provider shall not be considered a related party if59520
all of the following conditions are met:59521

       (a) The supplier is a separate bona fide organization.59522

       (b) A substantial part of the supplier's business activity of 59523
the type carried on with the provider is transacted with others59524
than the provider and there is an open, competitive market for the59525
types of goods or services the supplier furnishes.59526

       (c) The types of goods or services are commonly obtained by59527
other nursing facilities or intermediate care facilities for the59528
mentally retarded from outside organizations and are not a basic59529
element of patient care ordinarily furnished directly to patients59530
by the facilities.59531

       (d) The charge to the provider is in line with the charge for 59532
the goods or services in the open market and no more than the59533
charge made under comparable circumstances to others by the59534
supplier.59535

       (W) "Relative of owner" means an individual who is related to 59536
an owner of a nursing facility or intermediate care facility for 59537
the mentally retarded by one of the following relationships:59538

       (1) Spouse;59539

       (2) Natural parent, child, or sibling;59540

       (3) Adopted parent, child, or sibling;59541

       (4) Step-parent, step-child, step-brother, or step-sister;59542

       (5) Father-in-law, mother-in-law, son-in-law,59543
daughter-in-law, brother-in-law, or sister-in-law;59544

       (6) Grandparent or grandchild;59545

       (7) Foster caregiver, foster child, foster brother, or foster 59546
sister.59547

       (X) "Renovation" and "extensive renovation" mean:59548

       (1) Any betterment, improvement, or restoration of a nursing59549
facility or intermediate care facility for the mentally retarded59550
started before July 1, 1993, that meets the definition of a59551
renovation or extensive renovation established in rules adopted by59552
the director of job and family services in effect on December 22,59553
1992.59554

       (2) In the case of betterments, improvements, and59555
restorations of nursing facilities and intermediate care59556
facilities for the mentally retarded started on or after July 1,59557
1993:59558

       (a) "Renovation" means the betterment, improvement, or59559
restoration of a nursing facility or intermediate care facility59560
for the mentally retarded beyond its current functional capacity59561
through a structural change that costs at least five hundred59562
dollars per bed. A renovation may include betterment, improvement, 59563
restoration, or replacement of assets that are affixed to the 59564
building and have a useful life of at least five years. A 59565
renovation may include costs that otherwise would be considered 59566
maintenance and repair expenses if they are an integral part of 59567
the structural change that makes up the renovation project.59568
"Renovation" does not mean construction of additional space for 59569
beds that will be added to a facility's licensed or certified 59570
capacity.59571

       (b) "Extensive renovation" means a renovation that costs more 59572
than sixty-five per cent and no more than eighty-five per cent of 59573
the cost of constructing a new bed and that extends the useful 59574
life of the assets for at least ten years.59575

       For the purposes of division (X)(2) of this section, the cost59576
of constructing a new bed shall be considered to be forty thousand59577
dollars, adjusted for the estimated rate of inflation from January59578
1, 1993, to the end of the calendar year during which the59579
renovation is completed, using the consumer price index for59580
shelter costs for all urban consumers for the north central59581
region, as published by the United States bureau of labor59582
statistics.59583

       The department of job and family services may treat a59584
renovation that costs more than eighty-five per cent of the cost59585
of constructing new beds as an extensive renovation if the59586
department determines that the renovation is more prudent than59587
construction of new beds.59588

       Sec. 5111.21.  (A) Subject to sections 5111.01, 5111.011,59589
5111.012, and 5111.02, and 5111.211 of the Revised Code, the 59590
department of job and family services shall pay, as provided in 59591
sections 5111.20 to 5111.32 of the Revised Code, the reasonable 59592
costs of services provided to an eligible medicaid recipient by an 59593
eligible nursing facility or intermediate care facility for the 59594
mentally retarded.59595

       In order to be eligible for medical assistance payments, a59596
nursing facility or intermediate care facility for the mentally59597
retarded shall do all of the following:59598

       (1) Enter into a provider agreement with the department as59599
provided in section 5111.22 of the Revised Code;59600

       (2) Apply for and maintain a valid license to operate if so 59601
required by law;59602

       (3) Comply with all applicable state and federal laws and59603
rules.59604

       (B) A nursing facility that elects to obtain and maintain59605
eligibility for payments under the medicaremedicaid program 59606
established by Title XVIII of the "Social Security Act," 49 Stat. 59607
620 (1935), 42 U.S.C.A. 301, as amended mayshall qualify all or 59608
part of the facilityof the facility's medicaid-certified beds in 59609
the medicare program established by Title XVIII of the "Social 59610
Security Act," 79 Stat. 286 (1965), 42 U.S.C. 1395. The director 59611
of job and family services may adopt rules in accordance with 59612
Chapter 119. of the Revised Code to establish the time frame in 59613
which a nursing facility must comply with this requirement.59614

       Sec. 5111.211.  (A) The department of mental retardation and 59615
developmental disabilities is responsible for the nonfederal share 59616
of claims submitted for services that are covered by the medicaid 59617
program and provided to an eligible medicaid recipient by an 59618
intermediate care facility for the mentally retarded if all of the 59619
following are the case:59620

       (1) The services are provided on or after July 1, 2003;59621

       (2) The facility receives initial certification by the 59622
director of health as an intermediate care facility for the 59623
mentally retarded on or after June 1, 2003;59624

       (3) The facility, or a portion of the facility, is licensed 59625
by the director of mental retardation and developmental 59626
disabilities as a residential facility under section 5123.19 of 59627
the Revised Code;59628

       (4) There is a valid provider agreement for the facility.59629

       (B) Each month, the department of job and family services 59630
shall invoice the department of mental retardation and 59631
developmental disabilities by interagency transfer voucher for the 59632
claims for which the department of mental retardation and 59633
developmental disabilities is responsible pursuant to this 59634
section.59635

       Sec. 5111.22.  A provider agreement between the department of59636
job and family services and a nursing facility or intermediate59637
care facility for the mentally retarded shall contain the59638
following provisions:59639

       (A) The department agrees to:59640

       (1) Makemake payments to the nursing facility or 59641
intermediate care facility for the mentally retarded for patients 59642
eligible for services under the medical assistance program as 59643
provided in sections 5111.20 to 5111.32 of the Revised Code. No59644
payment shall be made for the day a recipient is discharged from59645
the facility.59646

       (2) Provide copies of rules governing the facility's59647
participation as a provider in the medical assistance program.59648
Whenever the director of job and family services files a proposed59649
rule or proposed rule in revised form under division (D) of59650
section 111.15 or division (B) of section 119.03 of the Revised59651
Code, the department shall provide the facility with one copy of59652
such rule. In the case of a rescission or proposed rescission of a 59653
rule, the department may provide the rule number and title instead 59654
of the rules rescinded or proposed to be rescinded.59655

       (B) The provider agrees to:59656

       (1) Maintain eligibility as provided in section 5111.21 of59657
the Revised Code;59658

       (2) Keep records relating to a cost reporting period for the59659
greater of seven years after the cost report is filed or, if the59660
department issues an audit report in accordance with division (B)59661
of section 5111.27 of the Revised Code, six years after all appeal59662
rights relating to the audit report are exhausted;59663

       (3) File reports as required by the department;59664

       (4) Open all records relating to the costs of its services59665
for inspection and audit by the department;59666

       (5) Open its premises for inspection by the department, the59667
department of health, and any other state or local authority59668
having authority to inspect;59669

       (6) Supply to the department such information as it requires59670
concerning the facility's services to patients who are or are59671
eligible to be medicaid recipients;59672

       (7) Comply with section 5111.31 of the Revised Code.59673

       The provider agreement may contain other provisions that are59674
consistent with law and considered necessary by the department.59675

       A provider agreement shall be effective for no longer than59676
twelve months, except that if federal statute or regulations59677
authorize a longer term, it may be effective for a longer term so59678
authorized. A provider agreement may be renewed only if the59679
facility is certified by the department of health for59680
participation in the medicaid program.59681

       The department of job and family services, in accordance with59682
rules adopted by the director pursuant to Chapter 119. of the59683
Revised Code, may elect not to enter into, not to renew, or to59684
terminate a provider agreement when the department determines that59685
such an agreement would not be in the best interests of the59686
recipients or of the state.59687

       Sec. 5111.251.  (A) The department of job and family services 59688
shall pay each eligible intermediate care facility for the 59689
mentally retarded for its reasonable capital costs, a per resident 59690
per day rate established prospectively each fiscal year for each59691
intermediate care facility for the mentally retarded. Except as59692
otherwise provided in sections 5111.20 to 5111.32 of the Revised59693
Code, the rate shall be based on the facility's capital costs for59694
the calendar year preceding the fiscal year in which the rate will 59695
be paid. The rate shall equal the sum of the following:59696

       (1) The facility's desk-reviewed, actual, allowable, per diem 59697
cost of ownership for the preceding cost reporting period, limited 59698
as provided in divisions (C) and (F) of this section;59699

       (2) Any efficiency incentive determined under division (B) of 59700
this section;59701

       (3) Any amounts for renovations determined under division (D) 59702
of this section;59703

       (4) Any amounts for return on equity determined under59704
division (I) of this section.59705

       Buildings shall be depreciated using the straight line method59706
over forty years or over a different period approved by the59707
department. Components and equipment shall be depreciated using59708
the straight line method over a period designated by the director59709
of job and family services in rules adopted in accordance with59710
Chapter 119. of the Revised Code, consistent with the guidelines59711
of the American hospital association, or over a different period59712
approved by the department of job and family services. Any rules59713
adopted under this division that specify useful lives of59714
buildings, components, or equipment apply only to assets acquired59715
on or after July 1, 1993. Depreciation for costs paid or59716
reimbursed by any government agency shall not be included in costs59717
of ownership or renovation unless that part of the payment under59718
sections 5111.20 to 5111.32 of the Revised Code is used to59719
reimburse the government agency.59720

       (B) The department of job and family services shall pay to59721
each intermediate care facility for the mentally retarded an59722
efficiency incentive equal to fifty per cent of the difference59723
between any desk-reviewed, actual, allowable cost of ownership and59724
the applicable limit on cost of ownership payments under division59725
(C) of this section. For purposes of computing the efficiency59726
incentive, depreciation for costs paid or reimbursed by any59727
government agency shall be considered as a cost of ownership, and59728
the applicable limit under division (C) of this section shall59729
apply both to facilities with more than eight beds and facilities59730
with eight or fewer beds. The efficiency incentive paid to a59731
facility with eight or fewer beds shall not exceed three dollars59732
per patient day, adjusted annually for the inflation rate for the59733
twelve-month period beginning on the first day of July of the59734
calendar year preceding the calendar year that precedes the fiscal59735
year for which the efficiency incentive is determined and ending59736
on the thirtieth day of the following June, using the consumer59737
price index for shelter costs for all urban consumers for the59738
north central region, as published by the United States bureau of59739
labor statistics.59740

       (C) Cost of ownership payments to intermediate care59741
facilities for the mentally retarded with more than eight beds59742
shall not exceed the following limits:59743

       (1) For facilities with dates of licensure prior to January59744
1, l958, not exceeding two dollars and fifty cents per patient59745
day;59746

       (2) For facilities with dates of licensure after December 31, 59747
l957, but prior to January 1, l968, not exceeding:59748

       (a) Three dollars and fifty cents per patient day if the cost 59749
of construction was three thousand five hundred dollars or more 59750
per bed;59751

       (b) Two dollars and fifty cents per patient day if the cost59752
of construction was less than three thousand five hundred dollars59753
per bed.59754

       (3) For facilities with dates of licensure after December 31, 59755
l967, but prior to January 1, l976, not exceeding:59756

       (a) Four dollars and fifty cents per patient day if the cost59757
of construction was five thousand one hundred fifty dollars or59758
more per bed;59759

       (b) Three dollars and fifty cents per patient day if the cost 59760
of construction was less than five thousand one hundred fifty59761
dollars per bed, but exceeds three thousand five hundred dollars59762
per bed;59763

       (c) Two dollars and fifty cents per patient day if the cost59764
of construction was three thousand five hundred dollars or less59765
per bed.59766

       (4) For facilities with dates of licensure after December 31, 59767
l975, but prior to January 1, l979, not exceeding:59768

       (a) Five dollars and fifty cents per patient day if the cost59769
of construction was six thousand eight hundred dollars or more per59770
bed;59771

       (b) Four dollars and fifty cents per patient day if the cost59772
of construction was less than six thousand eight hundred dollars59773
per bed but exceeds five thousand one hundred fifty dollars per59774
bed;59775

       (c) Three dollars and fifty cents per patient day if the cost 59776
of construction was five thousand one hundred fifty dollars or 59777
less per bed, but exceeds three thousand five hundred dollars per 59778
bed;59779

       (d) Two dollars and fifty cents per patient day if the cost59780
of construction was three thousand five hundred dollars or less59781
per bed.59782

       (5) For facilities with dates of licensure after December 31, 59783
l978, but prior to January 1, l980, not exceeding:59784

       (a) Six dollars per patient day if the cost of construction59785
was seven thousand six hundred twenty-five dollars or more per59786
bed;59787

       (b) Five dollars and fifty cents per patient day if the cost59788
of construction was less than seven thousand six hundred59789
twenty-five dollars per bed but exceeds six thousand eight hundred59790
dollars per bed;59791

       (c) Four dollars and fifty cents per patient day if the cost59792
of construction was six thousand eight hundred dollars or less per59793
bed but exceeds five thousand one hundred fifty dollars per bed;59794

       (d) Three dollars and fifty cents per patient day if the cost 59795
of construction was five thousand one hundred fifty dollars or 59796
less but exceeds three thousand five hundred dollars per bed;59797

       (e) Two dollars and fifty cents per patient day if the cost59798
of construction was three thousand five hundred dollars or less59799
per bed.59800

       (6) For facilities with dates of licensure after December 31, 59801
1979, but prior to January 1, 1981, not exceeding:59802

       (a) Twelve dollars per patient day if the beds were59803
originally licensed as residential facility beds by the department59804
of mental retardation and developmental disabilities;59805

       (b) Six dollars per patient day if the beds were originally59806
licensed as nursing home beds by the department of health.59807

       (7) For facilities with dates of licensure after December 31,59808
1980, but prior to January 1, 1982, not exceeding:59809

       (a) Twelve dollars per patient day if the beds were59810
originally licensed as residential facility beds by the department59811
of mental retardation and developmental disabilities;59812

       (b) Six dollars and forty-five cents per patient day if the59813
beds were originally licensed as nursing home beds by the59814
department of health.59815

       (8) For facilities with dates of licensure after December 31,59816
1981, but prior to January 1, 1983, not exceeding:59817

       (a) Twelve dollars per patient day if the beds were59818
originally licensed as residential facility beds by the department59819
of mental retardation and developmental disabilities;59820

       (b) Six dollars and seventy-nine cents per patient day if the 59821
beds were originally licensed as nursing home beds by the59822
department of health.59823

       (9) For facilities with dates of licensure after December 31,59824
1982, but prior to January 1, 1984, not exceeding:59825

       (a) Twelve dollars per patient day if the beds were59826
originally licensed as residential facility beds by the department59827
of mental retardation and developmental disabilities;59828

       (b) Seven dollars and nine cents per patient day if the beds59829
were originally licensed as nursing home beds by the department of59830
health.59831

       (10) For facilities with dates of licensure after December59832
31, 1983, but prior to January 1, 1985, not exceeding:59833

       (a) Twelve dollars and twenty-four cents per patient day if59834
the beds were originally licensed as residential facility beds by59835
the department of mental retardation and developmental59836
disabilities;59837

       (b) Seven dollars and twenty-three cents per patient day if59838
the beds were originally licensed as nursing home beds by the59839
department of health.59840

       (11) For facilities with dates of licensure after December59841
31, 1984, but prior to January 1, 1986, not exceeding:59842

       (a) Twelve dollars and fifty-three cents per patient day if59843
the beds were originally licensed as residential facility beds by59844
the department of mental retardation and developmental59845
disabilities;59846

       (b) Seven dollars and forty cents per patient day if the beds 59847
were originally licensed as nursing home beds by the department of 59848
health.59849

       (12) For facilities with dates of licensure after December59850
31, 1985, but prior to January 1, 1987, not exceeding:59851

       (a) Twelve dollars and seventy cents per patient day if the59852
beds were originally licensed as residential facility beds by the59853
department of mental retardation and developmental disabilities;59854

       (b) Seven dollars and fifty cents per patient day if the beds 59855
were originally licensed as nursing home beds by the department of 59856
health.59857

       (13) For facilities with dates of licensure after December59858
31, 1986, but prior to January 1, 1988, not exceeding:59859

       (a) Twelve dollars and ninety-nine cents per patient day if59860
the beds were originally licensed as residential facility beds by59861
the department of mental retardation and developmental59862
disabilities;59863

       (b) Seven dollars and sixty-seven cents per patient day if59864
the beds were originally licensed as nursing home beds by the59865
department of health.59866

       (14) For facilities with dates of licensure after December59867
31, 1987, but prior to January 1, 1989, not exceeding thirteen59868
dollars and twenty-six cents per patient day;59869

       (15) For facilities with dates of licensure after December59870
31, 1988, but prior to January 1, 1990, not exceeding thirteen59871
dollars and forty-six cents per patient day;59872

       (16) For facilities with dates of licensure after December59873
31, 1989, but prior to January 1, 1991, not exceeding thirteen59874
dollars and sixty cents per patient day;59875

       (17) For facilities with dates of licensure after December59876
31, 1990, but prior to January 1, 1992, not exceeding thirteen59877
dollars and forty-nine cents per patient day;59878

       (18) For facilities with dates of licensure after December59879
31, 1991, but prior to January 1, 1993, not exceeding thirteen59880
dollars and sixty-seven cents per patient day;59881

       (19) For facilities with dates of licensure after December59882
31, 1992, not exceeding fourteen dollars and twenty-eight cents59883
per patient day.59884

       (D) Beginning January 1, 1981, regardless of the original59885
date of licensure, the department of job and family services shall59886
pay a rate for the per diem capitalized costs of renovations to59887
intermediate care facilities for the mentally retarded made after59888
January 1, l981, not exceeding six dollars per patient day using59889
1980 as the base year and adjusting the amount annually until June59890
30, 1993, for fluctuations in construction costs calculated by the59891
department using the "Dodge building cost indexes, northeastern59892
and north central states," published by Marshall and Swift. The59893
payment provided for in this division is the only payment that59894
shall be made for the capitalized costs of a nonextensive59895
renovation of an intermediate care facility for the mentally59896
retarded. Nonextensive renovation costs shall not be included in59897
cost of ownership, and a nonextensive renovation shall not affect59898
the date of licensure for purposes of division (C) of this59899
section. This division applies to nonextensive renovations59900
regardless of whether they are made by an owner or a lessee. If59901
the tenancy of a lessee that has made renovations ends before the59902
depreciation expense for the renovation costs has been fully59903
reported, the former lessee shall not report the undepreciated59904
balance as an expense.59905

       For a nonextensive renovation to qualify for payment under59906
this division, both of the following conditions must be met:59907

       (1) At least five years have elapsed since the date of59908
licensure or date of an extensive renovation of the portion of the59909
facility that is proposed to be renovated, except that this59910
condition does not apply if the renovation is necessary to meet59911
the requirements of federal, state, or local statutes, ordinances,59912
rules, or policies.59913

       (2) The provider has obtained prior approval from the59914
department of job and family services. The provider shall submit a 59915
plan that describes in detail the changes in capital assets to be 59916
accomplished by means of the renovation and the timetable for59917
completing the project. The time for completion of the project59918
shall be no more than eighteen months after the renovation begins.59919
The director of job and family services shall adopt rules in59920
accordance with Chapter 119. of the Revised Code that specify59921
criteria and procedures for prior approval of renovation projects.59922
No provider shall separate a project with the intent to evade the59923
characterization of the project as a renovation or as an extensive59924
renovation. No provider shall increase the scope of a project59925
after it is approved by the department of job and family services59926
unless the increase in scope is approved by the department.59927

       (E) The amounts specified in divisions (C) and (D) of this59928
section shall be adjusted beginning July 1, 1993, for the59929
estimated inflation for the twelve-month period beginning on the59930
first day of July of the calendar year preceding the calendar year59931
that precedes the fiscal year for which rate will be paid and59932
ending on the thirtieth day of the following June, using the59933
consumer price index for shelter costs for all urban consumers for59934
the north central region, as published by the United States bureau59935
of labor statistics.59936

       (F)(1) For facilities of eight or fewer beds that have dates59937
of licensure or have been granted project authorization by the59938
department of mental retardation and developmental disabilities59939
before July 1, 1993, and for facilities of eight or fewer beds59940
that have dates of licensure or have been granted project59941
authorization after that date if the facilities demonstrate that59942
they made substantial commitments of funds on or before that date,59943
cost of ownership shall not exceed eighteen dollars and thirty59944
cents per resident per day. The eighteen-dollar and thirty-cent59945
amount shall be increased by the change in the "Dodge building59946
cost indexes, northeastern and north central states," published by59947
Marshall and Swift, during the period beginning June 30, 1990, and59948
ending July 1, 1993, and by the change in the consumer price index59949
for shelter costs for all urban consumers for the north central59950
region, as published by the United States bureau of labor59951
statistics, annually thereafter.59952

       (2) For facilities with eight or fewer beds that have dates59953
of licensure or have been granted project authorization by the59954
department of mental retardation and developmental disabilities on59955
or after July 1, 1993, for which substantial commitments of funds59956
were not made before that date, cost of ownership payments shall59957
not exceed the applicable amount calculated under division (F)(1)59958
of this section, if the department of job and family services59959
gives prior approval for construction of the facility or, 59960
regardless of whether the department gives prior approval, if the 59961
facility obtains a residential facility license under section 59962
5123.19 of the Revised Code pursuant to section 5123.1910 of the 59963
Revised Code. If the department does not give prior approval, cost 59964
of ownership payments shall not exceed the amount specified in 59965
division (C) of this section unless the facility obtains a 59966
residential facility license under section 5123.19 of the Revised 59967
Code pursuant to section 5123.1910 of the Revised Code.59968

       (3) Notwithstanding divisions (D) and (F)(1) and (2) of this59969
section, the total payment for cost of ownership, cost of59970
ownership efficiency incentive, and capitalized costs of59971
renovations for an intermediate care facility for the mentally59972
retarded with eight or fewer beds shall not exceed the sum of the59973
limitations specified in divisions (C) and (D) of this section.59974

       (G) Notwithstanding any provision of this section or section59975
5111.24 of the Revised Code, the director of job and family59976
services may adopt rules in accordance with Chapter 119. of the59977
Revised Code that provide for a calculation of a combined maximum59978
payment limit for indirect care costs and cost of ownership for59979
intermediate care facilities for the mentally retarded with eight59980
or fewer beds.59981

       (H) After June 30, 1980, the owner of an intermediate care59982
facility for the mentally retarded operating under a provider59983
agreement shall provide written notice to the department of job59984
and family services at least forty-five days prior to entering59985
into any contract of sale for the facility or voluntarily59986
terminating participation in the medical assistance program. After59987
the date on which a transaction of sale is closed, the owner shall59988
refund to the department the amount of excess depreciation paid to59989
the facility by the department for each year the owner has59990
operated the facility under a provider agreement and prorated59991
according to the number of medicaid patient days for which the59992
facility has received payment. If an intermediate care facility59993
for the mentally retarded is sold after five or fewer years of59994
operation under a provider agreement, the refund to the department59995
shall be equal to the excess depreciation paid to the facility. If59996
an intermediate care facility for the mentally retarded is sold59997
after more than five years but less than ten years of operation59998
under a provider agreement, the refund to the department shall59999
equal the excess depreciation paid to the facility multiplied by60000
twenty per cent, multiplied by the number of years less than ten60001
that a facility was operated under a provider agreement. If an60002
intermediate care facility for the mentally retarded is sold after60003
ten or more years of operation under a provider agreement, the60004
owner shall not refund any excess depreciation to the department.60005
For the purposes of this division, "depreciation paid to the60006
facility" means the amount paid to the intermediate care facility60007
for the mentally retarded for cost of ownership pursuant to this60008
section less any amount paid for interest costs. For the purposes60009
of this division, "excess depreciation" is the intermediate care60010
facility for the mentally retarded's depreciated basis, which is60011
the owner's cost less accumulated depreciation, subtracted from60012
the purchase price but not exceeding the amount of depreciation60013
paid to the facility.60014

       A cost report shall be filed with the department within60015
ninety days after the date on which the transaction of sale is60016
closed or participation is voluntarily terminated for an60017
intermediate care facility for the mentally retarded subject to60018
this division. The report shall show the accumulated depreciation, 60019
the sales price, and other information required by the department. 60020
The department shall provide for a bank, trust company, or savings 60021
and loan association to hold in escrow the amount of the last two 60022
monthly payments to an intermediate care facility for the mentally 60023
retarded made pursuant to division (A)(1) of section 5111.22 of 60024
the Revised Code before a sale or voluntary termination of 60025
participation or, if the owner fails, within the time required by 60026
this division, to notify the department before entering into a 60027
contract of sale for the facility, the amount of the first two 60028
monthly payments made to the facility after the department learns 60029
of the contract, regardless of whether a new owner is in 60030
possession of the facility. If the amount the owner will be60031
required to refund under this section is likely to be less than60032
the amount of the two monthly payments otherwise put into escrow 60033
under this division, the department shall take one of the 60034
following actions instead of withholding the amount of the two 60035
monthly payments:60036

       (1) In the case of an owner that owns other facilities that60037
participate in the medical assistance program, obtain a promissory60038
note in an amount sufficient to cover the amount likely to be60039
refunded;60040

       (2) In the case of all other owners, withhold the amount of60041
the last monthly payment to the intermediate care facility for the60042
mentally retarded or, if the owner fails, within the time required60043
by this division, to notify the department before entering into a60044
contract of sale for the facility, the amount of the first monthly60045
payment made to the facility after the department learns of the60046
contract, regardless of whether a new owner is in possession of60047
the facility.60048

       The department shall, within ninety days following the filing60049
of the cost report, audit the report and issue an audit report to60050
the owner. The department also may audit any other cost reports60051
for the facility that have been filed during the previous three60052
years. In the audit report, the department shall state its60053
findings and the amount of any money owed to the department by the60054
intermediate care facility for the mentally retarded. The findings 60055
shall be subject to an adjudication conducted in accordance with 60056
Chapter 119. of the Revised Code. No later than fifteen days after 60057
the owner agrees to a settlement, any funds held in escrow less 60058
any amounts due to the department shall be released to the owner 60059
and amounts due to the department shall be paid to the department. 60060
If the amounts in escrow are less than the amounts due to the 60061
department, the balance shall be paid to the department within 60062
fifteen days after the owner agrees to a settlement. If the 60063
department does not issue its audit report within the ninety-day 60064
period, the department shall release any money held in escrow to 60065
the owner. For the purposes of this section, a transfer of 60066
corporate stock, the merger of one corporation into another, or a 60067
consolidation does not constitute a sale.60068

       If an intermediate care facility for the mentally retarded is60069
not sold or its participation is not terminated after notice is60070
provided to the department under this division, the department60071
shall order any payments held in escrow released to the facility60072
upon receiving written notice from the owner that there will be no60073
sale or termination of participation. After written notice is60074
received from an intermediate care facility for the mentally60075
retarded that a sale or termination of participation will not take60076
place, the facility shall provide notice to the department at60077
least forty-five days prior to entering into any contract of sale60078
or terminating participation at any future time.60079

       (I) The department of job and family services shall pay each60080
eligible proprietary intermediate care facility for the mentally60081
retarded a return on the facility's net equity computed at the60082
rate of one and one-half times the average of interest rates on60083
special issues of public debt obligations issued to the federal60084
hospital insurance trust fund for the cost reporting period. No60085
facility's return on net equity paid under this division shall60086
exceed one dollar per patient day.60087

       In calculating the rate for return on net equity, the60088
department shall use the greater of the facility's inpatient days60089
during the applicable cost reporting period or the number of60090
inpatient days the facility would have had during that period if60091
its occupancy rate had been ninety-five per cent.60092

       (J)(1) Except as provided in division (J)(2) of this section, 60093
if a provider leases or transfers an interest in a facility to 60094
another provider who is a related party, the related party's 60095
allowable cost of ownership shall include the lesser of the 60096
following:60097

       (a) The annual lease expense or actual cost of ownership,60098
whichever is applicable;60099

       (b) The reasonable cost to the lessor or provider making the60100
transfer.60101

       (2) If a provider leases or transfers an interest in a60102
facility to another provider who is a related party, regardless of60103
the date of the lease or transfer, the related party's allowable60104
cost of ownership shall include the annual lease expense or actual60105
cost of ownership, whichever is applicable, subject to the60106
limitations specified in divisions (B) to (I) of this section, if60107
all of the following conditions are met:60108

       (a) The related party is a relative of owner;60109

       (b) In the case of a lease, if the lessor retains any60110
ownership interest, it is, except as provided in division60111
(J)(2)(d)(ii) of this section, in only the real property and any60112
improvements on the real property;60113

       (c) In the case of a transfer, the provider making the60114
transfer retains, except as provided in division (J)(2)(d)(iv) of60115
this section, no ownership interest in the facility;60116

       (d) The department of job and family services determines that 60117
the lease or transfer is an arm's length transaction pursuant to 60118
rules the department shall adopt in accordance with Chapter 119. 60119
of the Revised Code no later than December 31, 2000. The rules 60120
shall provide that a lease or transfer is an arm's length60121
transaction if all of the following, as applicable, apply:60122

       (i) In the case of a lease, once the lease goes into effect,60123
the lessor has no direct or indirect interest in the lessee or,60124
except as provided in division (J)(2)(b) of this section, the60125
facility itself, including interest as an owner, officer,60126
director, employee, independent contractor, or consultant, but60127
excluding interest as a lessor.60128

       (ii) In the case of a lease, the lessor does not reacquire an60129
interest in the facility except through the exercise of a lessor's 60130
rights in the event of a default. If the lessor reacquires an 60131
interest in the facility in this manner, the department shall 60132
treat the facility as if the lease never occurred when the 60133
department calculates its reimbursement rates for capital costs.60134

       (iii) In the case of a transfer, once the transfer goes into60135
effect, the provider that made the transfer has no direct or60136
indirect interest in the provider that acquires the facility or60137
the facility itself, including interest as an owner, officer,60138
director, employee, independent contractor, or consultant, but60139
excluding interest as a creditor.60140

       (iv) In the case of a transfer, the provider that made the60141
transfer does not reacquire an interest in the facility except60142
through the exercise of a creditor's rights in the event of a60143
default. If the provider reacquires an interest in the facility in 60144
this manner, the department shall treat the facility as if the60145
transfer never occurred when the department calculates its60146
reimbursement rates for capital costs.60147

       (v) The lease or transfer satisfies any other criteria60148
specified in the rules.60149

       (e) Except in the case of hardship caused by a catastrophic60150
event, as determined by the department, or in the case of a lessor60151
or provider making the transfer who is at least sixty-five years60152
of age, not less than twenty years have elapsed since, for the60153
same facility, allowable cost of ownership was determined most60154
recently under this division.60155

       Sec. 5111.34.  (A) There is hereby created the nursing60156
facility reimbursement study council consisting of the following 60157
seventeeneighteen members:60158

       (1) The director of job and family services;60159

       (2) The deputy director of the office of Ohio health plans of 60160
the department of job and family services;60161

       (3) An employee of the governor's office;60162

       (4) The director of health;60163

       (5) The director of aging;60164

       (6) Three members of the house of representatives, not more60165
than two of whom are members of the same political party,60166
appointed by the speaker of the house of representatives;60167

       (7) Three members of the senate, not more than two of whom60168
are members of the same political party, appointed by the60169
president of the senate;60170

       (8) One representative of medicaid recipients residing in 60171
nursing facilities, appointed by the governor;60172

        (9) Two representatives of each of the following60173
organizations, appointed by their respective governing bodies:60174

       (a) The Ohio academy of nursing homes;60175

       (b) The association of Ohio philanthropic homes and housing60176
for the aging;60177

       (c) The Ohio health care association.60178

       Initial appointments of members described in divisions60179
(A)(6), (7), and (8)(9) of this section shall be made no later60180
than ninety days after June 6, 2001, except that the initial60181
appointments of the two additional members described in divisions60182
(A)(6) and (7) of this section added by Am. Sub. H.B. 405 of the60183
124th general assembly shall be made not later than ninety days60184
after the effective date of this amendmentMarch 14, 2002. Initial 60185
appointment of the member described in division (A)(8) of this 60186
section shall be made not later than ninety days after the 60187
effective date of this amendment. Vacancies in any of those60188
appointments shall be filled in the same manner as original60189
appointments. The members described in divisions (A)(6), (7), and60190
(8), and (9) of this section shall serve at the pleasure of the60191
official or governing body appointing the member. The members60192
described in divisions (A)(1), (2), (3), (4), and (5) of this60193
section shall serve for as long as they hold the position that60194
qualifies them for membership on the council. The speaker of the60195
house of representatives and the president of the senate jointly60196
shall appoint the chairperson of the council. Members of the60197
council shall serve without compensation.60198

       (B) The council shall review, on an ongoing basis, the system60199
established by sections 5111.20 to 5111.32 of the Revised Code for 60200
reimbursing nursing facilities under the medical assistance60201
program. The council shall recommend any changes it determines are 60202
necessary. The council shall issue a report of its activities, 60203
findings, and recommendations to the governor, the speaker of the 60204
house of representatives, and the president of the senate not 60205
later than July 30, 2004. Thereafter, the council periodically 60206
shall report its activities, findings, and recommendations to the 60207
governor, the speaker of the house of representatives, and the60208
president of the senate.60209

       (C) The council shall meet quarterly. Its first quarterly 60210
meeting after the effective date of this amendment shall be held 60211
not later than August 1, 2003.60212

       Sec. 5111.85.  (A) As used in this section, "medicaid waiver 60213
component" means a component of the medicaid program authorized by 60214
a waiver granted by the United States department of health and 60215
human services under section 1115 or 1915 of the "Social Security 60216
Act," 49 Stat. 620 (1935), 42 U.S.C.A. 1315 or 1396n. "Medicaid 60217
waiver component" does not include a managed care management60218
system established under section 5111.175111.16 of the Revised 60219
Code.60220

       (B) The director of job and family services may adopt rules60221
under Chapter 119. of the Revised Code governing medicaid waiver60222
components that establish all of the following:60223

       (1) Eligibility requirements for the medicaid waiver60224
components;60225

       (2) The type, amount, duration, and scope of services the60226
medicaid waiver components provide;60227

       (3) The conditions under which the medicaid waiver components 60228
cover services;60229

       (4) The amount the medicaid waiver components pay for60230
services or the method by which the amount is determined;60231

       (5) The manner in which the medicaid waiver components pay60232
for services;60233

       (6) Safeguards for the health and welfare of medicaid60234
recipients receiving services under a medicaid waiver component;60235

       (7) Procedures for enforcing the rules, including60236
establishing corrective action plans for, and imposing financial60237
and administrative sanctions on, persons and government entities60238
that violate the rules. Sanctions shall include terminating60239
medicaid provider agreements. The procedures shall include due60240
process protections.60241

       (8) Other policies necessary for the efficient administration 60242
of the medicaid waiver components.60243

       (C) The director of job and family services may adopt60244
different rules for the different medicaid waiver components. The60245
rules shall be consistent with the terms of the waiver authorizing60246
the medicaid waiver component.60247

       (D) The director of job and family services may conduct60248
reviews of the medicaid waiver components. The reviews may include 60249
physical inspections of records and sites where services are 60250
provided under the medicaid waiver components and interviews of 60251
providers and recipients of the services. If the director60252
determines pursuant to a review that a person or government entity60253
has violated a rule governing a medicaid waiver component, the60254
director may establish a corrective action plan for the violator60255
and impose fiscal, administrative, or both types of sanctions on60256
the violator in accordance with rules adopted under division (B)60257
of this section.60258

       Sec. 5111.87. (A) As used in this section and section 60259
5111.871 of the Revised Code, "intermediate care facility for the 60260
mentally retarded" has the same meaning as in section 5111.20 of 60261
the Revised Code.60262

       (B) The director of job and family services may apply to the60263
United States secretary of health and human services for oneboth 60264
of the following:60265

       (1) One or more medicaid waivers under which home and 60266
community-based services are provided to individuals with mental 60267
retardation or other developmental disability as an alternative to 60268
placement in an intermediate care facility for the mentally 60269
retarded;60270

        (2) One or more medicaid waivers that operate for three to 60271
four years each and under which home and community-based services 60272
are provided in the form of either or both of the following:60273

        (a) Early intervention services for children under three 60274
years of age that are provided or arranged by county boards of 60275
mental retardation and developmental disabilities;60276

        (b) Therapeutic services for children who have autism and are 60277
under six years of age at the time of enrollment. Before the 60278
director applies60279

       (C) No individual may receive services under an autism 60280
component of the medicaid program established under a waiver 60281
sought under division (B)(2)(b) of this section for more than 60282
three years. An individual receiving intensive therapeutic 60283
services under such an autism component is forever ineligible to 60284
receive intensive therapeutic services, under any other component 60285
of the medicaid program.60286

       (D) The director of mental retardation and developmental 60287
disabilities may request that the director of job and family 60288
services apply for one or more medicaid waivers under this 60289
section.60290

       (E) Before applying for a waiver under this section, the 60291
director of job and family services shall seek, accept, and 60292
consider public comments.60293

       Sec. 5111.871.  The department of job and family services60294
shall enter into a contract with the department of mental60295
retardation and developmental disabilities under section 5111.9160296
of the Revised Code with regard to one or more of the component60297
components of the medicaid program established by the department 60298
of job and family services under one or more of the medicaid60299
waivers from the United States secretary of health and human 60300
services pursuant to section 1915 of the "Social Security Act," 49 60301
Stat. 620 (1935), 42 U.S.C.A. 1396n, as amended, to provide60302
eligible medicaid recipients with home and community-based60303
services as an alternative to placement in an intermediate care60304
facility for the mentally retardedsought under section 5111.87 of 60305
the Revised Code. The contract shall provide for the department of 60306
mental retardation and developmental disabilities to administer 60307
the componentcomponents in accordance with the terms of the60308
waiverwaivers. The directors of job and family services and 60309
mental retardation and developmental disabilities shall adopt60310
rules in accordance with Chapter 119. of the Revised Code60311
governing the componentcomponents.60312

       If the department of mental retardation and developmental60313
disabilities or the department of job and family services denies60314
an individual's application for home and community-based services60315
provided under thisany of these medicaid componentcomponents, 60316
the department that denied the services shall give timely notice 60317
to the individual that the individual may request a hearing under 60318
section 5101.35 of the Revised Code.60319

       The departments of mental retardation and developmental60320
disabilities and job and family services may approve, reduce,60321
deny, or terminate a service included in the individualized60322
service plan developed for a medicaid recipient eligible for home60323
and community-based services provided under thisany of these60324
medicaid componentcomponents. The departments shall consider the 60325
recommendations a county board of mental retardation and 60326
developmental disabilities makes under division (A)(1)(c) of 60327
section 5126.055 of the Revised Code. If either department 60328
approves, reduces, denies, or terminates a service, that 60329
department shall give timely notice to the medicaid recipient that 60330
the recipient may request a hearing under section 5101.35 of the 60331
Revised Code.60332

       If supported living or residential services, as defined in60333
section 5126.01 of the Revised Code, are to be provided under this60334
componentany of these components, any person or government entity 60335
with a current, valid medicaid provider agreement and a current, 60336
valid license under section 5123.19 or certificate under section 60337
5123.045 or 5126.431 of the Revised Code may provide the services.60338

       Sec. 5111.872. When the department of mental retardation and60339
developmental disabilities allocates enrollment numbers to a60340
county board of mental retardation and developmental disabilities60341
for home and community-based services specified in division (B)(1) 60342
of section 5111.87 of the Revised Code and provided under any of60343
the componentcomponents of the medicaid program that the 60344
department administers under section 5111.871 of the Revised Code, 60345
the department shall consider all of the following:60346

       (A) The number of individuals with mental retardation or60347
other developmental disability who are on a waiting list the60348
county board establishes under division (C) of section 5126.042 of60349
the Revised Code for those services and are given priority on the60350
waiting list pursuant to division (D) or (E) of that section;60351

       (B) The implementation component required by division (A)(4)60352
of section 5126.054 of the Revised Code of the county board's plan60353
approved under section 5123.046 of the Revised Code;60354

       (C) Anything else the department considers necessary to60355
enable county boards to provide those services to individuals in60356
accordance with the priority requirements of divisiondivisions60357
(D) and (E) of section 5126.042 of the Revised Code.60358

       Sec. 5111.873. (A) Not later than the effective date of the60359
first of any medicaid waivers the United States secretary of60360
health and human services grants pursuant to a request made under60361
section 5111.87 of the Revised Code, the director of job and60362
family services shall adopt rules in accordance with Chapter 119.60363
of the Revised Code establishing statewide fee schedules for home60364
and community-based services specified in division (B)(1) of 60365
section 5111.87 of the Revised Code and provided under the 60366
componentcomponents of the medicaid program that the department 60367
of mental retardation and developmental disabilities administers 60368
under section 5111.871 of the Revised Code. The rules shall 60369
provide for all of the following:60370

       (1) The department of mental retardation and developmental60371
disabilities arranging for the initial and ongoing collection of60372
cost information from a comprehensive, statistically valid sample60373
of persons and government entities providing the services at the60374
time the information is obtained;60375

       (2) The collection of consumer-specific information through60376
an assessment instrument the department of mental retardation and60377
developmental disabilities shall provide to the department of job60378
and family services;60379

       (3) With the information collected pursuant to divisions60380
(A)(1) and (2) of this section, an analysis of that information,60381
and other information the director determines relevant, methods60382
and standards for calculating the fee schedules that do all of the60383
following:60384

       (a) Assure that the fees are consistent with efficiency,60385
economy, and quality of care;60386

       (b) Consider the intensity of consumer resource need;60387

       (c) Recognize variations in different geographic areas60388
regarding the resources necessary to assure the health and welfare60389
of consumers;60390

       (d) Recognize variations in environmental supports available60391
to consumers.60392

       (B) As part of the process of adopting rules under this60393
section, the director shall consult with the director of mental60394
retardation and developmental disabilities, representatives of60395
county boards of mental retardation and developmental60396
disabilities, persons who provide the home and community-based60397
services, and other persons and government entities the director60398
identifies.60399

       (C) The directors of job and family services and mental60400
retardation and developmental disabilities shall review the rules60401
adopted under this section at times they determine to ensure that60402
the methods and standards established by the rules for calculating60403
the fee schedules continue to do everything that division (A)(3)60404
of this section requires.60405

       Sec. 5111.88. (A) As used in this section, "nursing facility" 60406
has the same meaning as in section 5111.20 of the Revised Code.60407

       (B) To the extent funds are available, the director of job 60408
and family services may establish the Ohio access success project 60409
to help medicaid recipients make the transition from residing in a 60410
nursing facility to residing in a community setting. The program 60411
may be established as a separate non-medicaid program or 60412
integrated into a new or existing program of medicaid-funded home 60413
and community-based services authorized by a waiver approved by 60414
the United States department of health and human services. The 60415
department may limit the number of program participants.60416

        To be eligible for benefits under the project, a medicaid60417
recipient must satisfy all of the following requirements:60418

       (1) Be a recipient of medicaid-funded nursing facility 60419
services, at the time of applying for the benefits;60420

       (2) Have resided continuously in a nursing facility for not 60421
less than eighteen months prior to applying to participate in the 60422
project;60423

       (3) Need the level of care provided by nursing facilities;60424

       (4) For participation in a non-medicaid program, receive 60425
services to remain in the community with a projected cost not 60426
exceeding eighty per cent of the average monthly medicaid cost of 60427
a medicaid recipient in a nursing facility;60428

       (5) For participation in a program established as part of a 60429
medicaid-funded home and community-based services waiver program, 60430
meet waiver enrollment criteria.60431

       (C) If the director establishes the Ohio access success 60432
project, the benefits provided under the project may include 60433
payment of all of the following:60434

       (1) The first month's rent in a community setting;60435

       (2) Rental deposits;60436

       (3) Utility deposits;60437

       (4) Moving expenses;60438

       (5) Other expenses not covered by the medicaid program that60439
facilitate a medicaid recipient's move from a nursing facility to60440
a community setting.60441

       (D) If the project is established as a non-medicaid program, 60442
no participant may receive more than two thousand dollars worth of 60443
benefits under the project.60444

       (E) The director may submit a request to the United States 60445
secretary of health and human services pursuant to section 1915 of 60446
the "Social Security Act," 79 Stat. 286 (1965), 42 U.S.C. 1396n, 60447
as amended, to create a medicaid home and community-based services 60448
waiver program to serve individuals who meet the criteria for 60449
participation in the Ohio access success project. The director may 60450
adopt rules under Chapter 119. of the Revised Code for the 60451
administration and operation of the program.60452

       Sec. 5111.911. Any contract the department of job and family 60453
services enters into with the department of mental health or 60454
department of alcohol and drug addiction services under section 60455
5111.91 of the Revised Code is subject to the approval of the 60456
director of budget and management and shall require or specify all 60457
of the following:60458

        (A) In the case of a contract with the department of mental 60459
health, that section 5111.912 of the Revised Code be complied 60460
with;60461

        (B) In the case of a contract with the department of alcohol 60462
and drug addiction services, that section 5111.913 of the Revised 60463
Code be complied with;60464

        (C) How providers will be paid for providing the services;60465

        (D) The department of mental health's or department of 60466
alcohol and drug addiction services' responsibilities for 60467
reimbursing providers, including program oversight and quality 60468
assurance.60469

       Sec. 5111.912. If the department of job and family services 60470
enters into a contract with the department of mental health under 60471
section 5111.91 of the Revised Code, the department of mental 60472
health and boards of alcohol, drug addiction, and mental health 60473
services shall pay the nonfederal share of any medicaid payment to 60474
a provider for services under the component, or aspect of the 60475
component, the department of mental health administers.60476

       Sec. 5111.913. If the department of job and family services 60477
enters into a contract with the department of alcohol and drug 60478
addiction services under section 5111.91 of the Revised Code, the 60479
department of alcohol and drug addiction services and boards of 60480
alcohol, drug addiction, and mental health services shall pay the 60481
nonfederal share of any medicaid payment to a provider for 60482
services under the component, or aspect of the component, the 60483
department of alcohol and drug addiction services administers.60484

       Sec. 5111.92.  (A)(1) Except as provided in division (B) of 60485
this section, if a state agency or political subdivision60486
administers one or more components of the medicaid program that60487
the United States department of health and human services60488
approved, and for which federal financial participation was60489
initially obtained, prior to January 1, 2002, or administers one60490
or more aspects of such a component, the department of job and60491
family services may retain or collect not more than ten per cent60492
of the federal financial participation the state agency or60493
political subdivision obtains through an approved, administrative60494
claim regarding the component or aspect of the component. If the60495
department retains or collects a percentage of such federal60496
financial participation, the percentage the department retains or60497
collects shall be specified in a contract the department enters60498
into with the state agency or political subdivision under section60499
5111.91 of the Revised Code.60500

       (2) Except as provided in division (B) of this section, if a60501
state agency or political subdivision administers one or more60502
components of the medicaid program that the United States60503
department of health and human services approved on or after60504
January 1, 2002, or administers one or more aspects of such a60505
component, the department of job and family services shall retain60506
or collect not less than three and not more than ten per cent of60507
the federal financial participation the state agency or political60508
subdivision obtains through an approved, administrative claim60509
regarding the component or aspect of the component. The percentage 60510
the department retains or collects shall be specified in a 60511
contract the department enters into with the state agency or60512
political subdivision under section 5111.91 of the Revised Code.60513

       (B) The department of job and family services may retain or60514
collect a percentage of federal financial participation under60515
divisions (A)(1) and (2) of this section only to the extent60516
permitted by federal statutes and regulations and shall not retain 60517
or collect a percentage of federal financial participation 60518
obtained pursuant to section 5126.058 of the Revised Code.60519

       (C) All amounts the department retains or collects under this 60520
section shall be deposited into the health care services60521
administration fund created under section 5111.94 of the Revised60522
Code.60523

       Sec. 5111.94.  (A) As used in this section, "vendor offset" 60524
means a reduction of a medicaid payment to a medicaid provider to 60525
correct a previous, incorrect medicaid payment to that provider.60526

       (B) There is hereby created in the state treasury the health60527
care services administration fund. Except as provided in division60528
(C) of this section, all the following shall be deposited into the 60529
fund:60530

       (1) Amounts deposited into the fund pursuant to sections60531
5111.92 and 5111.93 of the Revised Code;60532

       (2) The amount of the state share of all money the department 60533
of job and family services, in fiscal year 2003 and each fiscal 60534
year thereafter, recovers pursuant to a tort action under the 60535
department's right of recovery under section 5101.58 of the 60536
Revised Code that exceeds the state share of all money the60537
department, in fiscal year 2002, recovers pursuant to a tort60538
action under that right of recovery;60539

       (3) Subject to division (D) of this section, the amount of60540
the state share of all money the department of job and family60541
services, in fiscal year 2003 and each fiscal year thereafter,60542
recovers through audits of medicaid providers that exceeds the60543
state share of all money the department, in fiscal year 2002,60544
recovers through such audits;60545

       (4) Until October 16, 2003, amountsAmounts from assessments 60546
on hospitals under section 5112.06 of the Revised Code and60547
intergovernmental transfers by governmental hospitals under60548
section 5112.07 of the Revised Code that are deposited into the60549
fund in accordance with the law.60550

       (C) No funds shall be deposited into the health care services 60551
administration fund in violation of federal statutes or60552
regulations.60553

       (D) In determining under division (B)(3) of this section the60554
amount of money the department, in a fiscal year, recovers through60555
audits of medicaid providers, the amount recovered in the form of60556
vendor offset shall be excluded.60557

       (E) The director of job and family services shall use funds60558
available in the health care services administration fund to pay60559
for costs associated with the administration of the medicaid60560
program.60561

       Sec. 5111.95.  (A) As used in this section:60562

       (1) "Applicant" means a person who is under final 60563
consideration for employment or, after the effective date of this 60564
section, an existing employee with a waiver agency in a full-time, 60565
part-time, or temporary position that involves providing home and 60566
community-based waiver services to a person with disabilities. 60567
"Applicant" also means an existing employee with a waiver agency 60568
in a full-time, part-time, or temporary position that involves 60569
providing home and community-based waiver services to a person 60570
with disabilities after the effective date of this section.60571

       (2) "Criminal records check" has the same meaning as in 60572
section 109.572 of the Revised Code.60573

       (3) "Waiver agency" means a person or government entity that 60574
is not certified under the medicare program and is accredited by 60575
the community health accreditation program or the joint commission 60576
on accreditation of health care organizations or a company that 60577
provides home and community-based waiver services to persons with 60578
disabilities through department of job and family services 60579
administered home and community-based waiver programs.60580

       (4) "Home and community-based waiver services" means services 60581
furnished under the provision of 42 C.F.R. 441, subpart G, that 60582
permit individuals to live in a home setting rather than a nursing 60583
facility or hospital. Home and community-based waiver services are 60584
approved by the centers for medicare and medicaid for specific 60585
populations and are not otherwise available under the medicaid 60586
state plan.60587

       (B)(1) The chief administrator of a waiver agency shall 60588
request that the superintendent of the bureau of criminal 60589
identification and investigation conduct a criminal records check 60590
with respect to each applicant. If an applicant for whom a 60591
criminal records check request is required under this division 60592
does not present proof of having been a resident of this state for 60593
the five-year period immediately prior to the date the criminal 60594
records check is requested or provide evidence that within that 60595
five-year period the superintendent has requested information 60596
about the applicant from the federal bureau of investigation in a 60597
criminal records check, the chief administrator shall request that 60598
the superintendent obtain information from the federal bureau of 60599
investigation as part of the criminal records check of the 60600
applicant. Even if an applicant for whom a criminal records check 60601
request is required under this division presents proof of having 60602
been a resident of this state for the five-year period, the chief 60603
administrator may request that the superintendent include 60604
information from the federal bureau of investigation in the 60605
criminal records check.60606

       (2) A person required by division (B)(1) of this section to 60607
request a criminal records check shall do both of the following:60608

       (a) Provide to each applicant for whom a criminal records 60609
check request is required under division (B)(1) of this section a 60610
copy of the form prescribed pursuant to division (C)(1) of section 60611
109.572 of the Revised Code and a standard fingerprint impression 60612
sheet prescribed pursuant to division (C)(2) of that section, and 60613
obtain the completed form and impression sheet from the applicant;60614

       (b) Forward the completed form and impression sheet to the 60615
superintendent of the bureau of criminal identification and 60616
investigation.60617

       (3) An applicant provided the form and fingerprint impression 60618
sheet under division (B)(2)(a) of this section who fails to 60619
complete the form or provide fingerprint impressions shall not be 60620
employed in any position in a waiver agency for which a criminal 60621
records check is required by this section.60622

       (C)(1) Except as provided in rules adopted by the department 60623
of job and family services in accordance with division (F) of this 60624
section and subject to division (C)(2) of this section, no waiver 60625
agency shall employ a person in a position that involves providing 60626
home and community-based waiver services to persons with 60627
disabilities if the person has been convicted of or pleaded guilty 60628
to any of the following:60629

       (a) A violation of section 2903.01, 2903.02, 2903.03, 60630
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 60631
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 60632
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 60633
2907.21, 2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 60634
2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2911.13, 60635
2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 2913.40, 60636
2913.43, 2913.47, 2913.51, 2919.12, 2919.24, 2919.25, 2921.36, 60637
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.04, 2925.05, 60638
2925.06, 2925.11, 2925.13, 2925.22, 2925.23, or 3716.11 of the 60639
Revised Code, felonious sexual penetration in violation of former 60640
section 2907.12 of the Revised Code, a violation of section 60641
2905.04 of the Revised Code as it existed prior to July 1, 1996, a 60642
violation of section 2919.23 of the Revised Code that would have 60643
been a violation of section 2905.04 of the Revised Code as it 60644
existed prior to July 1, 1996, had the violation been committed 60645
prior to that date;60646

       (b) An existing or former law of this state, any other state, 60647
or the United States that is substantially equivalent to any of 60648
the offenses listed in division (C)(1)(a) of this section.60649

       (2)(a) A waiver agency may employ conditionally an applicant 60650
for whom a criminal records check request is required under 60651
division (B) of this section prior to obtaining the results of a 60652
criminal records check regarding the individual, provided that the 60653
agency shall request a criminal records check regarding the 60654
individual in accordance with division (B)(1) of this section not 60655
later than five business days after the individual begins 60656
conditional employment.60657

       (b) A waiver agency that employs an individual conditionally 60658
under authority of division (C)(2)(a) of this section shall 60659
terminate the individual's employment if the results of the 60660
criminal records check request under division (B) of this section, 60661
other than the results of any request for information from the 60662
federal bureau of investigation, are not obtained within the 60663
period ending sixty days after the date the request is made. 60664
Regardless of when the results of the criminal records check are 60665
obtained, if the results indicate that the individual has been 60666
convicted of or pleaded guilty to any of the offenses listed or 60667
described in division (C)(1) of this section, the agency shall 60668
terminate the individual's employment unless the agency chooses to 60669
employ the individual pursuant to division (F) of this section. 60670
Termination of employment under this division shall be considered 60671
just cause for discharge for purposes of division (D)(2) of 60672
section 4141.29 of the Revised Code if the individual makes any 60673
attempt to deceive the agency about the individual's criminal 60674
record.60675

       (D)(1) Each waiver agency shall pay to the bureau of criminal 60676
identification and investigation the fee prescribed pursuant to 60677
division (C)(3) of section 109.572 of the Revised Code for each 60678
criminal records check conducted pursuant to a request made under 60679
division (B) of this section.60680

       (2) A waiver agency may charge an applicant a fee not 60681
exceeding the amount the agency pays under division (D)(1) of this 60682
section. An agency may collect a fee only if the agency notifies 60683
the person at the time of initial application for employment of 60684
the amount of the fee and that, unless the fee is paid, the person 60685
will not be considered for employment.60686

       (E) The report of any criminal records check conducted 60687
pursuant to a request made under this section is not a public 60688
record for the purposes of section 149.43 of the Revised Code and 60689
shall not be made available to any person other than the 60690
following:60691

       (1) The individual who is the subject of the criminal records 60692
check or the individual's representative;60693

       (2) The chief administrator of the agency requesting the 60694
criminal records check or the administrator's representative;60695

       (3) A court, hearing officer, or other necessary individual 60696
involved in a case dealing with a denial of employment of the 60697
applicant or dealing with employment or unemployment benefits of 60698
the applicant.60699

       (F) The department shall adopt rules in accordance with 60700
Chapter 119. of the Revised Code to implement this section. The 60701
rules shall specify circumstances under which a waiver agency may 60702
employ a person who has been convicted of or pleaded guilty to an 60703
offense listed or described in division (C)(1) of this section but 60704
meets personal character standards set by the department.60705

       (G) The chief administrator of a waiver agency shall inform 60706
each person, at the time of initial application for a position 60707
that involves providing home and community-based waiver services 60708
to a person with a disability, that the person is required to 60709
provide a set of fingerprint impressions and that a criminal 60710
records check is required to be conducted if the person comes 60711
under final consideration for employment.60712

       (H)(1) A person who, on the effective date of this section, 60713
is an employee of a waiver agency in a full-time, part-time, or 60714
temporary position that involves providing home and 60715
community-based waiver services to a person with disabilities 60716
shall comply with this section within sixty days after the 60717
effective date of this section unless division (H)(2) of this 60718
section applies.60719

       (2) This section shall not apply to a person to whom all of 60720
the following apply:60721

       (a) On the effective date of this section, the person is an 60722
employee of a waiver agency in a full-time, part-time, or 60723
temporary position that involves providing home and 60724
community-based waiver services to a person with disabilities.60725

       (b) The person previously had been the subject of a criminal 60726
background check relating to that position; 60727

       (c) The person has been continuously employed in that 60728
position since that criminal background check had been conducted.60729

       Sec. 5111.96.  (A) As used in this section:60730

       (1) "Anniversary date" means the later of the effective date 60731
of the provider agreement relating to the independent provider or 60732
sixty days after the effective date of this section.60733

       (2) "Criminal records check" has the same meaning as in 60734
section 109.572 of the Revised Code.60735

       (3) "The department" means the department of job and family 60736
services or its designee.60737

       (4) "Independent provider" means a person who is submitting 60738
an application for a provider agreement or who has a provider 60739
agreement as an independent provider in a department of job and 60740
family services administered home and community-based services 60741
program providing home and community-based waiver services to 60742
consumers with disabilities.60743

       (5) "Home and community-based waiver services" has the same 60744
meaning as in section 5111.95 of the Revised Code.60745

       (B)(1) The department shall inform each independent provider, 60746
at the time of initial application for a provider agreement that 60747
involves providing home and community-based waiver services to 60748
consumers with disabilities, that the independent provider is 60749
required to provide a set of fingerprint impressions and that a 60750
criminal records check is required to be conducted if the person 60751
is to become an independent provider in a department administered 60752
home and community-based waiver program.60753

       (2) Beginning on the effective date of this section, the 60754
department shall inform each enrolled medicaid independent 60755
provider on or before time of the anniversary date of the provider 60756
agreement that involves providing home and community-based waiver 60757
services to consumers with disabilities that the independent 60758
provider is required to provide a set of fingerprint impressions 60759
and that a criminal records check is required to be conducted.60760

       (C)(1) The department shall require the independent provider 60761
to complete a criminal records check prior to entering into a 60762
provider agreement with the independent provider and at least 60763
annually thereafter. If an independent provider for whom a 60764
criminal records check is required under this division does not 60765
present proof of having been a resident of this state for the 60766
five-year period immediately prior to the date the criminal 60767
records check is requested or provide evidence that within that 60768
five-year period the superintendent has requested information 60769
about the applicant from the federal bureau of investigation in a 60770
criminal records check, the department shall request the 60771
independent provider obtain through the superintendent a criminal 60772
records request from the federal bureau of investigation as part 60773
of the criminal records check of the independent provider. Even if 60774
an independent provider for whom a criminal records check request 60775
is required under this division presents proof of having been a 60776
resident of this state for the five-year period, the department 60777
may request that the independent provider obtain information 60778
through the superintendent from the federal bureau of 60779
investigation in the criminal records check.60780

       (2) The department shall do both of the following:60781

       (a) Provide information to each independent provider for whom 60782
a criminal records check request is required under division (C)(1) 60783
of this section about requesting a copy of the form prescribed 60784
pursuant to division (C)(1) of section 109.572 of the Revised Code 60785
and a standard fingerprint impression sheet prescribed pursuant to 60786
division (C)(2) of that section, and obtain the completed form and 60787
impression sheet and fee from the independent provider;60788

       (b) Forward the completed form, impression sheet, and fee to 60789
the superintendent of the bureau of criminal identification and 60790
investigation.60791

       (3) An independent provider given information about obtaining 60792
the form and fingerprint impression sheet under division (C)(2)(a) 60793
of this section who fails to complete the form or provide 60794
fingerprint impressions shall not be approved as an independent 60795
provider.60796

       (D) Except as provided in rules adopted by the department in 60797
accordance with division (G) of this section, the department shall 60798
not issue a new provider agreement to, and shall terminate an 60799
existing provider agreement of, an independent provider if the 60800
person has been convicted of or pleaded guilty to any of the 60801
following:60802

       (1) A violation of section 2903.01, 2903.02, 2903.03, 60803
2903.04, 2903.041, 2903.11, 2903.12, 2903.13, 2903.16, 2903.21, 60804
2903.34, 2905.01, 2905.02, 2905.05, 2905.11, 2905.12, 2907.02, 60805
2907.03, 2907.04, 2907.05, 2907.06, 2907.07, 2907.08, 2907.09, 60806
2907.21, 2907.22, 2907.23, 2907.25, 2907.31, 2907.32, 2907.321, 60807
2907.322, 2907.323, 2911.01, 2911.02, 2911.11, 2911.12, 2911.13, 60808
2913.02, 2913.03, 2913.04, 2913.11, 2913.21, 2913.31, 2913.40, 60809
2913.43, 2913.47, 2913.51, 2919.12, 2919.24, 2919.25, 2921.36, 60810
2923.12, 2923.13, 2923.161, 2925.02, 2925.03, 2925.04, 2925.05, 60811
2925.06, 2925.11, 2925.13, 2925.22, 2925.23, or 3716.11 of the 60812
Revised Code, felonious sexual penetration in violation of former 60813
section 2907.12 of the Revised Code, a violation of section 60814
2905.04 of the Revised Code as it existed prior to July 1, 1996, a 60815
violation of section 2919.23 of the Revised Code that would have 60816
been a violation of section 2905.04 of the Revised Code as it 60817
existed prior to July 1, 1996, had the violation been committed 60818
prior to that date;60819

       (2) An existing or former law of this state, any other state, 60820
or the United States that is substantially equivalent to any of 60821
the offenses listed in division (D)(1) of this section.60822

       (E) Each independent provider shall pay to the bureau of 60823
criminal identification and investigation the fee prescribed 60824
pursuant to division (C)(3) of section 109.572 of the Revised Code 60825
for each criminal records check conducted pursuant to a request 60826
made under division (C) of this section.60827

       (F) The report of any criminal records check conducted by the 60828
bureau of criminal identification and investigation in accordance 60829
with section 109.572 of the Revised Code and pursuant to a request 60830
made under division (C) of this section is not a public record for 60831
the purposes of section 149.43 of the Revised Code and shall not 60832
be made available to any person other than the following:60833

       (1) The person who is the subject of the criminal records 60834
check or the person's representative;60835

       (2) The administrator at the department who is requesting the 60836
criminal records check or the administrator's representative;60837

       (3) Any court, hearing officer, or other necessary individual 60838
involved in a case dealing with a denial or termination of a 60839
provider agreement related to the criminal records check.60840

       (G) The department shall adopt rules in accordance with 60841
Chapter 119. of the Revised Code to implement this section. The 60842
rules shall specify circumstances under which the department may 60843
issue a provider agreement to an independent provider who has been 60844
convicted of or pleaded guilty to an offense listed or described 60845
in division (C)(1) of this section but meets personal character 60846
standards set by the department.60847

       Sec. 5111.97. (A) The director of job and family services may 60848
submit a request to the United States secretary of health and 60849
human services pursuant to section 1915 of the "Social Security 60850
Act," 79 Stat. 286 (1965), 42 U.S.C. 1396n, as amended, to obtain 60851
waivers of federal medicaid requirements that would otherwise be 60852
violated in the creation and implementation of two medicaid home 60853
and community-based services programs to replace the Ohio home 60854
care program being operated pursuant to rules adopted under 60855
sections 5111.01 and 5111.02 of the Revised Code and a medicaid 60856
waiver granted prior to the effective date of this section. In the 60857
request, the director may specify the following:60858

        (1) That one of the replacement programs will provide home 60859
and community-based services to individuals in need of nursing 60860
facility care, including individuals enrolled in the Ohio home 60861
care program;60862

        (2) That the other replacement program will provide services 60863
to individuals in need of hospital care, including individuals 60864
enrolled in the Ohio home care program;60865

        (3) That there will be a maximum number of individuals who 60866
may be enrolled in the replacement programs in addition to the 60867
number of individuals to be transferred from the Ohio home care 60868
program;60869

        (4) That there will be a maximum amount the department may 60870
expend each year for each individual enrolled in the replacement 60871
programs;60872

        (5) That there will be a maximum aggregate amount the 60873
department may expend each year for all individuals enrolled in 60874
the replacement programs;60875

        (6) Any other requirement the director selects for the 60876
replacement programs.60877

        (B) If the secretary grants the medicaid waivers requested, 60878
the director may create and implement the replacement programs in 60879
accordance with the provisions of the waivers granted. The 60880
department of job and family services shall administer the 60881
replacement programs.60882

        As the replacement programs are implemented, the director 60883
shall reduce the maximum number of individuals who may be enrolled 60884
in the Ohio home care program by the number of individuals who are 60885
transferred to the replacement programs. When all individuals who 60886
are eligible to be transferred to the replacement programs have 60887
been transferred, the director may submit to the secretary an 60888
amendment to the state medicaid plan to provide for the 60889
elimination of the Ohio home care program.60890

       Sec. 5112.03.  (A) The director of job and family services60891
shall adopt, and may amend and rescind, rules in accordance with60892
Chapter 119. of the Revised Code for the purpose of administering60893
sections 5112.01 to 5112.21 of the Revised Code, including rules60894
that do all of the following:60895

       (1) Define as a "disproportionate share hospital" any60896
hospital included under subsection (b) of section 1923 of the60897
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A.60898
1396r-4(b), as amended, and any other hospital the director60899
determines appropriate;60900

       (2) Prescribe the form for submission of cost reports under60901
section 5112.04 of the Revised Code;60902

       (3) Establish, in accordance with division (A) of section60903
5112.06 of the Revised Code, the assessment rate or rates to be60904
applied to hospitals under that section;60905

       (4) Establish schedules for hospitals to pay installments on60906
their assessments under section 5112.06 of the Revised Code and60907
for governmental hospitals to pay installments on their60908
intergovernmental transfers under section 5112.07 of the Revised60909
Code;60910

       (5) Establish procedures to notify hospitals of adjustments60911
made under division (B)(2)(b) of section 5112.06 of the Revised60912
Code in the amount of installments on their assessment;60913

       (6) Establish procedures to notify hospitals of adjustments60914
made under division (D) of section 5112.09 of the Revised Code in60915
the total amount of their assessment and to adjust for the60916
remainder of the program year the amount of the installments on60917
the assessments;60918

       (7) Establish, in accordance with section 5112.08 of the60919
Revised Code, the methodology for paying hospitals under that60920
section.60921

       The director shall consult with hospitals when adopting the60922
rules required by divisions (A)(4) and (5) of this section in60923
order to minimize hospitals' cash flow difficulties.60924

       (B) Rules adopted under this section may provide that "total60925
facility costs" excludes costs associated with any of the60926
following:60927

       (1) Recipients of the medical assistance program;60928

       (2) Recipients of financial assistance provided under Chapter 60929
5115. of the Revised Code;60930

       (3) Recipients of disability assistance medical assistance 60931
provided under Chapter 5115. of the Revised Code;60932

       (3)(4) Recipients of the program for medically handicapped60933
children established under section 3701.023 of the Revised Code;60934

       (4)(5) Recipients of the medicare program established under60935
Title XVIII of the "Social Security Act," 49 Stat. 620 (1935), 4260936
U.S.C.A. 301, as amended:60937

       (5)(6) Recipients of Title V of the "Social Security Act";60938

       (6)(7) Any other category of costs deemed appropriate by the60939
director in accordance with Title XIX of the "Social Security Act"60940
and the rules adopted under that title.60941

       Sec. 5112.08.  The director of job and family services shall60942
adopt rules under section 5112.03 of the Revised Code establishing60943
a methodology to pay hospitals that is sufficient to expend all60944
money in the indigent care pool. Under the rules:60945

       (A) The department of job and family services may classify60946
similar hospitals into groups and allocate funds for distribution60947
within each group.60948

       (B) The department shall establish a method of allocating60949
funds to hospitals, taking into consideration the relative amount60950
of indigent care provided by each hospital or group of hospitals.60951
The amount to be allocated shall be based on any combination of60952
the following indicators of indigent care that the director60953
considers appropriate:60954

       (1) Total costs, volume, or proportion of services to60955
recipients of the medical assistance program, including recipients60956
enrolled in health insuring corporations;60957

       (2) Total costs, volume, or proportion of services to60958
low-income patients in addition to recipients of the medical60959
assistance program, which may include recipients of Title V of the60960
"Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.A. 301, as60961
amended, and disabilityrecipients of financial or medical60962
assistance establishedprovided under Chapter 5115. of the Revised 60963
Code;60964

       (3) The amount of uncompensated care provided by the hospital 60965
or group of hospitals;60966

       (4) Other factors that the director considers to be60967
appropriate indicators of indigent care.60968

       (C) The department shall distribute funds to each hospital or 60969
group of hospitals in a manner that first may provide for an60970
additional distribution to individual hospitals that provide a60971
high proportion of indigent care in relation to the total care60972
provided by the hospital or in relation to other hospitals. The60973
department shall establish a formula to distribute the remainder60974
of the funds. The formula shall be consistent with section 1923 of 60975
the "Social Security Act," 42 U.S.C.A. 1396r-4, as amended, shall 60976
be based on any combination of the indicators of indigent care60977
listed in division (B) of this section that the director considers 60978
appropriate.60979

       (D) The department shall distribute funds to each hospital in60980
installments not later than ten working days after the deadline60981
established in rules for each hospital to pay an installment on60982
its assessment under section 5112.06 of the Revised Code. In the60983
case of a governmental hospital that makes intergovernmental60984
transfers, the department shall pay an installment under this60985
section not later than ten working days after the earlier of that60986
deadline or the deadline established in rules for the governmental60987
hospital to pay an installment on its intergovernmental transfer.60988
If the amount in the hospital care assurance program fund and the60989
hospital care assurance match fund created under section 5112.1860990
of the Revised Code is insufficient to make the total60991
distributions for which hospitals are eligible to receive in any60992
period, the department shall reduce the amount of each60993
distribution by the percentage by which the amount is60994
insufficient. The department shall distribute to hospitals any60995
amounts not distributed in the period in which they are due as60996
soon as moneys are available in the funds.60997

       Sec. 5112.17.  (A) As used in this section:60998

       (1) "Federal poverty guideline" means the official poverty60999
guideline as revised annually by the United States secretary of61000
health and human services in accordance with section 673 of the61001
"Community Service Block Grant Act," 95 Stat. 511 (1981), 4261002
U.S.C.A. 9902, as amended, for a family size equal to the size of61003
the family of the person whose income is being determined.61004

       (2) "Third-party payer" means any private or public entity or 61005
program that may be liable by law or contract to make payment to 61006
or on behalf of an individual for health care services.61007
"Third-party payer" does not include a hospital.61008

       (B) Each hospital that receives funds distributed under 61009
sections 5112.01 to 5112.21 of the Revised Code shall provide, 61010
without charge to the individual, basic, medically necessary 61011
hospital-level services to individuals who are residents of this 61012
state, are not recipients of the medical assistance program, and 61013
whose income is at or below the federal poverty guideline. 61014
Recipients of disability financial assistance and recipients of 61015
disability medical assistance provided under Chapter 5115. of the 61016
Revised Code qualify for services under this section. The director 61017
of job and family services shall adopt rules under section 5112.03 61018
of the Revised Code specifying the hospital services to be 61019
provided under this section.61020

       (C) Nothing in this section shall be construed to prevent a 61021
hospital from requiring an individual to apply for eligibility 61022
under the medical assistance program before the hospital processes61023
an application under this section. Hospitals may bill any61024
third-party payer for services rendered under this section. 61025
Hospitals may bill the medical assistance program, in accordance 61026
with Chapter 5111. of the Revised Code and the rules adopted under 61027
that chapter, for services rendered under this section if the 61028
individual becomes a recipient of the program. Hospitals may bill 61029
individuals for services under this section if all of the 61030
following apply:61031

       (1) The hospital has an established post-billing procedure61032
for determining the individual's income and canceling the charges61033
if the individual is found to qualify for services under this61034
section.61035

       (2) The initial bill, and at least the first follow-up bill, 61036
is accompanied by a written statement that does all of the61037
following:61038

       (a) Explains that individuals with income at or below the61039
federal poverty guideline are eligible for services without61040
charge;61041

       (b) Specifies the federal poverty guideline for individuals 61042
and families of various sizes at the time the bill is sent;61043

       (c) Describes the procedure required by division (C)(1) of61044
this section.61045

       (3) The hospital complies with any additional rules the61046
department adopts under section 5112.03 of the Revised Code.61047

       Notwithstanding division (B) of this section, a hospital61048
providing care to an individual under this section is subrogated61049
to the rights of any individual to receive compensation or61050
benefits from any person or governmental entity for the hospital61051
goods and services rendered.61052

       (D) Each hospital shall collect and report to the department, 61053
in the form and manner prescribed by the department, information 61054
on the number and identity of patients served pursuant to this 61055
section.61056

       (E) This section applies beginning May 22, 1992, regardless 61057
of whether the department has adopted rules specifying the 61058
services to be provided. Nothing in this section alters the scope 61059
or limits the obligation of any governmental entity or program, 61060
including the program awarding reparations to victims of crime 61061
under sections 2743.51 to 2743.72 of the Revised Code and the61062
program for medically handicapped children established under61063
section 3701.023 of the Revised Code, to pay for hospital services 61064
in accordance with state or local law.61065

       Sec. 5112.31.  The department of job and family services 61066
shall:61067

       (A) For the purpose of providing home and community-based61068
services for mentally retarded and developmentally disabled61069
persons, annually assess each intermediate care facility for the61070
mentally retarded a franchise permit fee equal to nine dollars and 61071
twenty-foursixty-three cents multiplied by the product of the 61072
following:61073

       (1) The number of beds certified under Title XIX of the61074
"Social Security Act" on the first day of May of the calendar year 61075
in which the assessment is determined pursuant to division (A) of 61076
section 5112.33 of the Revised Code;61077

       (2) The number of days in the fiscal year beginning on the61078
first day of July of the same calendar year.61079

       (B) Not later thanBeginning July 1, 19962005, and the first 61080
day of each July thereafter, adjust fees determined under division 61081
(A) of this section in accordance with the composite inflation 61082
factor established in rules adopted under section 5112.39 of the 61083
Revised Code.61084

       If the United States secretary of health and human services61085
determines that the franchise permit fee established by sections 61086
5112.30 to 5112.39 of the Revised Code would be an impermissible 61087
health care-related tax under section 1903(w) of the "Social61088
Security Act," 42 U.S.C.A. 1396b(w), as amended, the department 61089
shall take all necessary actions to cease implementation of those 61090
sections in accordance with rules adopted under section 5112.39 of 61091
the Revised Code.61092

       Sec. 5112.99.  (A) The director of job and family services61093
shall impose a penalty of one hundred dollars for each day that a61094
hospital fails to report the information required under section61095
5112.04 of the Revised Code on or before the dates specified in61096
that section. The amount of the penalty shall be established by 61097
the director in rules adopted under section 5112.03 of the Revised 61098
Code.61099

       (B) In addition to any other remedy available to the61100
department of job and family services under law to collect unpaid61101
assessments and transfers, the director shall impose a penalty of61102
ten per cent of the amount due, not to exceed twenty thousand61103
dollars, on any hospital that fails to pay assessments or make61104
intergovernmental transfers by the dates required by rules adopted61105
under section 5112.03 of the Revised Code.61106

       (C) The director shall waive the penalties provided for in61107
divisions (A) and (B) of this section for good cause shown by the61108
hospital.61109

       (D) All penalties imposed under this section shall be61110
deposited into the general revenuehealth care administration fund 61111
created by section 5111.94 of the Revised Code.61112

       Sec. 5115.01.  (A) There is hereby establishedThe director 61113
of job and family services shall establish the disability 61114
financial assistance program. Except as provided in division (D) 61115
of this section, a disability assistance recipient shall receive 61116
financial assistance. Except as provided in section 5115.11 of the 61117
Revised Code, a disability assistance recipient also shall receive 61118
disability assistance medical assistance.61119

       Except as provided by division (B) of this section, a person 61120
who meets all of the following requirements is(B) Subject to all 61121
other eligibility requirements established by this chapter and the 61122
rules adopted under it for the disability financial assistance 61123
program, a person may be eligible for disability financial61124
assistance only if one of the following applies:61125

       (1) The person is ineligible to participate in the Ohio works 61126
first program established under Chapter 5107. of the Revised Code 61127
and to receive supplemental security income provided pursuant to 61128
Title XVI of the Social Security Act, 86 Stat. 1475 (1972), 42 61129
U.S.C.A. 1383, as amended;61130

       (2) The person is at least one of the following:61131

       (a) Under age eighteen;61132

       (b) Age sixty or older;61133

       (c) Pregnant;61134

       (d) Unableunable to do any substantial or gainful activity 61135
by reason of a medically determinable physical or mental 61136
impairment that can be expected to result in death or has lasted 61137
or can be expected to last for not less than nine months;61138

       (e) A resident of a residential treatment center certified as 61139
an alcohol or drug addiction program by the department of alcohol 61140
and drug addiction services under section 3793.06 of the Revised 61141
Code.61142

       (f) Medication dependent as determined by a physician, as 61143
defined in section 4730.01 of the Revised Code, who has certified 61144
to the county department of job and family services that the 61145
person is receiving ongoing treatment for a chronic medical 61146
condition requiring continuous prescription medication for an61147
indefinite, long-term period of time and for whom the loss of the 61148
medication would result in a significant risk of medical emergency 61149
and loss of employability lasting at least nine months.61150

       (3) The(2) On the day before the effective date of this 61151
amendment, the person meets the eligibility requirements 61152
established in rules adopted under section 5115.05 of the Revised 61153
Codewas sixty years of age or older and one of the following is 61154
the case:61155

        (a) The person was receiving or was scheduled to begin 61156
receiving financial assistance under this chapter on the basis of 61157
being sixty years of age or older;61158

        (b) An eligibility determination was pending regarding the 61159
person's application to receive financial assistance under this 61160
chapter on the basis of being sixty years of age or older and, on 61161
or after the effective date of this amendment, the person receives 61162
a determination of eligibility based on that application.61163

       (B)(1) A person is ineligible for disability assistance if 61164
the person is ineligible to participate in the Ohio works first 61165
program because of any of the following:61166

       (a) Section 5101.83, 5107.14, or 5107.16 of the Revised Code;61167

       (b) The time limit established by section 5107.18 of the 61168
Revised Code;61169

       (c) Failure to comply with an application or verification 61170
procedure;61171

       (d) The fraud control program established pursuant to 45 61172
C.F.R. 235.112, as in effect July 1, 1996.61173

       (2) A person under age eighteen is ineligible for disability 61174
assistance pursuant to division (B)(1)(a) of this section only if 61175
the person caused the assistance group to be ineligible to 61176
participate in the Ohio works first program or resides with a61177
person age eighteen or older who was a member of the same 61178
ineligible assistance group. A person age eighteen or older is 61179
ineligible for disability assistance pursuant to division 61180
(B)(1)(a) of this section regardless of whether the person caused 61181
the assistance group to be ineligible to participate in the Ohio 61182
works first program.61183

       (C) The county department of job and family services that 61184
serves the county in which a person receiving disability 61185
assistance pursuant to division (A)(2)(e) of this section61186
participates in an alcohol or drug addiction program shall61187
designate a representative payee for purposes of receiving and61188
distributing financial assistance provided under the disability61189
assistance program to the person.61190

       (D) A person eligible for disability assistance pursuant to 61191
division (A)(2)(f) of this section shall not receive financial 61192
assistance.61193

       (E) The director of job and family services shall adopt rules 61194
in accordance with section 111.15 of the Revised Code defining 61195
terms and establishing standards for determining whether a person 61196
meets a condition of disability assistance eligibility pursuant to 61197
this section.61198

       Sec. 5115.04.        Sec. 5115.02. (A) An individual is not eligible for 61199
disability financial assistance under this chapter if eitherany61200
of the following apply:61201

       (A)(1) The individual is eligible to participate in the Ohio 61202
works first program established under Chapter 5107. of the Revised 61203
Code; eligible to receive supplemental security income provided 61204
pursuant to Title XVI of the "Social Security Act," 86 Stat. 1475 61205
(1972), 42 U.S.C. 1383, as amended; or eligible to participate in 61206
or receive assistance through another state or federal program 61207
that provides financial assistance similar to disability financial 61208
assistance, as determined by the director of job and family 61209
services;61210

       (2) The individual is ineligible to participate in the Ohio61211
works first program because of any of the following:61212

       (a) The time limit established by section 5107.18 of the 61213
Revised Code;61214

       (b) Failure to comply with an application or verification 61215
procedure;61216

       (c) The fraud control provisions of section 5101.83 of the 61217
Revised Code or the fraud control program established pursuant to 61218
45 C.F.R. 235.112, as in effect July 1, 1996;61219

       (d) The self-sufficiency contract provisions of sections 61220
5107.14 and 5107.16 of the Revised Code;61221

       (e) The minor parent provisions of section 5107.24 of the 61222
Revised Code;61223

       (f) The provisions of section 5107.26 of the Revised Code 61224
regarding termination of employment without just cause.61225

       (3) The individual, or any of the other individuals included 61226
in determining the individual's eligibility, is involved in a 61227
strike, as defined in section 5107.10 of the Revised Code;61228

       (4) For the purpose of avoiding consideration of property in61229
determinations of the individual's eligibility for disability 61230
financial assistance or a greater amount of assistance, the 61231
individual has transferred property during the two years preceding 61232
application for or most recent redetermination of eligibility for 61233
disability assistance;61234

       (5) The individual is a child and does not live with the 61235
child's parents, guardians, or other persons standing in place of 61236
parents, unless the child is emancipated by being married, by 61237
serving in the armed forces, or by court order;61238

       (6) The individual reside in a county home, city infirmary,61239
jail, or public institution;61240

       (7) The individual is a fugitive felon as defined in section 61241
5101.26 of the Revised Code;61242

       (B)(8) The individual is violating a condition of probation, 61243
a community control sanction, parole, or a post-release control 61244
sanction imposed under federal or state law.61245

       (B)(1) As used in division (B)(2) of this section, 61246
"assistance group" has the same meaning as in section 5107.02 of 61247
the Revised Code.61248

       (2) Ineligibility under division (A)(2)(c) or (d) of this 61249
section applies as follows:61250

       (a) In the case of an individual who is under eighteen years 61251
of age, the individual is ineligible only if the individual caused 61252
the assistance group to be ineligible to participate in the Ohio 61253
works first program or resides with an individual eighteen years 61254
of age or older who was a member of the same ineligible assistance 61255
group.61256

       (b) In the case of an individual who is eighteen years of age 61257
or older, the individual is ineligible regardless of whether the 61258
individual caused the assistance group to be ineligible to 61259
participate in the Ohio works first program.61260

       Sec. 5115.03. (A) The director of job and family services61261
shall do both of the following:61262

       (A) Adoptadopt rules in accordance with section 111.15 of 61263
the Revised Code governing the administration of disability61264
assistance, including the administration of financial assistance 61265
and disability assistance medical assistanceprogram. The rules 61266
shall be binding on county departments of job and family services.61267

       (B) Make investigations to determine whether disability61268
assistance is being administered in compliance with the Revised61269
Code and rules adopted by the director.may establish or specify 61270
any or all of the following:61271

       (1) Maximum payment amounts under the disability financial 61272
assistance program, based on state appropriations for the program;61273

       (2) Limits on the length of time an individual may receive 61274
disability financial assistance;61275

       (3) Limits on the total number of individuals in the state 61276
who may receive disability financial assistance;61277

        (4) Income, resource, citizenship, age, residence, living 61278
arrangement, and other eligibility requirements for disability 61279
financial assistance;61280

       (5) Procedures for disregarding amounts of earned and 61281
unearned income for the purpose of determining eligibility for 61282
disability financial assistance and the amount of assistance to be 61283
provided;61284

       (6) Procedures for including the income and resources, or a 61285
certain amount of the income and resources, of a member of an 61286
individual's family when determining eligibility for disability 61287
financial assistance and the amount of assistance to be provided.61288

       (B) In establishing or specifying eligibility requirements 61289
for disability financial assistance, the director shall exclude61290
the value of any tuition payment contract entered into under 61291
section 3334.09 of the Revised Code or any scholarship awarded 61292
under section 3334.18 of the Revised Code and the amount of 61293
payments made by the Ohio tuition trust authority under section61294
3334.09 of the Revised Code pursuant to the contract or 61295
scholarship. The director shall not require any individual to 61296
terminate a tuition payment contract entered into under Chapter 61297
3334. of the Revised Code as a condition of eligibility for 61298
disability financial assistance. The director shall consider as 61299
income any refund paid under section 3334.10 of the Revised Code.61300

       (C) Notwithstanding section 3109.01 of the Revised Code, when 61301
a disability financial assistance applicant or recipient who is at 61302
least eighteen but under twenty-two years of age resides with the61303
applicant's or recipient's parents, the income of the parents 61304
shall be taken into account in determining the applicant's or61305
recipient's financial eligibility. In the rules adopted under this 61306
section, the director shall specify procedures for determining the 61307
amount of income to be attributed to applicants and recipients in 61308
this age category.61309

       (D) For purposes of limiting the cost of the disability 61310
financial assistance program, the director may do either or both 61311
of the following:61312

       (1) Adopt rules in accordance with section 111.15 of the 61313
Revised Code that revise the program's eligibility requirements, 61314
the maximum payment amounts, or any other requirement or standard 61315
established or specified in the rules adopted by the director;61316

       (2) Suspend acceptance of applications for disability 61317
financial assistance. While a suspension is in effect, no person 61318
shall receive a determination or redetermination of eligibility 61319
for disability financial assistance unless the person was 61320
receiving the assistance during the month immediately preceding 61321
the suspension's effective date or the person submitted an 61322
application prior to the suspension's effective date and receives 61323
a determination of eligibility based on that application. The 61324
director may adopt rules in accordance with section 111.15 of the 61325
Revised Code establishing requirements and specifying procedures 61326
applicable to the suspension of acceptance of applications.61327

       Sec. 5115.02.        Sec. 5115.04.  (A) The department of job and family 61328
services shall supervise and administer the disability financial61329
assistance program, except that the department may require county 61330
departments of job and family services to perform any 61331
administrative function specified in rules adopted by the director 61332
of job and family services, including making determinations of 61333
financial eligibility and initial determinations of whether an 61334
applicant meets a condition of eligibility under division 61335
(A)(2)(d) of section 5115.01 of the Revised Code, distributing 61336
financial assistance payments, reimbursing providers of medical 61337
services for services provided to disability assistance 61338
recipients, and any other function specified in the rules. The 61339
department may also require county departments to make a final 61340
determination of whether an applicant meets a condition for 61341
eligibility under division (A)(2)(a), (b), (c), (e), or (f) of 61342
section 5115.01 of the Revised Code. The department shall make the 61343
final determination of whether an applicant meets a condition of 61344
eligibility under division (A)(2)(d) of section 5115.01 of the 61345
Revised Code.61346

       (B) If the department requires county departments to perform61347
administrative functions under this section, the director shall 61348
adopt rules in accordance with section 111.15 of the Revised Code61349
governing the performance of the functions to be performed by 61350
county departments. County departments shall perform the functions 61351
in accordance with the rules. The director shall conduct 61352
investigations to determine whether disability financial 61353
assistance is being administered in compliance with the Revised 61354
Code and rules adopted by the director.61355

       (C) If disability financial assistance payments or medical 61356
services reimbursements are made by the county department of job 61357
and family services, the department shall advance sufficient funds 61358
to provide the county treasurer with the amount estimated for the61359
payments or reimbursements. Financial assistance payments shall be 61360
distributed in accordance with sections 117.45, 319.16, and 329.03 61361
of the Revised Code.61362

       Sec. 5115.05. (A) The director of job and family services 61363
shall adopt rules in accordance with section 111.15 of the Revised 61364
Code establishing application and verification procedures,61365
reapplication procedures, and income, resource, citizenship, age,61366
residence, living arrangement, assistance group composition, and61367
other eligibility requirements the director considers necessary in 61368
the administration of the application process for disability 61369
financial assistance. The rules may provide for disregarding 61370
amounts of earned and unearned income for the purpose of 61371
determining whether an assistance group is eligible for assistance 61372
and the amount of assistance provided under this chapter. The61373
rules also may provide that the income and resources, or a certain61374
amount of the income and resources, of a member of an assistance61375
group's family group will be included in determining whether the 61376
assistance group is eligible for aid and the amount of aid 61377
provided under this chapter.61378

       If financial assistance under this chapter is to be paid by 61379
the auditor of state through the medium of direct deposit, the 61380
application shall be accompanied by information the auditor needs 61381
to make direct deposits.61382

       The department of job and family services may require61383
recipients of disability financial assistance to participate in a 61384
reapplication process two months after initial approval for 61385
assistance has been determined and at such other times as 61386
specified in the department requiresrules.61387

       If a recipient of disability assistance, or the spouse of or 61388
member of the assistance group of a recipient, becomes possessed 61389
of resources or income in excess of the amount allowed under rules 61390
adopted under this section, or if other changes occur that affect 61391
the person's eligibility or need for assistance, the recipient 61392
shall notify the department or county department of job and family 61393
services within the time limits specified in the rules. Failure of 61394
a recipient to report possession of excess resources or income or 61395
a change affecting eligibility or need within those time limits 61396
shall be considered prima-facie evidence of intent to defraud 61397
under section 5115.15 of the Revised Code.61398

       Each applicant for or recipient of disability assistance61399
shall make reasonable efforts to secure support from persons61400
responsible for the applicant's or recipient's support, and from 61401
other sources, as a means of preventing or reducing the provision 61402
of disability assistance at public expense. The department or 61403
county department may provide assistance to the applicant or 61404
recipient in securing other forms of financial or medical 61405
assistance.61406

       Notwithstanding section 3109.01 of the Revised Code, when a61407
disability assistance applicant or recipient who is at least61408
eighteen but under twenty-two years of age resides with the61409
applicant's or recipient's parents, the income of the parents 61410
shall be taken into account in determining the applicant's or61411
recipient's financial eligibility. The director shall adopt rules 61412
for determining the amount of income to be attributed to the 61413
assistance group of applicants in this age category.61414

       (B) Any person who applies for disability financial61415
assistance under this section shall receive a voter registration 61416
application under section 3503.10 of the Revised Code.61417

       Sec. 5115.07.        Sec. 5115.06. Financial assistanceAssistance under 61418
the disability financial assistance program may be given by 61419
warrant, direct deposit, or, if provided by the director of job 61420
and family services pursuant to section 5101.33 of the Revised 61421
Code, by electronic benefit transfer. It shall be inalienable 61422
whether by way of assignment, charge, or otherwise, and is exempt 61423
from attachment, garnishment, or other like process. Any61424

       Any direct deposit shall be made to a financial institution 61425
and account designated by the recipient. TheIf disability 61426
financial assistance is to be paid by the auditor of state through 61427
direct deposit, the application for assistance shall be 61428
accompanied by information the auditor needs to make direct 61429
deposits.61430

       The director of job and family services may adopt rules for 61431
designation of financial institutions and accounts. No61432

       No financial institution shall impose any charge for direct 61433
deposit of disability assistance financial assistance payments 61434
that it does not charge all customers for similar services.61435

       The department of job and family services shall establish61436
financial assistance payment amounts based on state61437
appropriations.61438

       Disability assistance may be given to persons living in their 61439
own homes or other suitable quarters, but shall not be given to 61440
persons who reside in a county home, city infirmary, jail, or 61441
public institution. Disability assistance shall not be given to an61442
unemancipated child unless the child lives with the child's61443
parents, guardians, or other persons standing in place of parents. 61444
For the purpose of this section, a child is emancipated if the 61445
child is married, serving in the armed forces, or has been 61446
emancipated by court order.61447

       No person shall be eligible for disability assistance if, for 61448
the purpose of avoiding consideration of property in61449
determinations of the person's eligibility for disability61450
assistance or a greater amount of assistance, the person has 61451
transferred property during the two years preceding application 61452
for or most recent redetermination of eligibility for disability 61453
assistance.61454

       Sec. 5115.13.        Sec. 5115.07.  The acceptance of disabilityfinancial61455
assistance under this chapterthe disability financial assistance 61456
program constitutes an assignment to the department of job and 61457
family services of any rights an individual receiving disability61458
the assistance has to financial support from any other person, 61459
excluding medical support assigned pursuant to section 5101.59 of 61460
the Revised Code. The rights to support assigned to the department 61461
pursuant to this section constitute an obligation of the person 61462
responsible for providing the support to the state for the amount 61463
of disability financial assistance payments to the recipient or 61464
recipients whose needs are included in determining the amount of 61465
disability assistance received. Support payments assigned to the 61466
state pursuant to this section shall be collected by the county 61467
department of job and family services and reimbursements for 61468
disability financial assistance payments shall be credited to the 61469
state treasury.61470

       Sec. 5115.10.  (A) The director of job and family services 61471
shall establish a disability assistance medical assistance program 61472
shall consist of a system of managed primary care. Until July 1, 61473
1992, the program shall also include limited hospital services, 61474
except that if prior to that date hospitals are required by 61475
section 5112.17 of the Revised Code to provide medical services 61476
without charge to persons specified in that section, the program 61477
shall cease to include hospital services at the time the 61478
requirement of section 5112.17 of the Revised Code takes effect.61479

       The department of job and family services may require61480
disability assistance medical assistance recipients to enroll in61481
health insuring corporations or other managed care programs, or 61482
may limit the number or type of health care providers from which a 61483
recipient may receive services.61484

       The director of job and family services shall adopt rules 61485
governing the disability assistance medical assistance program 61486
established under this division. The rules shall specify all of 61487
the following:61488

       (1) Services that will be provided under the system of61489
managed primary care;61490

       (2) Hospital services that will be provided during the period 61491
that hospital services are provided under the program;61492

       (3) The maximum authorized amount, scope, duration, or limit 61493
of payment for services.61494

       (B) The director of job and family services shall designate 61495
medical services providers for the disability assistance medical61496
assistance program. The first such designation shall be made not61497
later than September 30, 1991. Services under the program shall be 61498
provided only by providers designated by the director. The61499
director may require that, as a condition of being designated a61500
disability assistance medical assistance provider, a provider61501
enter into a provider agreement with the state department.61502

       (C) As long as the disability assistance medical assistance 61503
program continues to include hospital services, the department or 61504
a county director of job and family services may, pursuant to 61505
rules adopted under this section, approve an application for 61506
disability assistance medical assistance for emergency inpatient 61507
hospital services when care has been given to a person who had not 61508
completed a sworn application for disability assistance at the 61509
time the care was rendered, if all of the following apply:61510

       (1) The person files an application for disability assistance 61511
within sixty days after being discharged from the hospital or, if 61512
the conditions of division (D) of this section are met, while in 61513
the hospital;61514

       (2) The person met all eligibility requirements for61515
disability assistance at the time the care was rendered;61516

       (3) The care given to the person was a medical service within 61517
the scope of disability assistance medical assistance as61518
established under rules adopted by the director of job and family 61519
services.61520

       (D) If a person files an application for disability61521
assistance medical assistance for emergency inpatient hospital61522
services while in the hospital, a face-to-face interview shall be61523
conducted with the applicant while the applicant is in the61524
hospital to determine whether the applicant is eligible for the61525
assistance. If the hospital agrees to reimburse the county 61526
department of job and family services for all actual costs 61527
incurred by the department in conducting the interview, the 61528
interview shall be conducted by an employee of the county 61529
department. If, at the request of the hospital, the county 61530
department designates an employee of the hospital to conduct the 61531
interview, the interview shall be conducted by the hospital 61532
employee.61533

       (E) The department of job and family services may assume61534
responsibility for peer review of expenditures for disability61535
assistance medical assistance(B) Subject to all other eligibility 61536
requirements established by this chapter and the rules adopted 61537
under it for the disability medical assistance program, a person 61538
may be eligible for disability medical assistance only if the 61539
person is medication dependent, as determined by the department of 61540
job and family services.61541

        (C) The director shall adopt rules under section 111.15 of 61542
the Revised Code for purposes of implementing division (B) of this 61543
section. The rules may specify or establish any or all of the 61544
following:61545

       (1) Standards for determining whether a person is medication 61546
dependent, including standards under which a person may qualify as 61547
being medication dependent only if it is determined that both of 61548
the following are the case:61549

        (a) The person is receiving ongoing treatment for a chronic 61550
medical condition that requires continuous prescription medication 61551
for an indefinite, long-term period of time;61552

       (b) Loss of the medication would result in a significant risk 61553
of medical emergency and loss of employability lasting at least 61554
nine months.61555

        (2) A requirement that a person's medical condition be 61556
certified by an individual authorized under Chapter 4731. of the 61557
Revised Code to practice medicine and surgery or osteopathic 61558
medicine and surgery;61559

       (3) Limitations on the chronic medical conditions and 61560
prescription medications that may qualify a person as being 61561
medication dependent.61562

       Sec. 5115.11. If a member of an assistance group receiving 61563
disability assistance under this chapterAn individual who61564
qualifies for the medical assistance program established under 61565
Chapter 5111. of the Revised Code, the member shall receive61566
medical assistance through that program rather than through the 61567
disability assistance medical assistance program.61568

       An individual is ineligible for disability medical assistance 61569
if, for the purpose of avoiding consideration of property in61570
determinations of the individual's eligibility for disability 61571
medical assistance or a greater amount of assistance, the person 61572
has transferred property during the two years preceding 61573
application for or most recent redetermination of eligibility for 61574
disability medical assistance.61575

       Sec. 5115.12. (A) The director of job and family services 61576
shall adopt rules in accordance with section 111.15 of the Revised 61577
Code governing the disability medical assistance program. The 61578
rules may establish or specify any or all of the following:61579

       (1) Income, resource, citizenship, age, residence, living 61580
arrangement, and other eligibility requirements;61581

        (2) Health services to be included in the program;61582

        (3) The maximum authorized amount, scope, duration, or limit 61583
of payment for services;61584

        (4) Limits on the length of time an individual may receive 61585
disability medical assistance;61586

        (5) Limits on the total number of individuals in the state 61587
who may receive disability medical assistance.61588

        (B) For purposes of limiting the cost of the disability 61589
medical assistance program, the director may do either of the 61590
following:61591

       (1) Adopt rules in accordance with section 111.15 of the 61592
Revised Code that revise the program's eligibility requirements; 61593
the maximum authorized amount, scope, duration, or limit of 61594
payment for services included in the program; or any other 61595
requirement or standard established or specified by rules adopted 61596
under division (A) of this section or under section 5115.10 of the 61597
Revised Code;61598

       (2) Suspend acceptance of applications for disability medical 61599
assistance. While a suspension is in effect, no person shall 61600
receive a determination or redetermination of eligibility for 61601
disability medical assistance unless the person was receiving the 61602
assistance during the month immediately preceding the suspension's 61603
effective date or the person submitted an application prior to the 61604
suspension's effective date and receives a determination of 61605
eligibility based on that application. The director may adopt 61606
rules in accordance with section 111.15 of the Revised Code 61607
establishing requirements and specifying procedures applicable to 61608
the suspension of acceptance of applications.61609

       Sec. 5115.13.  (A) The department of job and family services 61610
shall supervise and administer the disability medical program, 61611
except as follows:61612

       (1) The department may require county departments of job and 61613
family services to perform any administrative function specified 61614
in rules adopted by the director of job and family services.61615

        (2) The director may contract with any private or public 61616
entity in this state to perform any administrative function or to 61617
administer any or all of the program.61618

        (B) If the department requires county departments to perform 61619
administrative functions, the director of job and family services 61620
shall adopt rules in accordance with section 111.15 of the Revised 61621
Code governing the performance of the functions to be performed by 61622
county departments. County departments shall perform the functions 61623
in accordance with the rules.61624

        If the director contracts with a private or public entity to 61625
perform administrative functions or to administer any or all of 61626
the program, the director may either adopt rules in accordance 61627
with section 111.15 of the Revised Code or include provisions in 61628
the contract governing the performance of the functions by the 61629
private or public entity. Entities under contract shall perform 61630
the functions in accordance with the requirements established by 61631
the director.61632

       (C) Whenever division (A)(1) or (2) of this section is 61633
implemented, the director shall conduct investigations to 61634
determine whether disability medical assistance is being 61635
administered in compliance with the Revised Code and rules adopted 61636
by the director or in accordance with the terms of the contract.61637

       Sec. 5115.14. (A) The director of job and family services 61638
shall adopt rules in accordance with section 111.15 of the Revised 61639
Code establishing application and verification procedures, 61640
reapplication procedures, and other requirements the director 61641
considers necessary in the administration of the application 61642
process for disability medical assistance.61643

       (B) Any person who applies for disability medical assistance 61644
shall receive a voter registration application under section 61645
3503.10 of the Revised Code.61646

       Sec. 5115.20.  (A) The department of job and family services 61647
shall establish a disability advocacy program and each county 61648
department of job and family services shall establish a disability 61649
advocacy program unit or join with other county departments of job 61650
and family services to establish a joint county disability 61651
advocacy program unit. Through the program the department and 61652
county departments shall cooperate in efforts to assist applicants 61653
for and recipients of assistance under this chapterthe disability 61654
financial assistance program and the disability medical assistance 61655
program, who might be eligible for supplemental security income 61656
benefits under Title XVI of the "Social Security Act," 86 Stat. 61657
1475 (1972), 42 U.S.C.A. 1383, as amended, in applying for those 61658
benefits. The61659

       As part of their disability advocacy programs, the state 61660
department and county departments may enter into contracts for the61661
services to applicants for and recipients of assistance under this 61662
chapter who might be eligible for supplemental security income 61663
benefits withof persons and governmentalgovernment entities that 61664
in the judgment of the department or county department have 61665
demonstrated expertise in representing persons seeking 61666
supplemental security income benefits. Each contract shall require 61667
the person or entity with which a department contracts to assess 61668
each person referred to it by the department to determine whether 61669
the person appears to be eligible for supplemental security income 61670
benefits, and, if the person appears to be eligible, assist the 61671
person in applying and represent the person in any proceeding of 61672
the social security administration, including any appeal or 61673
reconsideration of a denial of benefits. The department or county 61674
department shall provide to the person or entity with which it 61675
contracts all records in its possession relevant to the61676
application for supplemental security income benefits. The 61677
department shall require a county department with relevant records 61678
to submit them to the person or entity.61679

       (B) Each applicant for or recipient of disability financial 61680
assistance or disability medical assistance under this chapter61681
who, in the judgment of the department or a county department 61682
might be eligible for supplemental security benefits, mustshall, 61683
as a condition of eligibility for assistance, apply for such 61684
benefits if directed to do so by the department or county61685
department.61686

       (C) EachWith regard to applicants for and recipients of 61687
disability financial assistance or disability medical assistance, 61688
each county department of job and family services shall do all of 61689
the following:61690

       (1) Identify applicants for and recipients of assistance 61691
under this chapter who might be eligible for supplemental security 61692
income benefits;61693

       (2) Assist applicants for and recipients of assistance under 61694
this chapter in securing documentation of disabling conditions or 61695
refer them for such assistance to a person or government agency61696
entity with which the department or county department has 61697
contracted under division (A) of this section;61698

       (3) Inform applicants for and recipients of assistance under 61699
this chapter of available sources of representation, which may 61700
include a person or government entity with which the department or 61701
county department has contracted under division (A) of this 61702
section, and of their right to represent themselves in 61703
reconsiderations and appeals of social security administration 61704
decisions that deny them supplemental security income benefits. 61705
The county department may require the applicants and recipients, 61706
as a condition of eligibility for assistance, to pursue61707
reconsiderations and appeals of social security administration61708
decisions that deny them supplemental security income benefits,61709
and shall assist applicants and recipients as necessary to obtain61710
such benefits or refer them to a person or government agency61711
entity with which the department or county department has 61712
contracted under division (A) of this section.61713

       (4) Require applicants for and recipients of assistance under 61714
this chapter who, in the judgment of the county department, are or 61715
may be aged, blind, or disabled, to apply for medical assistance61716
under Chapter 5111. of the Revised Code, make determinations when 61717
appropriate as to eligibility for medical assistance, and refer 61718
their applications when necessary to the disability determination 61719
unit established in accordance with division (F) of this section 61720
for expedited review;61721

       (5) Require each applicant for and each recipient of61722
assistance under this chapter who in the judgment of the61723
department or the county department might be eligible for 61724
supplemental security income benefits, as a condition of 61725
eligibility for disability financial assistance or disability 61726
medical assistance under this chapter, to execute a written 61727
authorization for the secretary of health and human services to 61728
withhold benefits due that individual and pay to the director of 61729
job and family services or the director's designee an amount 61730
sufficient to reimburse the state and county shares of interim 61731
assistance furnished to the individual. For the purposes of 61732
division (C)(5) of this section, "benefits" and "interim 61733
assistance" have the meanings given in Title XVI of the "Social 61734
Security Act."61735

       (D) The director of job and family services shall adopt rules 61736
in accordance with Chapter 119.section 111.15 of the Revised Code 61737
for the effective administration of the disability advocacy61738
program. The rules shall include all of the following:61739

       (1) Methods to be used in collecting information from and61740
disseminating it to county departments, including the following:61741

       (a) The number of individuals in the county who are disabled 61742
recipients of disability financial assistance or disability 61743
medical assistance under this chapter in the county;61744

       (b) The final decision made either by the social security61745
administration or by a court for each application or61746
reconsideration in which an individual was assisted pursuant to61747
this section.61748

       (2) The type and process of training to be provided by the61749
department of job and family services to the employees of the 61750
county department of job and family services who perform duties 61751
under this section;61752

       (3) Requirements for the written authorization required by61753
division (C)(5) of this section.61754

       (E) The department shall provide basic and continuing 61755
training to employees of the county department of job and family 61756
services who perform duties under this section. Training shall 61757
include but not be limited to all processes necessary to obtain 61758
federal disability benefits, and methods of advocacy.61759

       (F) The department shall establish a disability determination 61760
unit and develop guidelines for expediting reviews of applications 61761
for medical assistance under Chapter 5111. of the Revised Code for 61762
persons who have been referred to the unit under division (C)(4) 61763
of this section. The department shall make determinations of 61764
eligibility for medical assistance for any such person within the 61765
time prescribed by federal regulations.61766

       (G) The department may, under rules the director of job and 61767
family services adopts in accordance with section 111.15 of the 61768
Revised Code, pay a portion of the federal reimbursement described 61769
in division (C)(5) of this section to persons or agencies61770
government entities that assist or represent assistance recipients 61771
in reconsiderations and appeals of social security administration 61772
decisions denying them supplemental security income benefits.61773

       (H) The director shall conduct investigations to determine 61774
whether disability advocacy programs are being administered in 61775
compliance with the Revised Code and the rules adopted by the 61776
director pursuant to this section.61777

       Sec. 5115.22. (A) If a recipient of disability financial 61778
assistance or disability medical assistance, or an individual 61779
whose income and resources are included in determining the 61780
recipient's eligibility for the assistance, becomes possessed of 61781
resources or income in excess of the amount allowed to retain 61782
eligibility, or if other changes occur that affect the recipient's 61783
eligibility or need for assistance, the recipient shall notify the61784
state or county department of job and family services within the 61785
time limits specified in rules adopted by the director of job and 61786
family services in accordance with section 111.15 of the Revised 61787
Code. Failure of a recipient to report possession of excess 61788
resources or income or a change affecting eligibility or need 61789
within those time limits shall be considered prima-facie evidence 61790
of intent to defraud under section 5115.23 of the Revised Code.61791

       (B) As a condition of eligibility for disability financial 61792
assistance or disability medical assistance, and as a means of 61793
preventing or reducing the provision of assistance at public 61794
expense, each applicant for or recipient of the assistance shall 61795
make reasonable efforts to secure support from persons responsible 61796
for the applicant's or recipient's support, and from other 61797
sources, including any federal program designed to provide 61798
assistance to individuals with disabilities. The state or county 61799
department of job and family services may provide assistance to 61800
the applicant or recipient in securing other forms of financial 61801
assistance.61802

       Sec. 5115.15.        Sec. 5115.23.  As used in this section, "erroneous61803
payments" means disability financial assistance payments, 61804
includingor disability assistance medical assistance payments,61805
made to persons who are not entitled to receive them, including 61806
payments made as a result of misrepresentation or fraud, and 61807
payments made due to an error by the recipient or by the county 61808
department of job and family services that made the payment.61809

       The department of job and family services shall adopt rules 61810
in accordance with section 111.15 of the Revised Code specifying 61811
the circumstances under which action is to be taken under this 61812
section to recover erroneous payments. The department, or a county 61813
department of job and family services at the request of the61814
department, shall take action to recover erroneous payments in the 61815
circumstances specified in the rules. The department or county 61816
department may institute a civil action to recover erroneous 61817
payments.61818

       Whenever disability financial assistance or disability 61819
medical assistance has been furnished to a recipient for whose 61820
support another person is responsible, the other person shall, in 61821
addition to the liability otherwise imposed, as a consequence of 61822
failure to support the recipient, be liable for all disability61823
assistance furnished the recipient. The value of the assistance so 61824
furnished may be recovered in a civil action brought by the county 61825
department of job and family services.61826

       Each county department of job and family services shall61827
retain fifty per cent of the erroneous payments it recovers under 61828
this section. The department of job and family services shall 61829
receive the remaining fifty per cent.61830

       Sec. 5119.61.  Any provision in this chapter that refers to a61831
board of alcohol, drug addiction, and mental health services also61832
refers to the community mental health board in an alcohol, drug61833
addiction, and mental health service district that has a community61834
mental health board.61835

       The director of mental health with respect to all facilities61836
and programs established and operated under Chapter 340. of the61837
Revised Code for mentally ill and emotionally disturbed persons,61838
shall do all of the following:61839

       (A) Adopt rules pursuant to Chapter 119. of the Revised Code61840
that may be necessary to carry out the purposes of Chapter 340.61841
and sections 5119.61 to 5119.63 of the Revised Code.61842

       (1) The rules shall include all of the following:61843

       (a) Rules governing a community mental health agency's61844
services under section 340.091 of the Revised Code to an61845
individual referred to the agency under division (C)(2) of section61846
173.35 of the Revised Code;61847

       (b) For the purpose of division (A)(16) of section 340.03 of61848
the Revised Code, rules governing the duties of mental health61849
agencies and boards of alcohol, drug addiction, and mental health61850
services under section 3722.18 of the Revised Code regarding61851
referrals of individuals with mental illness or severe mental61852
disability to adult care facilities and effective arrangements for61853
ongoing mental health services for the individuals. The rules61854
shall do at least the following:61855

       (i) Provide for agencies and boards to participate fully in61856
the procedures owners and managers of adult care facilities must61857
follow under division (A)(2) of section 3722.18 of the Revised61858
Code;61859

       (ii) Specify the manner in which boards are accountable for61860
ensuring that ongoing mental health services are effectively61861
arranged for individuals with mental illness or severe mental61862
disability who are referred by the board or mental health agency61863
under contract with the board to an adult care facility.61864

       (c) Rules governing a board of alcohol, drug addiction, and61865
mental health services when making a report to the director of61866
health under section 3722.17 of the Revised Code regarding the61867
quality of care and services provided by an adult care facility to61868
a person with mental illness or a severe mental disability.61869

       (2) Rules may be adopted to govern the method of paying a61870
community mental health facility described, as defined in division 61871
(B) of section 5111.022 of the Revised Code, for providing 61872
services established bylisted in division (A)(B) of that section. 61873
Such rules must be consistent with the contract entered into61874
between the departments of job and family services and mental 61875
health under division (E) of that section 5111.91 of the Revised 61876
Code and include requirements ensuring appropriate service 61877
utilization.61878

       (B) Review and evaluate, and, taking into account the61879
findings and recommendations of the board of alcohol, drug61880
addiction, and mental health services of the district served by61881
the program and the requirements and priorities of the state61882
mental health plan, including the needs of residents of the61883
district now residing in state mental institutions, approve and61884
allocate funds to support community programs, and make61885
recommendations for needed improvements to boards of alcohol, drug61886
addiction, and mental health services;61887

       (C) Withhold state and federal funds for any program, in61888
whole or in part, from a board of alcohol, drug addiction, and61889
mental health services in the event of failure of that program to61890
comply with Chapter 340. or section 5119.61, 5119.611, 5119.612,61891
or 5119.62 of the Revised Code or rules of the department of61892
mental health. The director shall identify the areas of61893
noncompliance and the action necessary to achieve compliance. The61894
director shall offer technical assistance to the board to achieve61895
compliance. The director shall give the board a reasonable time61896
within which to comply or to present its position that it is in61897
compliance. Before withholding funds, a hearing shall be conducted61898
to determine if there are continuing violations and that either61899
assistance is rejected or the board is unable to achieve61900
compliance. Subsequent to the hearing process, if it is determined 61901
that compliance has not been achieved, the director may allocate 61902
all or part of the withheld funds to a public or private agency to 61903
provide the services not in compliance until the time that there 61904
is compliance. The director shall establish rules pursuant to 61905
Chapter 119. of the Revised Code to implement this division.61906

       (D) Withhold state or federal funds from a board of alcohol,61907
drug addiction, and mental health services that denies available61908
service on the basis of religion, race, color, creed, sex,61909
national origin, age, disability as defined in section 4112.01 of61910
the Revised Code, developmental disability, or the inability to61911
pay;61912

       (E) Provide consultative services to community mental health 61913
agencies with the knowledge and cooperation of the board of61914
alcohol, drug addiction, and mental health services;61915

       (F) Provide to boards of alcohol, drug addiction, and mental61916
health services state or federal funds, in addition to those61917
allocated under section 5119.62 of the Revised Code, for special61918
programs or projects the director considers necessary but for61919
which local funds are not available;61920

       (G) Establish criteria by which a board of alcohol, drug61921
addiction, and mental health services reviews and evaluates the61922
quality, effectiveness, and efficiency of services provided61923
through its community mental health plan. The criteria shall61924
include requirements ensuring appropriate service utilization. The61925
department shall assess a board's evaluation of services and the61926
compliance of each board with this section, Chapter 340. or61927
section 5119.62 of the Revised Code, and other state or federal61928
law and regulations. The department, in cooperation with the61929
board, periodically shall review and evaluate the quality,61930
effectiveness, and efficiency of services provided through each61931
board. The department shall collect information that is necessary61932
to perform these functions.61933

       (H) Develop and operate a community mental health information 61934
system.61935

       Boards of alcohol, drug abuse, and mental health services61936
shall submit information requested by the department in the form61937
and manner prescribed by the department. Information collected by61938
the department shall include, but not be limited to, all of the61939
following:61940

       (1) Information regarding units of services provided in whole 61941
or in part under contract with a board, including diagnosis and 61942
special needs, demographic information, the number of units of61943
service provided, past treatment, financial status, and service61944
dates in accordance with rules adopted by the department in61945
accordance with Chapter 119. of the Revised Code;61946

       (2) Financial information other than price or price-related61947
data regarding expenditures of boards and community mental health61948
agencies, including units of service provided, budgeted and actual61949
expenses by type, and sources of funds.61950

       Boards shall submit the information specified in division61951
(H)(1) of this section no less frequently than annually for each61952
client, and each time the client's case is opened or closed. The61953
department shall not collect any information for the purpose of61954
identifying by name any person who receives a service through a61955
board of alcohol, drug addiction, and mental health services,61956
except as required by state or federal law to validate appropriate61957
reimbursement. For the purposes of division (H)(1) of this61958
section, the department shall use an identification system that is61959
consistent with applicable nationally recognized standards.61960

       (I) Review each board's community mental health plan61961
submitted pursuant to section 340.03 of the Revised Code and61962
approve or disapprove it in whole or in part. Periodically, in61963
consultation with representatives of boards and after considering61964
the recommendations of the medical director, the director shall61965
issue criteria for determining when a plan is complete, criteria61966
for plan approval or disapproval, and provisions for conditional61967
approval. The factors that the director considers may include, but 61968
are not limited to, the following:61969

       (1) The mental health needs of all persons residing within61970
the board's service district, especially severely mentally61971
disabled children, adolescents, and adults;61972

       (2) The demonstrated quality, effectiveness, efficiency, and61973
cultural relevance of the services provided in each service61974
district, the extent to which any services are duplicative of61975
other available services, and whether the services meet the needs61976
identified above;61977

       (3) The adequacy of the board's accounting for the61978
expenditure of funds.61979

       If the director disapproves all or part of any plan, the61980
director shall provide the board an opportunity to present its61981
position. The director shall inform the board of the reasons for61982
the disapproval and of the criteria that must be met before the61983
plan may be approved. The director shall give the board a61984
reasonable time within which to meet the criteria, and shall offer61985
technical assistance to the board to help it meet the criteria.61986

       If the approval of a plan remains in dispute thirty days61987
prior to the conclusion of the fiscal year in which the board's61988
current plan is scheduled to expire, the board or the director may61989
request that the dispute be submitted to a mutually agreed upon61990
third-party mediator with the cost to be shared by the board and61991
the department. The mediator shall issue to the board and the61992
department recommendations for resolution of the dispute. Prior to61993
the conclusion of the fiscal year in which the current plan is61994
scheduled to expire, the director, taking into consideration the61995
recommendations of the mediator, shall make a final determination61996
and approve or disapprove the plan, in whole or in part.61997

       Sec. 5119.611. (A) A board of alcohol, drug addiction, and61998
mental health services may not contract with a community mental61999
health agency under division (A)(8)(a) of section 340.03 of the62000
Revised Code to provide community mental health services included62001
in the board's community mental health plan unless the services62002
are certified by the director of mental health under this section.62003

       A community mental health agency that seeks the director's62004
certification of its community mental health services shall submit62005
an application to the director. On receipt of the application, the 62006
director may visit and shall evaluate the agency to determine62007
whether its services satisfy the standards established by rules62008
adopted under division (C) of this section. The director shall62009
make the evaluation, and, if the director visits the agency, shall62010
make the visit, in cooperation with the board of alcohol, drug62011
addiction, and mental health services with which the agency seeks62012
to contract.62013

       If the director determines that a community mental health62014
agency's services satisfy the standards, the director shall62015
certify the services.62016

       If the director determines that a community mental health62017
agency's services do not satisfy the standards, the director shall62018
identify the areas of noncompliance, specify what action is62019
necessary to satisfy the standards, and offer technical assistance62020
to the board of alcohol, drug addiction, and mental health62021
services so that the board may assist the agency in satisfying the62022
standards. The director shall give the agency a reasonable time62023
within which to demonstrate that its services satisfy the62024
standards or to bring the services into compliance with the62025
standards. If the director concludes that the services continue to 62026
fail to satisfy the standards, the director may request that the 62027
board reallocate the funds for the community mental health62028
services the agency was to provide to another community mental62029
health agency whose community mental health services satisfy the62030
standards. If the board does not reallocate those funds in a62031
reasonable period of time, the director may withhold state and62032
federal funds for the community mental health services and62033
allocate those funds directly to a community mental health agency62034
whose community mental health services satisfy the standards.62035

       (B) Each community mental health agency seeking certification 62036
of its community mental health services under this section shall 62037
pay a fee for the certification review required by this section. 62038
Fees shall be paid into the sale of goods and services fund 62039
created pursuant to section 5119.161 of the Revised Code.62040

       (C) The director shall adopt rules in accordance with Chapter 62041
119. of the Revised Code to implement this section. The rules 62042
shall do all of the following:62043

       (1) Establish certification standards for community mental62044
health services, including assertive community treatment and 62045
intensive home-based mental health services, that are consistent 62046
with nationally recognized applicable standards and facilitate 62047
participation in federal assistance programs. The rules shall 62048
include as certification standards only requirements that improve 62049
the quality of services or the health and safety of clients of 62050
community mental health services. The standards shall address at a62051
minimum all of the following:62052

       (a) Reporting major unusual incidents to the director;62053

       (b) Procedures for applicants for and clients of community62054
mental health services to file grievances and complaints;62055

       (c) Seclusion;62056

       (d) Restraint;62057

       (e) Development of written policies addressing the rights of62058
clients, including all of the following:62059

       (i) The right to a copy of the written policies addressing62060
client rights;62061

       (ii) The right at all times to be treated with consideration62062
and respect for the client's privacy and dignity;62063

       (iii) The right to have access to the client's own62064
psychiatric, medical, or other treatment records unless access is62065
specifically restricted in the client's treatment plan for clear62066
treatment reasons;62067

       (iv) The right to have a client rights officer provided by62068
the agency or board of alcohol, drug addiction, and mental health62069
services advise the client of the client's rights, including the62070
client's rights under Chapter 5122. of the Revised Code if the62071
client is committed to the agency or board.62072

       (2) Establish standards for qualifications of mental health62073
professionals as defined in section 340.02 of the Revised Code and62074
personnel who provide the community mental health services;62075

       (3) Establish the process for certification of community62076
mental health services;62077

       (4) Set the amount of certification review fees based on a62078
portion of the cost of performing the review;62079

       (5) Specify the type of notice and hearing to be provided62080
prior to a decision on whether to reallocate funds.62081

       (D) The rules adopted under division (C)(1) of this section 62082
to establish certification standards for assertive community 62083
treatment and intensive home-based mental health services shall be 62084
adopted not later than July 1, 2004.62085

       Sec. 5123.01.  As used in this chapter:62086

       (A) "Chief medical officer" means the licensed physician62087
appointed by the managing officer of an institution for the62088
mentally retarded with the approval of the director of mental62089
retardation and developmental disabilities to provide medical62090
treatment for residents of the institution.62091

       (B) "Chief program director" means a person with special62092
training and experience in the diagnosis and management of the62093
mentally retarded, certified according to division (C) of this62094
section in at least one of the designated fields, and appointed by62095
the managing officer of an institution for the mentally retarded62096
with the approval of the director to provide habilitation and care62097
for residents of the institution.62098

       (C) "Comprehensive evaluation" means a study, including a62099
sequence of observations and examinations, of a person leading to62100
conclusions and recommendations formulated jointly, with62101
dissenting opinions if any, by a group of persons with special62102
training and experience in the diagnosis and management of persons62103
with mental retardation or a developmental disability, which group62104
shall include individuals who are professionally qualified in the62105
fields of medicine, psychology, and social work, together with62106
such other specialists as the individual case may require.62107

       (D) "Education" means the process of formal training and62108
instruction to facilitate the intellectual and emotional62109
development of residents.62110

       (E) "Habilitation" means the process by which the staff of62111
the institution assists the resident in acquiring and maintaining62112
those life skills that enable the resident to cope more62113
effectively with the demands of the resident's own person and of62114
the resident's environment and in raising the level of the62115
resident's physical, mental, social, and vocational efficiency.62116
Habilitation includes but is not limited to programs of formal,62117
structured education and training.62118

       (F) "Habilitation center services" means services provided by62119
a habilitation center certified by the department of mental62120
retardation and developmental disabilities under section 5123.04162121
of the Revised Code and covered by the medicaid program pursuant62122
to rules adopted under section 5111.041 of the Revised Code.62123

       (G) "Health officer" means any public health physician,62124
public health nurse, or other person authorized or designated by a62125
city or general health district.62126

       (H) "Home and community-based services" means medicaid-funded 62127
home and community-based services specified in division (B)(1) of 62128
section 5111.87 of the Revised Code provided under athe medicaid 62129
componentcomponents the department of mental retardation and62130
developmental disabilities administers pursuant to section62131
5111.871 of the Revised Code.62132

       (I) "Indigent person" means a person who is unable, without62133
substantial financial hardship, to provide for the payment of an62134
attorney and for other necessary expenses of legal representation,62135
including expert testimony.62136

       (J) "Institution" means a public or private facility, or a62137
part of a public or private facility, that is licensed by the62138
appropriate state department and is equipped to provide62139
residential habilitation, care, and treatment for the mentally62140
retarded.62141

       (K) "Licensed physician" means a person who holds a valid62142
certificate issued under Chapter 4731. of the Revised Code62143
authorizing the person to practice medicine and surgery or62144
osteopathic medicine and surgery, or a medical officer of the62145
government of the United States while in the performance of the62146
officer's official duties.62147

       (L) "Managing officer" means a person who is appointed by the62148
director of mental retardation and developmental disabilities to62149
be in executive control of an institution for the mentally62150
retarded under the jurisdiction of the department.62151

       (M) "Medicaid" has the same meaning as in section 5111.01 of62152
the Revised Code.62153

       (N) "Medicaid case management services" means case management 62154
services provided to an individual with mental retardation or 62155
other developmental disability that the state medicaid plan 62156
requires.62157

       (O) "Mentally retarded person" means a person having62158
significantly subaverage general intellectual functioning existing62159
concurrently with deficiencies in adaptive behavior, manifested62160
during the developmental period.62161

       (P) "Mentally retarded person subject to institutionalization62162
by court order" means a person eighteen years of age or older who62163
is at least moderately mentally retarded and in relation to whom,62164
because of the person's retardation, either of the following62165
conditions exist:62166

       (1) The person represents a very substantial risk of physical 62167
impairment or injury to self as manifested by evidence that the 62168
person is unable to provide for and is not providing for the 62169
person's most basic physical needs and that provision for those62170
needs is not available in the community;62171

       (2) The person needs and is susceptible to significant62172
habilitation in an institution.62173

       (Q) "A person who is at least moderately mentally retarded"62174
means a person who is found, following a comprehensive evaluation,62175
to be impaired in adaptive behavior to a moderate degree and to be62176
functioning at the moderate level of intellectual functioning in62177
accordance with standard measurements as recorded in the most62178
current revision of the manual of terminology and classification62179
in mental retardation published by the American association on62180
mental retardation.62181

       (R) As used in this division, "substantial functional62182
limitation," "developmental delay," and "established risk" have62183
the meanings established pursuant to section 5123.011 of the62184
Revised Code.62185

       "Developmental disability" means a severe, chronic disability62186
that is characterized by all of the following:62187

       (1) It is attributable to a mental or physical impairment or62188
a combination of mental and physical impairments, other than a62189
mental or physical impairment solely caused by mental illness as62190
defined in division (A) of section 5122.01 of the Revised Code.62191

       (2) It is manifested before age twenty-two.62192

       (3) It is likely to continue indefinitely.62193

       (4) It results in one of the following:62194

       (a) In the case of a person under three years of age, at62195
least one developmental delay or an established risk;62196

       (b) In the case of a person at least three years of age but62197
under six years of age, at least two developmental delays or an62198
established risk;62199

       (c) In the case of a person six years of age or older, a62200
substantial functional limitation in at least three of the62201
following areas of major life activity, as appropriate for the62202
person's age: self-care, receptive and expressive language,62203
learning, mobility, self-direction, capacity for independent62204
living, and, if the person is at least sixteen years of age,62205
capacity for economic self-sufficiency.62206

       (5) It causes the person to need a combination and sequence62207
of special, interdisciplinary, or other type of care, treatment,62208
or provision of services for an extended period of time that is62209
individually planned and coordinated for the person.62210

       (S) "Developmentally disabled person" means a person with a62211
developmental disability.62212

       (T) "State institution" means an institution that is62213
tax-supported and under the jurisdiction of the department.62214

       (U) "Residence" and "legal residence" have the same meaning62215
as "legal settlement," which is acquired by residing in Ohio for a62216
period of one year without receiving general assistance prior to62217
July 17, 1995, under former Chapter 5113. of the Revised Code,62218
disabilityfinancial assistance under Chapter 5115. of the Revised62219
Code, or assistance from a private agency that maintains records62220
of assistance given. A person having a legal settlement in the62221
state shall be considered as having legal settlement in the62222
assistance area in which the person resides. No adult person62223
coming into this state and having a spouse or minor children62224
residing in another state shall obtain a legal settlement in this62225
state as long as the spouse or minor children are receiving public62226
assistance, care, or support at the expense of the other state or62227
its subdivisions. For the purpose of determining the legal62228
settlement of a person who is living in a public or private62229
institution or in a home subject to licensing by the department of62230
job and family services, the department of mental health, or the62231
department of mental retardation and developmental disabilities,62232
the residence of the person shall be considered as though the62233
person were residing in the county in which the person was living62234
prior to the person's entrance into the institution or home.62235
Settlement once acquired shall continue until a person has been62236
continuously absent from Ohio for a period of one year or has62237
acquired a legal residence in another state. A woman who marries a 62238
man with legal settlement in any county immediately acquires the62239
settlement of her husband. The legal settlement of a minor is that 62240
of the parents, surviving parent, sole parent, parent who is62241
designated the residential parent and legal custodian by a court,62242
other adult having permanent custody awarded by a court, or62243
guardian of the person of the minor, provided that:62244

       (1) A minor female who marries shall be considered to have62245
the legal settlement of her husband and, in the case of death of62246
her husband or divorce, she shall not thereby lose her legal62247
settlement obtained by the marriage.62248

       (2) A minor male who marries, establishes a home, and who has 62249
resided in this state for one year without receiving general62250
assistance prior to July 17, 1995, under former Chapter 5113. of62251
the Revised Code, disabilityfinancial assistance under Chapter 62252
5115. of the Revised Code, or assistance from a private agency 62253
that maintains records of assistance given shall be considered to 62254
have obtained a legal settlement in this state.62255

       (3) The legal settlement of a child under eighteen years of62256
age who is in the care or custody of a public or private child62257
caring agency shall not change if the legal settlement of the62258
parent changes until after the child has been in the home of the62259
parent for a period of one year.62260

       No person, adult or minor, may establish a legal settlement62261
in this state for the purpose of gaining admission to any state62262
institution.62263

       (V)(1) "Resident" means, subject to division (R)(2) of this62264
section, a person who is admitted either voluntarily or62265
involuntarily to an institution or other facility pursuant to62266
section 2945.39, 2945.40, 2945.401, or 2945.402 of the Revised62267
Code subsequent to a finding of not guilty by reason of insanity62268
or incompetence to stand trial or under this chapter who is under62269
observation or receiving habilitation and care in an institution.62270

       (2) "Resident" does not include a person admitted to an62271
institution or other facility under section 2945.39, 2945.40,62272
2945.401, or 2945.402 of the Revised Code to the extent that the62273
reference in this chapter to resident, or the context in which the62274
reference occurs, is in conflict with any provision of sections62275
2945.37 to 2945.402 of the Revised Code.62276

       (W) "Respondent" means the person whose detention,62277
commitment, or continued commitment is being sought in any62278
proceeding under this chapter.62279

       (X) "Working day" and "court day" mean Monday, Tuesday,62280
Wednesday, Thursday, and Friday, except when such day is a legal62281
holiday.62282

       (Y) "Prosecutor" means the prosecuting attorney, village62283
solicitor, city director of law, or similar chief legal officer62284
who prosecuted a criminal case in which a person was found not62285
guilty by reason of insanity, who would have had the authority to62286
prosecute a criminal case against a person if the person had not62287
been found incompetent to stand trial, or who prosecuted a case in62288
which a person was found guilty.62289

       (Z) "Court" means the probate division of the court of common62290
pleas.62291

       Sec. 5123.051.  (A) If the department of mental retardation 62292
and developmental disabilities determines pursuant to an audit 62293
conducted under section 5123.05 of the Revised Code or a 62294
reconciliation conducted under section 5123.18 or 5111.25262295
5123.199 of the Revised Code that money is owed the state by a 62296
provider of a service or program, the department may enter into a 62297
payment agreement with the provider. The agreement shall include 62298
the following:62299

       (1) A schedule of installment payments whereby the money owed 62300
the state is to be paid in full within a period not to exceed one 62301
year;62302

       (2) A provision that the provider may pay the entire balance 62303
owed at any time during the term of the agreement;62304

       (3) A provision that if any installment is not paid in full 62305
within forty-five days after it is due, the entire balance owed is 62306
immediately due and payable;62307

       (4) Any other terms and conditions that are agreed to by the 62308
department and the provider.62309

       (B) The department may include a provision in a payment 62310
agreement that requires the provider to pay interest on the money 62311
owed the state. The department, in its discretion, shall determine 62312
whether to require the payment of interest and, if it so requires, 62313
the rate of interest. Neither the obligation to pay interest nor 62314
the rate of interest is subject to negotiation between the 62315
department and the provider.62316

       (C) If the provider fails to pay any installment in full 62317
within forty-five days after its due date, the department shall 62318
certify the entire balance owed to the attorney general for 62319
collection under section 131.02 of the Revised Code. The 62320
department may withhold funds from payments made to a provider 62321
under section 5123.18 or 5111.2525123.199 of the Revised Code to 62322
satisfy a judgment secured by the attorney general.62323

       (D) The purchase of service fund is hereby created. Money 62324
credited to the fund shall be used solely for purposes of section 62325
5123.05 of the Revised Code.62326

       Sec. 5123.19.  (A) As used in this section and in sections62327
5123.191, 5123.194, 5123.196, 5123.198, 5123.1910, and 5123.20 of 62328
the Revised Code:62329

       (1)(a) "Residential facility" means a home or facility in62330
which a mentally retarded or developmentally disabled person62331
resides, except the home of a relative or legal guardian in which62332
a mentally retarded or developmentally disabled person resides, a62333
respite care home certified under section 5126.05 of the Revised62334
Code, a county home or district home operated pursuant to Chapter62335
5155. of the Revised Code, or a dwelling in which the only62336
mentally retarded or developmentally disabled residents are in an62337
independent living arrangement or are being provided supported62338
living.62339

        (b) "Intermediate care facility for the mentally retarded" 62340
means a residential facility that is considered an intermediate 62341
care facility for the mentally retarded for the purposes of 62342
Chapter 5111. of the Revised Code.62343

       (2) "Political subdivision" means a municipal corporation,62344
county, or township.62345

       (3) "Independent living arrangement" means an arrangement in62346
which a mentally retarded or developmentally disabled person62347
resides in an individualized setting chosen by the person or the62348
person's guardian, which is not dedicated principally to the62349
provision of residential services for mentally retarded or62350
developmentally disabled persons, and for which no financial62351
support is received for rendering such service from any62352
governmental agency by a provider of residential services.62353

       (4) "Supported living" has the same meaning as in section62354
5126.01 of the Revised Code.62355

       (5) "Licensee" means the person or government agency that has 62356
applied for a license to operate a residential facility and to62357
which the license was issued under this section.62358

       (B) Every person or government agency desiring to operate a62359
residential facility shall apply for licensure of the facility to62360
the director of mental retardation and developmental disabilities62361
unless the residential facility is subject to section 3721.02,62362
3722.04, 5103.03, or 5119.20 of the Revised Code. Notwithstanding62363
Chapter 3721. of the Revised Code, a nursing home that is62364
certified as an intermediate care facility for the mentally62365
retarded under Title XIX of the "Social Security Act," 79 Stat. 62366
286 (1965), 42 U.S.C.A. 1396, as amended, shall apply for 62367
licensure of the portion of the home that is certified as an62368
intermediate care facility for the mentally retarded.62369

       (C) TheSubject to section 5123.196 of the Revised Code, the62370
director of mental retardation and developmental disabilities 62371
shall license the operation of residential facilities. An initial 62372
license shall be issued for a period that does not exceed one 62373
year, unless the director denies the license under division (D) of 62374
this section. A license shall be renewed for a period that does 62375
not exceed three years, unless the director refuses to renew the 62376
license under division (D) of this section. The director, when62377
issuing or renewing a license, shall specify the period for which62378
the license is being issued or renewed. A license remains valid62379
for the length of the licensing period specified by the director,62380
unless the license is terminated, revoked, or voluntarily62381
surrendered.62382

       (D) If it is determined that an applicant or licensee is not 62383
in compliance with a provision of this chapter that applies to62384
residential facilities or the rules adopted under such a62385
provision, the director may deny issuance of a license, refuse to62386
renew a license, terminate a license, revoke a license, issue an62387
order for the suspension of admissions to a facility, issue an62388
order for the placement of a monitor at a facility, issue an order62389
for the immediate removal of residents, or take any other action62390
the director considers necessary consistent with the director's62391
authority under this chapter regarding residential facilities. In62392
the director's selection and administration of the sanction to be62393
imposed, all of the following apply:62394

       (1) The director may deny, refuse to renew, or revoke a62395
license, if the director determines that the applicant or licensee62396
has demonstrated a pattern of serious noncompliance or that a62397
violation creates a substantial risk to the health and safety of62398
residents of a residential facility.62399

       (2) The director may terminate a license if more than twelve62400
consecutive months have elapsed since the residential facility was62401
last occupied by a resident or a notice required by division (J)62402
of this section is not given.62403

       (3) The director may issue an order for the suspension of62404
admissions to a facility for any violation that may result in62405
sanctions under division (D)(1) of this section and for any other62406
violation specified in rules adopted under division (G)(2) of this62407
section. If the suspension of admissions is imposed for a62408
violation that may result in sanctions under division (D)(1) of62409
this section, the director may impose the suspension before62410
providing an opportunity for an adjudication under Chapter 119. of62411
the Revised Code. The director shall lift an order for the62412
suspension of admissions when the director determines that the62413
violation that formed the basis for the order has been corrected.62414

       (4) The director may order the placement of a monitor at a62415
residential facility for any violation specified in rules adopted62416
under division (G)(2) of this section. The director shall lift the 62417
order when the director determines that the violation that formed 62418
the basis for the order has been corrected.62419

       (5) If the director determines that two or more residential62420
facilities owned or operated by the same person or government62421
entity are not being operated in compliance with a provision of62422
this chapter that applies to residential facilities or the rules62423
adopted under such a provision, and the director's findings are62424
based on the same or a substantially similar action, practice,62425
circumstance, or incident that creates a substantial risk to the62426
health and safety of the residents, the director shall conduct a62427
survey as soon as practicable at each residential facility owned62428
or operated by that person or government entity. The director may62429
take any action authorized by this section with respect to any62430
facility found to be operating in violation of a provision of this62431
chapter that applies to residential facilities or the rules62432
adopted under such a provision.62433

       (6) When the director initiates license revocation62434
proceedings, no opportunity for submitting a plan of correction62435
shall be given. The director shall notify the licensee by letter62436
of the initiation of such proceedings. The letter shall list the62437
deficiencies of the residential facility and inform the licensee62438
that no plan of correction will be accepted. The director shall62439
also notify each affected resident, the resident's guardian if the62440
resident is an adult for whom a guardian has been appointed, the62441
resident's parent or guardian if the resident is a minor, and the62442
county board of mental retardation and developmental disabilities.62443

       (7) Pursuant to rules which shall be adopted in accordance62444
with Chapter 119. of the Revised Code, the director may order the62445
immediate removal of residents from a residential facility62446
whenever conditions at the facility present an immediate danger of62447
physical or psychological harm to the residents.62448

       (8) In determining whether a residential facility is being62449
operated in compliance with a provision of this chapter that62450
applies to residential facilities or the rules adopted under such62451
a provision, or whether conditions at a residential facility62452
present an immediate danger of physical or psychological harm to62453
the residents, the director may rely on information obtained by a62454
county board of mental retardation and developmental disabilities62455
or other governmental agencies.62456

       (9) In proceedings initiated to deny, refuse to renew, or62457
revoke licenses, the director may deny, refuse to renew, or revoke62458
a license regardless of whether some or all of the deficiencies62459
that prompted the proceedings have been corrected at the time of62460
the hearing.62461

       (E) The director shall establish a program under which public 62462
notification may be made when the director has initiated license 62463
revocation proceedings or has issued an order for the suspension 62464
of admissions, placement of a monitor, or removal of residents. 62465
The director shall adopt rules in accordance with Chapter 119. of 62466
the Revised Code to implement this division. The rules shall 62467
establish the procedures by which the public notification will be 62468
made and specify the circumstances for which the notification must 62469
be made. The rules shall require that public notification be made 62470
if the director has taken action against the facility in the 62471
eighteen-month period immediately preceding the director's latest 62472
action against the facility and the latest action is being taken 62473
for the same or a substantially similar violation of a provision 62474
of this chapter that applies to residential facilities or the 62475
rules adopted under such a provision. The rules shall specify a 62476
method for removing or amending the public notification if the62477
director's action is found to have been unjustified or the62478
violation at the residential facility has been corrected.62479

       (F)(1) Except as provided in division (F)(2) of this section,62480
appeals from proceedings initiated to impose a sanction under 62481
division (D) of this section shall be conducted in accordance with 62482
Chapter 119. of the Revised Code.62483

       (2) Appeals from proceedings initiated to order the62484
suspension of admissions to a facility shall be conducted in62485
accordance with Chapter 119. of the Revised Code, unless the order62486
was issued before providing an opportunity for an adjudication, in62487
which case all of the following apply:62488

       (a) The licensee may request a hearing not later than ten62489
days after receiving the notice specified in section 119.07 of the62490
Revised Code.62491

       (b) If a timely request for a hearing is made, the hearing62492
shall commence not later than thirty days after the department62493
receives the request.62494

       (c) After commencing, the hearing shall continue62495
uninterrupted, except for Saturdays, Sundays, and legal holidays,62496
unless other interruptions are agreed to by the licensee and the62497
director.62498

       (d) If the hearing is conducted by a hearing examiner, the62499
hearing examiner shall file a report and recommendations not later62500
than ten days after the close of the hearing.62501

       (e) Not later than five days after the hearing examiner files 62502
the report and recommendations, the licensee may file objections 62503
to the report and recommendations.62504

       (f) Not later than fifteen days after the hearing examiner62505
files the report and recommendations, the director shall issue an62506
order approving, modifying, or disapproving the report and62507
recommendations.62508

       (g) Notwithstanding the pendency of the hearing, the director 62509
shall lift the order for the suspension of admissions when the 62510
director determines that the violation that formed the basis for 62511
the order has been corrected.62512

       (G) In accordance with Chapter 119. of the Revised Code, the62513
director shall adopt and may amend and rescind rules for licensing62514
and regulating the operation of residential facilities, including 62515
intermediate care facilities for the mentally retarded. The rules 62516
for intermediate care facilities for the mentally retarded may 62517
differ from those for other residential facilities. The rules62518
shall establish and specify the following:62519

       (1) Procedures and criteria for issuing and renewing62520
licenses, including procedures and criteria for determining the62521
length of the licensing period that the director must specify for62522
each license when it is issued or renewed;62523

       (2) Procedures and criteria for denying, refusing to renew,62524
terminating, and revoking licenses and for ordering the suspension62525
of admissions to a facility, placement of a monitor at a facility,62526
and the immediate removal of residents from a facility;62527

       (3) Fees for issuing and renewing licenses;62528

       (4) Procedures for surveying residential facilities;62529

       (5) Requirements for the training of residential facility62530
personnel;62531

       (6) Classifications for the various types of residential62532
facilities;62533

       (7) Certification procedures for licensees and management62534
contractors that the director determines are necessary to ensure62535
that they have the skills and qualifications to properly operate62536
or manage residential facilities;62537

       (8) The maximum number of persons who may be served in a62538
particular type of residential facility;62539

       (9) Uniform procedures for admission of persons to and62540
transfers and discharges of persons from residential facilities;62541

       (10) Other standards for the operation of residential62542
facilities and the services provided at residential facilities;62543

       (11) Procedures for waiving any provision of any rule adopted 62544
under this section.62545

       (H) Before issuing a license, the director of the department62546
or the director's designee shall conduct a survey of the62547
residential facility for which application is made. The director62548
or the director's designee shall conduct a survey of each licensed62549
residential facility at least once during the period the license 62550
is valid and may conduct additional inspections as needed. A 62551
survey includes but is not limited to an on-site examination and62552
evaluation of the residential facility, its personnel, and the62553
services provided there.62554

       In conducting surveys, the director or the director's62555
designee shall be given access to the residential facility; all 62556
records, accounts, and any other documents related to the 62557
operation of the facility; the licensee; the residents of the 62558
facility; and all persons acting on behalf of, under the control 62559
of, or in connection with the licensee. The licensee and all 62560
persons on behalf of, under the control of, or in connection with 62561
the licensee shall cooperate with the director or the director's62562
designee in conducting the survey.62563

       Following each survey, unless the director initiates a 62564
license revocation proceeding, the director or the director's 62565
designee shall provide the licensee with a report listing any 62566
deficiencies, specifying a timetable within which the licensee 62567
shall submit a plan of correction describing how the deficiencies 62568
will be corrected, and, when appropriate, specifying a timetable 62569
within which the licensee must correct the deficiencies. After a 62570
plan of correction is submitted, the director or the director's62571
designee shall approve or disapprove the plan. A copy of the 62572
report and any approved plan of correction shall be provided to 62573
any person who requests it.62574

       The director shall initiate disciplinary action against any62575
department employee who notifies or causes the notification to any62576
unauthorized person of an unannounced survey of a residential 62577
facility by an authorized representative of the department.62578

       (I) In addition to any other information which may be62579
required of applicants for a license pursuant to this section and 62580
except as provided in section 5123.1910 of the Revised Code, the62581
director shall require each applicant to provide a copy of an62582
approved plan for a proposed residential facility pursuant to62583
section 5123.042 of the Revised Code. This division does not apply62584
to renewal of a license.62585

       (J) A licensee shall notify the owner of the building in62586
which the licensee's residential facility is located of any62587
significant change in the identity of the licensee or management62588
contractor before the effective date of the change if the licensee62589
is not the owner of the building.62590

       Pursuant to rules which shall be adopted in accordance with62591
Chapter 119. of the Revised Code, the director may require62592
notification to the department of any significant change in the62593
ownership of a residential facility or in the identity of the62594
licensee or management contractor. If the director determines that 62595
a significant change of ownership is proposed, the director shall62596
consider the proposed change to be an application for development62597
by a new operator pursuant to section 5123.042 of the Revised Code62598
and shall advise the applicant within sixty days of such62599
notification that the current license shall continue in effect or62600
a new license will be required pursuant to this section. If the62601
director requires a new license, the director shall permit the62602
facility to continue to operate under the current license until62603
the new license is issued, unless the current license is revoked,62604
refused to be renewed, or terminated in accordance with Chapter62605
119. of the Revised Code.62606

       (K) A county board of mental retardation and developmental62607
disabilities, the legal rights service, and any interested person62608
may file complaints alleging violations of statute or department62609
rule relating to residential facilities with the department. All62610
complaints shall be in writing and shall state the facts62611
constituting the basis of the allegation. The department shall not 62612
reveal the source of any complaint unless the complainant agrees 62613
in writing to waive the right to confidentiality or until so 62614
ordered by a court of competent jurisdiction.62615

       The department shall adopt rules in accordance with Chapter 62616
119. of the Revised Code establishing procedures for the receipt, 62617
referral, investigation, and disposition of complaints filed with 62618
the department under this division.62619

       (L) The department shall establish procedures for the62620
notification of interested parties of the transfer or interim care62621
of residents from residential facilities that are closing or are62622
losing their license.62623

       (M) Before issuing a license under this section to a62624
residential facility that will accommodate at any time more than62625
one mentally retarded or developmentally disabled individual, the62626
director shall, by first class mail, notify the following:62627

       (1) If the facility will be located in a municipal62628
corporation, the clerk of the legislative authority of the62629
municipal corporation;62630

       (2) If the facility will be located in unincorporated62631
territory, the clerk of the appropriate board of county62632
commissioners and the clerk of the appropriate board of township62633
trustees.62634

       The director shall not issue the license for ten days after62635
mailing the notice, excluding Saturdays, Sundays, and legal62636
holidays, in order to give the notified local officials time in62637
which to comment on the proposed issuance.62638

       Any legislative authority of a municipal corporation, board62639
of county commissioners, or board of township trustees that62640
receives notice under this division of the proposed issuance of a62641
license for a residential facility may comment on it in writing to62642
the director within ten days after the director mailed the notice,62643
excluding Saturdays, Sundays, and legal holidays. If the director62644
receives written comments from any notified officials within the62645
specified time, the director shall make written findings62646
concerning the comments and the director's decision on the62647
issuance of the license. If the director does not receive written62648
comments from any notified local officials within the specified62649
time, the director shall continue the process for issuance of the62650
license.62651

       (N) Any person may operate a licensed residential facility62652
that provides room and board, personal care, habilitation62653
services, and supervision in a family setting for at least six but62654
not more than eight persons with mental retardation or a62655
developmental disability as a permitted use in any residential62656
district or zone, including any single-family residential district62657
or zone, of any political subdivision. These residential62658
facilities may be required to comply with area, height, yard, and62659
architectural compatibility requirements that are uniformly62660
imposed upon all single-family residences within the district or62661
zone.62662

       (O) Any person may operate a licensed residential facility 62663
that provides room and board, personal care, habilitation62664
services, and supervision in a family setting for at least nine62665
but not more than sixteen persons with mental retardation or a62666
developmental disability as a permitted use in any multiple-family62667
residential district or zone of any political subdivision, except62668
that a political subdivision that has enacted a zoning ordinance62669
or resolution establishing planned unit development districts may62670
exclude these residential facilities from such districts, and a62671
political subdivision that has enacted a zoning ordinance or62672
resolution may regulate these residential facilities in62673
multiple-family residential districts or zones as a conditionally62674
permitted use or special exception, in either case, under62675
reasonable and specific standards and conditions set out in the62676
zoning ordinance or resolution to:62677

       (1) Require the architectural design and site layout of the62678
residential facility and the location, nature, and height of any62679
walls, screens, and fences to be compatible with adjoining land62680
uses and the residential character of the neighborhood;62681

       (2) Require compliance with yard, parking, and sign62682
regulation;62683

       (3) Limit excessive concentration of these residential62684
facilities.62685

       (P) This section does not prohibit a political subdivision62686
from applying to residential facilities nondiscriminatory62687
regulations requiring compliance with health, fire, and safety62688
regulations and building standards and regulations.62689

       (Q) Divisions (N) and (O) of this section are not applicable 62690
to municipal corporations that had in effect on June 15, 1977, an 62691
ordinance specifically permitting in residential zones licensed 62692
residential facilities by means of permitted uses, conditional 62693
uses, or special exception, so long as such ordinance remains in 62694
effect without any substantive modification.62695

       (R)(1) The director may issue an interim license to operate a62696
residential facility to an applicant for a license under this62697
section if either of the following is the case:62698

       (a) The director determines that an emergency exists 62699
requiring immediate placement of persons in a residential62700
facility, that insufficient licensed beds are available, and that 62701
the residential facility is likely to receive a permanent license 62702
under this section within thirty days after issuance of the 62703
interim license.62704

       (b) The director determines that the issuance of an interim62705
license is necessary to meet a temporary need for a residential62706
facility.62707

       (2) To be eligible to receive an interim license, an62708
applicant must meet the same criteria that must be met to receive62709
a permanent license under this section, except for any differing62710
procedures and time frames that may apply to issuance of a62711
permanent license.62712

       (3) An interim license shall be valid for thirty days and may62713
be renewed by the director for a period not to exceed one hundred 62714
fifty days.62715

       (4) The director shall adopt rules in accordance with Chapter 62716
119. of the Revised Code as the director considers necessary to 62717
administer the issuance of interim licenses.62718

       (S) Notwithstanding rules adopted pursuant to this section62719
establishing the maximum number of persons who may be served in a62720
particular type of residential facility, a residential facility62721
shall be permitted to serve the same number of persons being62722
served by the facility on the effective date of such rules or the62723
number of persons for which the facility is authorized pursuant to 62724
a current application for a certificate of need with a letter of 62725
support from the department of mental retardation and62726
developmental disabilities and which is in the review process62727
prior to April 4, 1986.62728

       (T) The director or the director's designee may enter at any 62729
time, for purposes of investigation, any home, facility, or other62730
structure that has been reported to the director or that the62731
director has reasonable cause to believe is being operated as a62732
residential facility without a license issued under this section.62733

       The director may petition the court of common pleas of the62734
county in which an unlicensed residential facility is located for62735
an order enjoining the person or governmental agency operating the62736
facility from continuing to operate without a license. The court62737
may grant the injunction on a showing that the person or62738
governmental agency named in the petition is operating a62739
residential facility without a license. The court may grant the62740
injunction, regardless of whether the residential facility meets62741
the requirements for receiving a license under this section.62742

       Sec. 5123.196. (A) Except as provided in divisions (E) and 62743
(F) of this section, the director of mental retardation and 62744
developmental disabilities shall not issue a license under section 62745
5123.19 of the Revised Code on or after July 1, 2003, if issuance 62746
will result in there being more beds in all residential facilities 62747
licensed under that section than is permitted under division (B) 62748
of this section.62749

       (B) The maximum number of beds for the purpose of division 62750
(A) of this section shall not exceed ten thousand eight hundred 62751
thirty-eight minus, except as provided in division (C) of this 62752
section, both of the following:62753

       (1) The number of such beds that cease to be residential 62754
facility beds on or after July 1, 2003, because a residential 62755
facility license is revoked, terminated, or not renewed for any 62756
reason or is surrendered in accordance with section 5123.19 of the 62757
Revised Code and after the issuance of an adjudication order 62758
pursuant to Chapter 119. of the Revised Code;62759

       (2) The number of such beds for which a licensee voluntarily 62760
converts to use for supported living on or after July 1, 2003.62761

       (C) The director is not required to reduce the maximum number 62762
of beds pursuant to division (B) of this section by a bed that 62763
ceases to be a residential facility bed if the director determines 62764
that the bed is needed to provide services to an individual with 62765
mental retardation or a developmental disability who resided in 62766
the residential facility in which the bed was located.62767

       (D) The director shall maintain an up-to-date written record 62768
of the maximum number of residential facility beds provided for by 62769
division (B) of this section.62770

       (E) If required by section 5123.1910 of the Revised Code to 62771
issue a license under section 5123.19 of the Revised Code, the 62772
director shall issue the license regardless of whether issuance 62773
will result in there being more beds in all residential facilities 62774
licensed under that section than is permitted under division (B) 62775
of this section.62776

       (F) The director may issue an interim license under division 62777
(R) of section 5123.19 of the Revised Code and issue, pursuant to 62778
rules adopted under division (G)(11) of that section, a waiver 62779
allowing a residential facility to admit more residents than the 62780
facility is licensed to admit regardless of whether the interim 62781
license or waiver will result in there being more beds in all 62782
residential facilities licensed under that section than is 62783
permitted under division (B) of this section. 62784

       Sec. 5123.198. (A) As used in this section, "date of the 62785
commitment" means the date that an individual specified in 62786
division (B) of this section begins to reside in a state-operated 62787
intermediate care facility for the mentally retarded after being 62788
committed to the facility pursuant to sections 5123.71 to 5123.76 62789
of the Revised Code.62790

       (B) Except as provided in division (C) of this section, 62791
whenever a resident of a residential facility is committed to a 62792
state-operated intermediate care facility for the mentally 62793
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 62794
Code, the department of mental retardation and developmental 62795
disabilities, pursuant to an adjudication order issued in 62796
accordance with Chapter 119. of the Revised Code, shall reduce by 62797
one the number of residents for which the facility in which the 62798
resident resided is licensed. 62799

       (C) The department shall not reduce under division (B) of 62800
this section the number of residents for which a residential 62801
facility is licensed if any of the following are the case:62802

       (1) The resident of the residential facility who is committed 62803
to a state-operated intermediate care facility for the mentally 62804
retarded resided in the residential facility because of the 62805
closure, on or after the effective date of this section, of 62806
another state-operated intermediate care facility for the mentally 62807
retarded;62808

       (2) The residential facility admits within ninety days of the 62809
date of the commitment an individual who resides on the date of 62810
the commitment in a state-operated intermediate care facility for 62811
the mentally retarded or another residential facility;62812

       (3) The department fails to do either of the following within 62813
ninety days of the date of the commitment:62814

       (a) Identify an individual to whom all of the following 62815
applies:62816

       (i) Resides on the date of the commitment in a state-operated 62817
intermediate care facility for the mentally retarded or another 62818
residential facility;62819

       (ii) Has indicated to the department an interest in 62820
relocating to the residential facility or has a parent or guardian 62821
who has indicated to the department an interest for the individual 62822
to relocate to the residential facility;62823

       (iii) The department determines the individual has needs that 62824
the residential facility can meet.62825

       (b) Provide the residential facility with information about 62826
the individual identified under division (C)(2)(a) of this section 62827
that the residential facility needs in order to determine whether 62828
the facility can meet the individual's needs.62829

       (4) If the department completes the actions specified in 62830
divisions (C)(3)(a) and (b) of this section not later than ninety 62831
days after the date of the commitment and except as provided in 62832
division (D) of this section, the residential facility does all of 62833
the following not later than ninety days after the date of the 62834
commitment:62835

       (a) Evaluates the information provided by the department;62836

       (b) Assesses the identified individual's needs;62837

       (c) Determines that the residential facility cannot meet the 62838
identified individual's needs.62839

       (5) If the department completes the actions specified in 62840
divisions (C)(3)(a) and (b) of this section not later than ninety 62841
days after the date of the commitment and the residential facility 62842
determines that the residential facility can meet the identified 62843
individual's needs, the individual, or a parent or guardian of the 62844
individual, refuses placement in the residential facility.62845

       (D) The department may reduce under division (B) of this 62846
section the number of residents for which a residential facility 62847
is licensed even though the residential facility completes the 62848
actions specified in division (C)(4) of this section not later 62849
than ninety days after the date of the commitment if all of the 62850
following are the case:62851

       (1) The department disagrees with the residential facility's 62852
determination that the residential facility cannot meet the 62853
identified individual's needs.62854

       (2) The department issues a written decision pursuant to the 62855
uniform procedures for admissions, transfers, and discharges 62856
established by rules adopted under division (G)(9) of section 62857
5123.19 of the Revised Code that the residential facility should 62858
admit the identified individual.62859

       (3) After the department issues the written decision 62860
specified in division (D)(2) of this section, the residential 62861
facility refuses to admit the identified individual.62862

       (E) A residential facility that admits, refuses to admit, 62863
transfers, or discharges a resident under this section shall 62864
comply with the uniform procedures for admissions, transfers, and 62865
discharges established by rules adopted under division (G)(9) of 62866
section 5123.19 of the Revised Code.62867

       (F) The department of mental retardation and developmental 62868
disabilities may notify the department of job and family services 62869
of any reduction under this section in the number of residents for 62870
which a residential facility that is an intermediate care facility 62871
for the mentally retarded is licensed. On receiving the notice, 62872
the department of job and family services may transfer to the 62873
department of mental retardation and developmental disabilities 62874
the savings in the nonfederal share of medicaid expenditures for 62875
each fiscal year after the year of the commitment to be used for 62876
costs of the resident's care in the state-operated intermediate 62877
care facility for the mentally retarded. In determining the amount 62878
saved, the department of job and family services shall consider 62879
medicaid payments for the remaining residents of the facility in 62880
which the resident resided.62881

       Sec. 5111.252.        Sec. 5123.199.  (A) As used in this section:62882

       (1) "Contractor" means a person or government agency that has 62883
entered into a contract with the department of mental retardation 62884
and developmental disabilities under this section.62885

       (2) "Government agency" and "residential services" have the 62886
same meanings as in section 5123.18 of the Revised Code.62887

       (3) "Intermediate care facility for the mentally retarded" 62888
has the same meaning as in section 5111.20 of the Revised Code.62889

       (4) "Respite care services" has the same meaning as in62890
section 5123.171 of the Revised Code.62891

       (B) The department of mental retardation and developmental62892
disabilities may enter into a contract with a person or government 62893
agency to do any of the following:62894

       (1) Provide residential services in an intermediate care62895
facility for the mentally retarded to an individual who meets the62896
criteria for admission to such a facility but is not eligible for62897
assistance under this chapterChapter 5111. of the Revised Code62898
due to unliquidated assets subject to final probate action;62899

       (2) Provide respite care services in an intermediate care62900
facility for the mentally retarded;62901

       (3) Provide residential services in a facility for which the 62902
person or government agency has applied for, but has not received, 62903
certification and payment as an intermediate care facility for the 62904
mentally retarded if the person or government agency is making a 62905
good faith effort to bring the facility into compliance with 62906
requirements for certification and payment as an intermediate care 62907
facility for the mentally retarded. In assigning payment amounts 62908
to such contracts, the department shall take into account costs 62909
incurred in attempting to meet certification requirements.62910

       (4) Reimburse an intermediate care facility for the mentally 62911
retarded for costs not otherwise reimbursed under this chapter62912
Chapter 5111. of the Revised Code for clothing for individuals who 62913
are mentally retarded or developmentally disabled. Reimbursement 62914
under such contracts shall not exceed a maximum amount per 62915
individual per year specified in rules that the department shall 62916
adopt in accordance with Chapter 119. of the Revised Code.62917

       (C) The amount paid to a contractor under divisions (B)(1) to 62918
(3) of this section shall not exceed the reimbursement that would 62919
be made under this chapterChapter 5111. of the Revised Code by 62920
the department of job and family services for the same goods and 62921
services.62922

       (D) The department of mental retardation and developmental62923
disabilities shall adopt rules as necessary to implement this62924
section, including rules establishing standards and procedures for 62925
the submission of cost reports by contractors and the department's 62926
conduct of audits and reconciliations regarding the contracts. The 62927
rules shall be adopted in accordance with Chapter 119. of the 62928
Revised Code.62929

       Sec. 5123.1910. (A) The director of mental retardation and62930
developmental disabilities shall issue one or more residential62931
facility licenses under section 5123.19 of the Revised Code to an62932
applicant without requiring the applicant to have plans submitted,62933
reviewed, or approved under section 5123.042 of the Revised Code62934
for the residential facility if all of the following requirements62935
are met:62936

       (1) The applicant satisfies the requirements for the license62937
established by section 5123.19 of the Revised Code and rules62938
adopted under that section, other than any rule that requires an62939
applicant for a residential facility license to have plans62940
submitted, reviewed, or approved under section 5123.042 of the62941
Revised Code for the residential facility.62942

       (2) The applicant operates at least one residential facility62943
licensed under section 5123.19 of the Revised Code on the62944
effective date of this section.62945

       (3) The applicant provides services to individuals with62946
mental retardation or a developmental disability who have a62947
chronic, medically complex, or technology-dependent condition that62948
requires special supervision or care, the majority of whom62949
received habilitation services from the applicant before attaining62950
eighteen years of age.62951

       (4) The applicant has created directly or through a corporate 62952
affiliate a research center that has the mission of funding, 62953
promoting, and carrying on scientific research in the public 62954
interest related to individuals with mental retardation or a 62955
developmental disability for the purpose of improving the lives of 62956
such individuals.62957

       (5) If the applicant seeks two or more residential facility62958
licenses, the residential facilities for which a license is sought62959
after the effective date of this section are located on the same62960
or adjoining property sites.62961

       (6) The residential facilities for which the applicant seeks62962
licensure have not more than eight beds each and forty-eight beds62963
total.62964

       (7) The applicant, one or more of the applicant's corporate62965
affiliates, or both employ or contract for, on a full-time basis,62966
at least one licensed physician who is certified by the American62967
board of pediatrics or would be eligible for certification from62968
that board if the physician passed an examination necessary to62969
obtain certification from that board.62970

       (8) The applicant, one or more of the applicant's corporate62971
affiliates, or both have educational facilities suitable for the62972
instruction of individuals under eighteen years of age with mental62973
retardation or a developmental disability who have a medically62974
complex or technology-dependent condition.62975

       (9) The applicant has a policy for giving individuals with 62976
mental retardation or a developmental disability who meet all of 62977
the following conditions priority over all others in admissions to 62978
one of the residential facilities licensed under section 5123.19 62979
of the Revised Code that the applicant operates on the effective 62980
date of this section:62981

       (a) Are under eighteen years of age;62982

       (b) Have a chronic, medically complex, or 62983
technology-dependent condition that requires special supervision 62984
or care;62985

       (c) Are eligible for medicaid;62986

       (d) Reside in a nursing home, as defined in section 3721.01 62987
of the Revised Code, or a hospital, as defined in section 3727.01, 62988
prior to being admitted to the residential facility.62989

       (B) The director shall issue one or more residential facility 62990
licenses under section 5123.19 of the Revised Code to an applicant 62991
who meets all of the requirements of this section regardless of 62992
whether the requirements for approval of a plan for a proposed 62993
residential facility established by rules adopted under section 62994
5123.042 of the Revised Code are met.62995

       Sec. 5123.38. (A) Except as provided in division (B) and (C) 62996
of this section, if an individual receiving supported living or 62997
home and community-based services, as defined in section 5126.01 62998
of the Revised Code, funded by a county board of mental 62999
retardation and developmental disabilities is committed to a 63000
state-operated intermediate care facility for the mentally 63001
retarded pursuant to sections 5123.71 to 5123.76 of the Revised 63002
Code, the department of mental retardation and developmental 63003
disabilities shall use the funds otherwise allocated to the county 63004
board as the nonfederal share of medicaid expenditures for the 63005
individual's care in the state-operated facility.63006

       (B) Division (A) of this section does not apply if the county 63007
board, not later than ninety days after the date of the commitment 63008
of a person receiving supported services, commences funding of 63009
supported living for an individual who resides in a state-operated 63010
intermediate care facility for the mentally retarded on the date 63011
of the commitment or another eligible individual designated by the 63012
department.63013

       (C) Division (A) of this section does not apply if the county 63014
board, not later than ninety days after the date of the commitment 63015
of a person receiving home and community-based services, commences 63016
funding of home and community-based services for an individual who 63017
resides in a state-operated intermediate care facility for the 63018
mentally retarded on the date of the commitment or another 63019
eligible individual designated by the department.63020

       Sec. 5123.60.  (A) A legal rights service is hereby created63021
and established to protect and advocate the rights of mentally ill63022
persons, mentally retarded persons, developmentally disabled63023
persons, and other disabled persons who may be represented by the63024
service pursuant to division (L) of this section; to receive and63025
act upon complaints concerning institutional and hospital63026
practices and conditions of institutions for mentally retarded or63027
developmentally disabled persons and hospitals for the mentally63028
ill; and to assure that all persons detained, hospitalized,63029
discharged, or institutionalized, and all persons whose detention,63030
hospitalization, discharge, or institutionalization is sought or63031
has been sought under this chapter or Chapter 5122. of the Revised63032
Code are fully informed of their rights and adequately represented63033
by counsel in proceedings under this chapter or Chapter 5122. of63034
the Revised Code and in any proceedings to secure the rights of 63035
those persons. Notwithstanding the definitions of "mentally63036
retarded person" and "developmentally disabled person" in section63037
5123.01 of the Revised Code, the legal rights service shall63038
determine who is a mentally retarded or developmentally disabled63039
person for purposes of this section and sections 5123.601 to63040
5123.604 of the Revised Code.63041

       (B) In regard to those persons detained, hospitalized, or63042
institutionalized under Chapter 5122. of the Revised Code, the63043
legal rights service shall undertake formal representation only of63044
those persons who are involuntarily detained, hospitalized, or63045
institutionalized pursuant to sections 5122.10 to 5122.15 of the63046
Revised Code, and those voluntarily detained, hospitalized, or63047
institutionalized who are minors, who have been adjudicated63048
incompetent, who have been detained, hospitalized, or63049
institutionalized in a public hospital, or who have requested63050
representation by the legal rights service. If a person referred63051
to in division (A) of this section voluntarily requests in writing63052
that the legal rights service terminate participation in the63053
person's case, such involvement shall cease.63054

       (C) Any person voluntarily hospitalized or institutionalized63055
in a public hospital under division (A) of section 5122.02 of the63056
Revised Code, after being fully informed of the person's rights 63057
under division (A) of this section, may, by written request, waive63058
assistance by the legal rights service if the waiver is knowingly63059
and intelligently made, without duress or coercion.63060

       The waiver may be rescinded at any time by the voluntary63061
patient or resident, or by the voluntary patient's or resident's63062
legal guardian.63063

       (D)(1) The legal rights service commission is hereby created63064
for the purposes of appointing an administrator of the legal63065
rights service, advising the administrator, assisting the63066
administrator in developing a budget, advising the administrator 63067
in establishing and annually reviewing a strategic plan, creating 63068
a procedure for filing and determination of grievances against the 63069
legal rights service, and establishing general policy guidelines, 63070
including guidelines for the commencement of litigation, for the 63071
legal rights service. The commission may adopt rules to carry 63072
these purposes into effect and may receive and act upon appeals of 63073
personnel decisions by the administrator.63074

       (2) The commission shall consist of seven members. One63075
member, who shall serve as chairperson, shall be appointed by the63076
chief justice of the supreme court, three members shall be63077
appointed by the speaker of the house of representatives, and63078
three members shall be appointed by the president of the senate.63079
At least two members shall have experience in the field of63080
developmental disabilities, and at least two members shall have63081
experience in the field of mental health. No member shall be a63082
provider or related to a provider of services to mentally63083
retarded, developmentally disabled, or mentally ill persons.63084

       (3) Terms of office of the members of the commission shall be63085
for three years, each term ending on the same day of the month of 63086
the year as did the term which it succeeds. Each member shall63087
serve subsequent to the expiration of the member's term until a63088
successor is appointed and qualifies, or until sixty days has63089
elapsed, whichever occurs first. No member shall serve more than63090
two consecutive terms.63091

       All vacancies in the membership of the commission shall be63092
filled in the manner prescribed for regular appointments to the63093
commission and shall be limited to the unexpired terms.63094

       (4) The commission shall meet at least four times each year.63095
Members shall be reimbursed for their necessary and actual63096
expenses incurred in the performance of their official duties.63097

       (5) The administrator of the legal rights service shall be63098
appointed for a five-year term, subject to removal for mental or63099
physical incapacity to perform the duties of the office,63100
conviction of violation of any law relating to the administrator's63101
powers and duties, or other good cause shownserve at the pleasure 63102
of the commission.63103

       The administrator shall be a person who has had special63104
training and experience in the type of work with which the legal63105
rights service is charged. If the administrator is not an63106
attorney, the administrator shall seek legal counsel when63107
appropriate. The salary of the administrator shall be established63108
in accordance with section 124.14 of the Revised Code.63109

       (E) The legal rights service shall be completely independent63110
of the department of mental health and the department of mental63111
retardation and developmental disabilities and, notwithstanding63112
section 109.02 of the Revised Code, shall also be independent of63113
the office of the attorney general. The administrator of the legal 63114
rights service, staff, and attorneys designated by the63115
administrator to represent persons detained, hospitalized, or63116
institutionalized under this chapter or Chapter 5122. of the63117
Revised Code shall have ready access to the following:63118

       (1) During normal business hours and at other reasonable63119
times, all records relating to expenditures of state and federal63120
funds or to the commitment, care, treatment, and habilitation of63121
all persons represented by the legal rights service, including63122
those who may be represented pursuant to division (L) of this63123
section, or persons detained, hospitalized, institutionalized, or63124
receiving services under this chapter or Chapter 340., 5119.,63125
5122., or 5126. of the Revised Code that are records maintained by63126
the following entities providing services for those persons:63127
departments; institutions; hospitals; community residential63128
facilities; boards of alcohol, drug addiction, and mental health63129
services; county boards of mental retardation and developmental63130
disabilities; contract agencies of those boards; and any other63131
entity providing services to persons who may be represented by the63132
service pursuant to division (L) of this section;63133

       (2) Any records maintained in computerized data banks of the63134
departments or boards or, in the case of persons who may be63135
represented by the service pursuant to division (L) of this63136
section, any other entity that provides services to those persons;63137

       (3) During their normal working hours, personnel of the63138
departments, facilities, boards, agencies, institutions,63139
hospitals, and other service-providing entities;63140

       (4) At any time, all persons detained, hospitalized, or63141
institutionalized; persons receiving services under this chapter63142
or Chapter 340., 5119., 5122., or 5126. of the Revised Code; and63143
persons who may be represented by the service pursuant to division63144
(L) of this section.63145

       (F) The administrator of the legal rights service shall do63146
the following:63147

       (1) Administer and organize the work of the legal rights63148
service and establish administrative or geographic divisions as63149
the administrator considers necessary, proper, and expedient;63150

       (2) Adopt and promulgate rules that are not in conflict with 63151
rules adopted by the commission and prescribe duties for the63152
efficient conduct of the business and general administration of63153
the legal rights service;63154

       (3) Appoint and discharge employees, and hire experts,63155
consultants, advisors, or other professionally qualified persons63156
as the administrator considers necessary to carry out the duties63157
of the legal rights service;63158

       (4) Apply for and accept grants of funds, and accept63159
charitable gifts and bequests;63160

       (5) Prepare and submit a budget to the general assembly for63161
the operation of the legal rights service;. At least thirty days 63162
prior to submitting the budget to the general assembly, the 63163
administrator shall provide a copy of the budget to the commission 63164
for review and comment. When submitting the budget to the general 63165
assembly, the administrator shall include a copy of any written 63166
comments returned by the commission to the administrator.63167

       (6) Enter into contracts and make expenditures necessary for 63168
the efficient operation of the legal rights service;63169

       (7) Annually prepare a report of activities and submit copies 63170
of the report to the governor, the chief justice of the supreme 63171
court, the president of the senate, the speaker of the house of 63172
representatives, the director of mental health, and the director 63173
of mental retardation and developmental disabilities, and make the 63174
report available to the public;63175

       (8) Upon request of the commission or of the chairperson of 63176
the commission, report to the commission on specific litigation 63177
issues or activities.63178

       (G)(1) The legal rights service may act directly or contract63179
with other organizations or individuals for the provision of the63180
services envisioned under this section.63181

       (2) Whenever possible, the administrator shall attempt to63182
facilitate the resolution of complaints through administrative63183
channels. Subject to division (G)(3) of this section, if attempts63184
at administrative resolution prove unsatisfactory, the63185
administrator may pursue any legal, administrative, and other63186
appropriate remedies or approaches that may be necessary to63187
accomplish the purposes of this section.63188

       (3) The administrator may not pursue a class action lawsuit63189
under division (G)(2) of this section when attempts at63190
administrative resolution of a complaint prove unsatisfactory63191
under that division unless both of the following have first63192
occurred:63193

       (a) At least four members of the commission, by their63194
affirmative vote, have consented to the pursuit of the class63195
action lawsuit;63196

       (b) At least five members of the commission are present at63197
the meeting of the commission at which that consent is obtained.63198

       (4) RelationshipsSubject to division (G)(5) of this section, 63199
relationships between personnel and the agents of the legal rights63200
service and its clients shall be fiduciary relationships, and all63201
communications shall be confidential, as if between attorney and63202
client.63203

       (5) Any person who has been represented by the legal rights 63204
service or who has applied for and been denied representation and 63205
who files a grievance with the service concerning the 63206
representation or application may appeal the decision of the 63207
service on the grievance to the commission. The person may appeal 63208
notwithstanding any objections of the person's legal guardian. The 63209
commission may examine any records relevant to the appeal and 63210
shall maintain the confidentiality of any records that are 63211
required to be kept confidential.63212

       (H) The legal rights service, on the order of the63213
administrator, with the approval by an affirmative vote of at63214
least four members of the commission, may compel by subpoena the63215
appearance and sworn testimony of any person the administrator63216
reasonably believes may be able to provide information or to63217
produce any documents, books, records, papers, or other63218
information necessary to carry out its duties.63219

       (I) The legal rights service may conduct public hearings.63220

       (J) The legal rights service may request from any63221
governmental agency any cooperation, assistance, services, or data63222
that will enable it to perform its duties.63223

       (K) In any malpractice action filed against the administrator 63224
of the legal rights service, a member of the staff of the legal 63225
rights service, or an attorney designated by the administrator to 63226
perform legal services under division (E) of this section, the 63227
state shall, when the administrator, member, or attorney has acted 63228
in good faith and in the scope of employment, indemnify the 63229
administrator, member, or attorney for any judgment awarded or 63230
amount negotiated in settlement, and for any court costs or legal 63231
fees incurred in defense of the claim.63232

       This division does not limit or waive, and shall not be63233
construed to limit or waive, any defense that is available to the63234
legal rights service, its administrator or employees, persons63235
under a personal services contract with it, or persons designated63236
under division (E) of this section, including, but not limited to,63237
any defense available under section 9.86 of the Revised Code.63238

       (L) In addition to providing services to mentally ill,63239
mentally retarded, or developmentally disabled persons, when a63240
grant authorizing the provision of services to other individuals63241
is accepted pursuant to division (F)(4) of this section, the legal63242
rights service and its ombudsperson section may provide advocacy63243
or ombudsperson services to those other individuals and exercise63244
any other authority granted by this section or sections 5123.60163245
to 5123.604 of the Revised Code on behalf of those individuals.63246
Determinations of whether an individual is eligible for services63247
under this division shall be made by the legal rights service.63248

       Sec. 5123.801.  If neither a discharged resident, nor a63249
resident granted trial visit, nor the persons requesting the63250
resident's trial visit or discharge are financially able to bear 63251
the expense of the resident's trial visit or discharge, the63252
managing officer of an institution under the control of the 63253
department of mental retardation and developmental disabilities 63254
may then provide actual traveling and escort expenses to the 63255
township of which the resident resided at the time of 63256
institutionalization. The amount payable shall be charged to the63257
current expense fund of the institution.63258

       The expense of the return of a resident on trial visit from63259
an institution, if it cannot be paid by the responsible relatives, 63260
shall be borne by the county of institutionalization.63261

       The managing officer of the institution shall take all proper 63262
measures for the apprehension of an escaped resident. The expense 63263
of the return of an escaped resident shall be borne by the 63264
institution where the resident is institutionalized.63265

       The managing officer of the institution shall provide63266
sufficient and proper clothing for traveling if neither the63267
resident nor the persons requesting the resident's trial visit or 63268
discharge are financially able to provide that clothing.63269

       Sec. 5123.851.  When a resident institutionalized pursuant to 63270
this chapter is discharged from the institution, the managing 63271
officer of the institution may provide the resident with all 63272
personal items that were purchased in implementing the resident's 63273
habilitation plan established pursuant to section 5123.85 of the 63274
Revised Code. The personal items may be provided to the resident, 63275
regardless of the source of the funds that were used to purchase 63276
the items.63277

       Sec. 5126.01.  As used in this chapter:63278

       (A) As used in this division, "adult" means an individual who 63279
is eighteen years of age or over and not enrolled in a program or 63280
service under Chapter 3323. of the Revised Code and an individual63281
sixteen or seventeen years of age who is eligible for adult 63282
services under rules adopted by the director of mental retardation 63283
and developmental disabilities pursuant to Chapter 119. of the63284
Revised Code.63285

       (1) "Adult services" means services provided to an adult63286
outside the home, except when they are provided within the home63287
according to an individual's assessed needs and identified in an63288
individual service plan, that support learning and assistance in63289
the area of self-care, sensory and motor development,63290
socialization, daily living skills, communication, community63291
living, social skills, or vocational skills.63292

       (2) "Adult services" includes all of the following:63293

       (a) Adult day habilitation services;63294

       (b) Adult day care;63295

       (c) Prevocational services;63296

       (d) Sheltered employment;63297

       (e) Educational experiences and training obtained through63298
entities and activities that are not expressly intended for63299
individuals with mental retardation and developmental63300
disabilities, including trade schools, vocational or technical63301
schools, adult education, job exploration and sampling, unpaid63302
work experience in the community, volunteer activities, and63303
spectator sports;63304

       (f) Community employment services and supported employment63305
services.63306

       (B)(1) "Adult day habilitation services" means adult services 63307
that do the following:63308

       (a) Provide access to and participation in typical activities 63309
and functions of community life that are desired and chosen by the 63310
general population, including such activities and functions as 63311
opportunities to experience and participate in community 63312
exploration, companionship with friends and peers, leisure 63313
activities, hobbies, maintaining family contacts, community 63314
events, and activities where individuals without disabilities are 63315
involved;63316

       (b) Provide supports or a combination of training and63317
supports that afford an individual a wide variety of opportunities63318
to facilitate and build relationships and social supports in the63319
community.63320

       (2) "Adult day habilitation services" includes all of the63321
following:63322

       (a) Personal care services needed to ensure an individual's63323
ability to experience and participate in vocational services,63324
educational services, community activities, and any other adult63325
day habilitation services;63326

       (b) Skilled services provided while receiving adult day63327
habilitation services, including such skilled services as behavior63328
management intervention, occupational therapy, speech and language63329
therapy, physical therapy, and nursing services;63330

       (c) Training and education in self-determination designed to63331
help the individual do one or more of the following: develop63332
self-advocacy skills, exercise the individual's civil rights,63333
acquire skills that enable the individual to exercise control and63334
responsibility over the services received, and acquire skills that63335
enable the individual to become more independent, integrated, or63336
productive in the community;63337

       (d) Recreational and leisure activities identified in the63338
individual's service plan as therapeutic in nature or assistive in63339
developing or maintaining social supports;63340

       (e) Counseling and assistance provided to obtain housing,63341
including such counseling as identifying options for either rental63342
or purchase, identifying financial resources, assessing needs for63343
environmental modifications, locating housing, and planning for63344
ongoing management and maintenance of the housing selected;63345

       (f) Transportation necessary to access adult day habilitation 63346
services;63347

       (g) Habilitation management, as described in section 5126.1463348
of the Revised Code.63349

       (3) "Adult day habilitation services" does not include63350
activities that are components of the provision of residential63351
services, family support services, or supported living services.63352

       (C) "Community employment services" or "supported employment63353
services" means job training and other services related to63354
employment outside a sheltered workshop. "Community employment63355
services" or "supported employment services" include all of the63356
following:63357

       (1) Job training resulting in the attainment of competitive63358
work, supported work in a typical work environment, or63359
self-employment;63360

       (2) Supervised work experience through an employer paid to63361
provide the supervised work experience;63362

       (3) Ongoing work in a competitive work environment at a wage63363
commensurate with workers without disabilities;63364

       (4) Ongoing supervision by an employer paid to provide the63365
supervision.63366

       (D) As used in this division, "substantial functional63367
limitation," "developmental delay," and "established risk" have63368
the meanings established pursuant to section 5123.011 of the63369
Revised Code.63370

       "Developmental disability" means a severe, chronic disability63371
that is characterized by all of the following:63372

       (1) It is attributable to a mental or physical impairment or63373
a combination of mental and physical impairments, other than a63374
mental or physical impairment solely caused by mental illness as63375
defined in division (A) of section 5122.01 of the Revised Code;63376

       (2) It is manifested before age twenty-two;63377

       (3) It is likely to continue indefinitely;63378

       (4) It results in one of the following:63379

       (a) In the case of a person under age three, at least one63380
developmental delay or an established risk;63381

       (b) In the case of a person at least age three but under age63382
six, at least two developmental delays or an established risk;63383

       (c) In the case of a person age six or older, a substantial63384
functional limitation in at least three of the following areas of63385
major life activity, as appropriate for the person's age:63386
self-care, receptive and expressive language, learning, mobility,63387
self-direction, capacity for independent living, and, if the63388
person is at least age sixteen, capacity for economic63389
self-sufficiency.63390

       (5) It causes the person to need a combination and sequence63391
of special, interdisciplinary, or other type of care, treatment,63392
or provision of services for an extended period of time that is63393
individually planned and coordinated for the person.63394

       (E) "Early childhood services" means a planned program of63395
habilitation designed to meet the needs of individuals with mental63396
retardation or other developmental disabilities who have not63397
attained compulsory school age.63398

       (F)(1) "Environmental modifications" means the physical63399
adaptations to an individual's home, specified in the individual's63400
service plan, that are necessary to ensure the individual's63401
health, safety, and welfare or that enable the individual to63402
function with greater independence in the home, and without which63403
the individual would require institutionalization.63404

       (2) "Environmental modifications" includes such adaptations63405
as installation of ramps and grab-bars, widening of doorways,63406
modification of bathroom facilities, and installation of63407
specialized electric and plumbing systems necessary to accommodate63408
the individual's medical equipment and supplies.63409

       (3) "Environmental modifications" does not include physical63410
adaptations or improvements to the home that are of general63411
utility or not of direct medical or remedial benefit to the63412
individual, including such adaptations or improvements as63413
carpeting, roof repair, and central air conditioning.63414

       (G) "Family support services" means the services provided63415
under a family support services program operated under section63416
5126.11 of the Revised Code.63417

       (H) "Habilitation" means the process by which the staff of63418
the facility or agency assists an individual with mental63419
retardation or other developmental disability in acquiring and63420
maintaining those life skills that enable the individual to cope63421
more effectively with the demands of the individual's own person63422
and environment, and in raising the level of the individual's63423
personal, physical, mental, social, and vocational efficiency.63424
Habilitation includes, but is not limited to, programs of formal,63425
structured education and training.63426

       (I) "Habilitation center services" means services provided by63427
a habilitation center certified by the department of mental63428
retardation and developmental disabilities under section 5123.04163429
of the Revised Code and covered by the medicaid program pursuant63430
to rules adopted under section 5111.041 of the Revised Code.63431

       (J) "Home and community-based services" means medicaid-funded 63432
home and community-based services specified in division (B)(1) of 63433
section 5111.87 of the Revised Code and provided under athe63434
medicaid componentcomponents the department of mental retardation 63435
and developmental disabilities administers pursuant to section63436
5111.871 of the Revised Code.63437

       (K) "Medicaid" has the same meaning as in section 5111.01 of63438
the Revised Code.63439

       (L) "Medicaid case management services" means case management 63440
services provided to an individual with mental retardation or 63441
other developmental disability that the state medicaid plan 63442
requires.63443

       (M) "Mental retardation" means a mental impairment manifested 63444
during the developmental period characterized by significantly 63445
subaverage general intellectual functioning existing concurrently 63446
with deficiencies in the effectiveness or degree with which an 63447
individual meets the standards of personal independence and social 63448
responsibility expected of the individual's age and cultural 63449
group.63450

       (N) "Residential services" means services to individuals with 63451
mental retardation or other developmental disabilities to provide 63452
housing, food, clothing, habilitation, staff support, and related 63453
support services necessary for the health, safety, and welfare of 63454
the individuals and the advancement of their quality of life.63455
"Residential services" includes program management, as described 63456
in section 5126.14 of the Revised Code.63457

       (O) "Resources" means available capital and other assets,63458
including moneys received from the federal, state, and local63459
governments, private grants, and donations; appropriately63460
qualified personnel; and appropriate capital facilities and63461
equipment.63462

       (P) "Service and support administration" means the duties63463
performed by a service and support administrator pursuant to63464
section 5126.15 of the Revised Code.63465

       (Q)(1) "Specialized medical, adaptive, and assistive63466
equipment, supplies, and supports" means equipment, supplies, and63467
supports that enable an individual to increase the ability to63468
perform activities of daily living or to perceive, control, or63469
communicate within the environment.63470

       (2) "Specialized medical, adaptive, and assistive equipment,63471
supplies, and supports" includes the following:63472

       (a) Eating utensils, adaptive feeding dishes, plate guards,63473
mylatex straps, hand splints, reaches, feeder seats, adjustable63474
pointer sticks, interpreter services, telecommunication devices63475
for the deaf, computerized communications boards, other63476
communication devices, support animals, veterinary care for63477
support animals, adaptive beds, supine boards, prone boards,63478
wedges, sand bags, sidelayers, bolsters, adaptive electrical63479
switches, hand-held shower heads, air conditioners, humidifiers,63480
emergency response systems, folding shopping carts, vehicle lifts,63481
vehicle hand controls, other adaptations of vehicles for63482
accessibility, and repair of the equipment received.63483

       (b) Nondisposable items not covered by medicaid that are63484
intended to assist an individual in activities of daily living or63485
instrumental activities of daily living.63486

       (R) "Supportive home services" means a range of services to63487
families of individuals with mental retardation or other63488
developmental disabilities to develop and maintain increased63489
acceptance and understanding of such persons, increased ability of63490
family members to teach the person, better coordination between63491
school and home, skills in performing specific therapeutic and63492
management techniques, and ability to cope with specific63493
situations.63494

       (S)(1) "Supported living" means services provided for as long 63495
as twenty-four hours a day to an individual with mental63496
retardation or other developmental disability through any public63497
or private resources, including moneys from the individual, that63498
enhance the individual's reputation in community life and advance63499
the individual's quality of life by doing the following:63500

       (a) Providing the support necessary to enable an individual63501
to live in a residence of the individual's choice, with any number63502
of individuals who are not disabled, or with not more than three63503
individuals with mental retardation and developmental disabilities63504
unless the individuals are related by blood or marriage;63505

       (b) Encouraging the individual's participation in the63506
community;63507

       (c) Promoting the individual's rights and autonomy;63508

       (d) Assisting the individual in acquiring, retaining, and63509
improving the skills and competence necessary to live successfully63510
in the individual's residence.63511

       (2) "Supported living" includes the provision of all of the63512
following:63513

       (a) Housing, food, clothing, habilitation, staff support,63514
professional services, and any related support services necessary 63515
to ensure the health, safety, and welfare of the individual63516
receiving the services;63517

       (b) A combination of life-long or extended-duration63518
supervision, training, and other services essential to daily63519
living, including assessment and evaluation and assistance with63520
the cost of training materials, transportation, fees, and63521
supplies;63522

       (c) Personal care services and homemaker services;63523

       (d) Household maintenance that does not include modifications 63524
to the physical structure of the residence;63525

       (e) Respite care services;63526

       (f) Program management, as described in section 5126.14 of63527
the Revised Code.63528

       Sec. 5126.042.  (A) As used in this section:63529

       (1) "Emergency", "emergency" means any situation that creates 63530
for an individual with mental retardation or developmental 63531
disabilities a risk of substantial self-harm or substantial harm 63532
to others if action is not taken within thirty days. An63533
"emergency" may include one or more of the following situations:63534

       (a)(1) Loss of present residence for any reason, including63535
legal action;63536

       (b)(2) Loss of present caretaker for any reason, including63537
serious illness of the caretaker, change in the caretaker's63538
status, or inability of the caretaker to perform effectively for63539
the individual;63540

       (c)(3) Abuse, neglect, or exploitation of the individual;63541

       (d)(4) Health and safety conditions that pose a serious risk 63542
to the individual or others of immediate harm or death;63543

       (e)(5) Change in the emotional or physical condition of the63544
individual that necessitates substantial accommodation that cannot63545
be reasonably provided by the individual's existing caretaker.63546

       (2) "Medicaid" has the same meaning as in section 5111.01 of63547
the Revised Code.63548

       (B) If a county board of mental retardation and developmental 63549
disabilities determines that available resources are not 63550
sufficient to meet the needs of all individuals who request63551
programs and services and may be offered the programs and63552
services, it shall establish waiting lists for services. The board 63553
may establish priorities for making placements on its waiting 63554
lists according to an individual's emergency status and shall 63555
establish priorities in accordance with divisiondivisions (D) and 63556
(E) of this section.63557

       The individuals who may be placed on a waiting list include63558
individuals with a need for services on an emergency basis and63559
individuals who have requested services for which resources are63560
not available.63561

       Except for an individual who is to receive priority for63562
services pursuant to division (D)(3) of this section, an63563
individual who currently receives a service but would like to63564
change to another service shall not be placed on a waiting list63565
but shall be placed on a service substitution list. The board63566
shall work with the individual, service providers, and all63567
appropriate entities to facilitate the change in service as63568
expeditiously as possible. The board may establish priorities for63569
making placements on its service substitution lists according to63570
an individual's emergency status.63571

       In addition to maintaining waiting lists and service63572
substitution lists, a board shall maintain a long-term service63573
planning registry for individuals who wish to record their63574
intention to request in the future a service they are not63575
currently receiving. The purpose of the registry is to enable the63576
board to document requests and to plan appropriately. The board63577
may not place an individual on the registry who meets the63578
conditions for receipt of services on an emergency basis.63579

       (C) A county board shall establish a separate waiting list63580
for each of the following categories of services, and may63581
establish separate waiting lists within the waiting lists:63582

       (1) Early childhood services;63583

       (2) Educational programs for preschool and school age63584
children;63585

       (3) Adult services;63586

       (4) Service and support administration;63587

       (5) Residential services and supported living;63588

       (6) Transportation services;63589

       (7) Other services determined necessary and appropriate for63590
persons with mental retardation or a developmental disability63591
according to their individual habilitation or service plans;63592

       (8) Family support services provided under section 5126.11 of 63593
the Revised Code.63594

       (D) Except as provided in division (F)(G) of this section, a63595
county board shall do, as priorities, all of the following in63596
accordance with the assessment component, approved under section63597
5123.046 of the Revised Code, of the county board's plan developed63598
under section 5126.054 of the Revised Code:63599

       (1) For the purpose of obtaining additional federal medicaid63600
funds for home and community-based services, medicaid case63601
management services, and habilitation center services, do both of63602
the following:63603

       (a) Give an individual who is eligible for home and63604
community-based services and meets both of the following63605
requirements priority over any other individual on a waiting list63606
established under division (C) of this section for home and63607
community-based services that include supported living,63608
residential services, or family support services:63609

       (i) Is twenty-two years of age or older;63610

       (ii) Receives supported living or family support services.63611

       (b) Give an individual who is eligible for home and63612
community-based services and meets both of the following63613
requirements priority over any other individual on a waiting list63614
established under division (C) of this section for home and63615
community-based services that include adult services:63616

       (i) Resides in the individual's own home or the home of the63617
individual's family and will continue to reside in that home after63618
enrollment in home and community-based services;63619

       (ii) Receives adult services from the county board.63620

       (2) As federal medicaid funds become available pursuant to63621
division (D)(1) of this section, give an individual who is63622
eligible for home and community-based services and meets any of63623
the following requirements priority for such services over any63624
other individual on a waiting list established under division (C)63625
of this section:63626

       (a) Does not receive residential services or supported63627
living, either needs services in the individual's current living63628
arrangement or will need services in a new living arrangement, and63629
has a primary caregiver who is sixty years of age or older;63630

       (b) Is less than twenty-two years of age and has at least one 63631
of the following service needs that are unusual in scope or63632
intensity:63633

       (i) Severe behavior problems for which a behavior support63634
plan is needed;63635

       (ii) An emotional disorder for which anti-psychotic63636
medication is needed;63637

       (iii) A medical condition that leaves the individual63638
dependent on life-support medical technology;63639

       (iv) A condition affecting multiple body systems for which a63640
combination of specialized medical, psychological, educational, or63641
habilitation services are needed;63642

       (v) A condition the county board determines to be comparable63643
in severity to any condition described in division (D)(2)(b)(i) to63644
(iv) of this section and places the individual at significant risk63645
of institutionalization.63646

       (c) Is twenty-two years of age or older, does not receive63647
residential services or supported living, and is determined by the63648
county board to have intensive needs for home and community-based63649
services on an in-home or out-of-home basis.63650

       (3) In fiscal years 2002 and 2003, give an individual who is63651
eligible for home and community-based services, resides in an63652
intermediate care facility for the mentally retarded or nursing63653
facility, chooses to move to another setting with the help of home63654
and community-based services, and has been determined by the63655
department of mental retardation and developmental disabilities to63656
be capable of residing in the other setting, priority over any63657
other individual on a waiting list established under division (C)63658
of this section for home and community-based services who does not63659
meet these criteria. The department of mental retardation and63660
developmental disabilities shall identify the individuals to63661
receive priority under division (D)(3) of this section, assess the63662
needs of the individuals, and notify the county boards that are to63663
provide the individuals priority under division (D)(3) of this63664
section of the individuals identified by the department and the63665
individuals' assessed needs.63666

       (E) Except as provided in division (G) of this section and 63667
for a number of years and beginning on a date specified in rules 63668
adopted under division (K) of this section, a county board shall 63669
give an individual who is eligible for home and community-based 63670
services, resides in a nursing facility, and chooses to move to 63671
another setting with the help of home and community-based 63672
services, priority over any other individual on a waiting list 63673
established under division (C) of this section for home and 63674
community-based services who does not meet these criteria.63675

       (F) If two or more individuals on a waiting list established63676
under division (C) of this section for home and community-based63677
services have priority for the services pursuant to division63678
(D)(1) or (2) or (E) of this section, a county board may use,63679
until December 31, 20032005, criteria specified in rules adopted 63680
under division (J)(K)(2) of this section in determining the order 63681
in which the individuals with priority will be offered the 63682
services. Otherwise, the county board shall offer the home and63683
community-based services to such individuals in the order they are63684
placed on the waiting list.63685

       (F)(G)(1) No individual may receive priority for services63686
pursuant to division (D) or (E) of this section over an individual63687
placed on a waiting list established under division (C) of this63688
section on an emergency status.63689

       (2) No more than four hundred individuals in the state may63690
receive priority for services during the 20022004 and 2003200563691
biennium pursuant to division (D)(2)(b) of this section.63692

       (3) No more than a total of seventy-five individuals in the63693
state may receive priority for services during state fiscal years63694
2002 and 2003 pursuant to division (D)(3) of this section.63695

       (G)(4) No more than forty individuals in the state may 63696
receive priority for services pursuant to division (E) of this 63697
section for each year that priority category is in effect as 63698
specified in rules adopted under division (K) of this section.63699

       (H) Prior to establishing any waiting list under this63700
section, a county board shall develop and implement a policy for63701
waiting lists that complies with this section and rules adopted63702
under division (J)(K) of this section.63703

       Prior to placing an individual on a waiting list, the county63704
board shall assess the service needs of the individual in63705
accordance with all applicable state and federal laws. The county63706
board shall place the individual on the appropriate waiting list63707
and may place the individual on more than one waiting list. The63708
county board shall notify the individual of the individual's63709
placement and position on each waiting list on which the63710
individual is placed.63711

       At least annually, the county board shall reassess the63712
service needs of each individual on a waiting list. If it63713
determines that an individual no longer needs a program or63714
service, the county board shall remove the individual from the63715
waiting list. If it determines that an individual needs a program63716
or service other than the one for which the individual is on the63717
waiting list, the county board shall provide the program or63718
service to the individual or place the individual on a waiting63719
list for the program or service in accordance with the board's63720
policy for waiting lists.63721

       When a program or service for which there is a waiting list63722
becomes available, the county board shall reassess the service63723
needs of the individual next scheduled on the waiting list to63724
receive that program or service. If the reassessment demonstrates63725
that the individual continues to need the program or service, the63726
board shall offer the program or service to the individual. If it63727
determines that an individual no longer needs a program or63728
service, the county board shall remove the individual from the63729
waiting list. If it determines that an individual needs a program63730
or service other than the one for which the individual is on the63731
waiting list, the county board shall provide the program or63732
service to the individual or place the individual on a waiting63733
list for the program or service in accordance with the board's63734
policy for waiting lists. The county board shall notify the63735
individual of the individual's placement and position on the63736
waiting list on which the individual is placed.63737

       (H)(I) A child subject to a determination made pursuant to63738
section 121.38 of the Revised Code who requires the home and63739
community-based services provided through thea medicaid component63740
that the department of mental retardation and developmental63741
disabilities administers under section 5111.871 of the Revised63742
Code shall receive services through that medicaid component. For63743
all other services, a child subject to a determination made63744
pursuant to section 121.38 of the Revised Code shall be treated as63745
an emergency by the county boards and shall not be subject to a63746
waiting list.63747

       (I)(J) Not later than the fifteenth day of March of each63748
even-numbered year, each county board shall prepare and submit to63749
the director of mental retardation and developmental disabilities63750
its recommendations for the funding of services for individuals63751
with mental retardation and developmental disabilities and its63752
proposals for reducing the waiting lists for services.63753

       (J)(K)(1) The department of mental retardation and63754
developmental disabilities shall adopt rules in accordance with63755
Chapter 119. of the Revised Code governing waiting lists63756
established under this section. The rules shall include procedures63757
to be followed to ensure that the due process rights of63758
individuals placed on waiting lists are not violated.63759

       (2) As part of the rules adopted under this division, the63760
department shall adopt, not later than December 31, 2001, rules63761
establishing criteria a county board may use under division (E)(F)63762
of this section in determining the order in which individuals with63763
priority for home and community-based services will be offered the63764
services. The rules shall also specify conditions under which a63765
county board, when there is no individual with priority for home63766
and community-based services pursuant to division (D)(1) or (2) or 63767
(E) of this section available and appropriate for the services,63768
may offer the services to an individual on a waiting list for the63769
services but not given such priority for the services. The rules63770
adopted under division (J)(K)(2) of this section shall cease to 63771
have effect December 31, 20032005.63772

       (K)(3) As part of the rules adopted under this division, the 63773
department shall adopt rules specifying both of the following for 63774
the priority category established under division (E) of this 63775
section:63776

        (a) The number of years, which shall not exceed five, that 63777
the priority category will be in effect;63778

        (b) The date that the priority category is to go into effect.63779

        (L) The following shall take precedence over the applicable63780
provisions of this section:63781

       (1) Medicaid rules and regulations;63782

       (2) Any specific requirements that may be contained within a63783
medicaid state plan amendment or waiver program that a county63784
board has authority to administer or with respect to which it has63785
authority to provide services, programs, or supports.63786

       Sec. 5126.058.  (A) The director of job and family services 63787
shall seek federal financial participation for the administrative 63788
costs for the following that each county board of mental 63789
retardation and developmental disabilities incurs pursuant to its 63790
medicaid local administrative authority under section 5126.055 of 63791
the Revised Code and claims in accordance with rules adopted under 63792
this section:63793

       (1) Home and community-based services;63794

       (2) Habilitation center services;63795

       (3) Service and support administration provided in 63796
conjunction with any of the services listed in divisions (A)(1) 63797
and (2) of this section. 63798

       (B) The administrative costs for which the director shall 63799
seek federal financial participation under this section shall 63800
include all of the following:63801

       (1) Business management;63802

       (2) Contract management;63803

       (3) General administration;63804

       (4) Personnel management.63805

       (C) Except as provided in division (D) of this section, 63806
federal financial participation obtained pursuant to a claim made 63807
under this section shall be paid to the county board that makes 63808
the claim.63809

       (D) The department of mental retardation and development 63810
disabilities shall collect one per cent of the federal financial 63811
participation obtained pursuant to each claim made under this 63812
section. The amount the department collects under this division 63813
shall be deposited into the ODMR/DD administrative and oversight 63814
fund created under section 5123.0412 of the Revised Code. 63815

       (E) The director of job and family services shall adopt rules 63816
in accordance with Chapter 119. of the Revised Code as necessary 63817
for the implementation of this section. The director shall adopt 63818
the rules in consultation with the director of mental retardation 63819
and developmental disabilities. The rules shall be consistent with 63820
federal regulations governing the medicaid program and shall 63821
comply with all of the following:63822

       (1) A county board may not claim more than fifteen per cent 63823
of its administrative costs for home and community-based services 63824
and habilitation center services.63825

       (2) A county board may not claim more than fifty per cent of 63826
its administrative costs for service and support administration 63827
provided in conjunction with any of the services listed in 63828
division (A)(1) or (2) of this section.63829

       (3) A county board shall verify the administrative costs for 63830
which it seeks federal financial participation in accordance with 63831
a time study or actual billing provided for by the rules.63832

       (4) A county board may make a claim for administrative costs 63833
incurred before, on, or after the effective date of this section.63834

       Sec. 5126.11.  (A) As used in this section, "respite care"63835
means appropriate, short-term, temporary care that is provided to63836
a mentally retarded or developmentally disabled person to sustain63837
the family structure or to meet planned or emergency needs of the63838
family.63839

       (B) Subject to rules adopted by the director of mental63840
retardation and developmental disabilities, and subject to the63841
availability of money from state and federal sources, the county63842
board of mental retardation and developmental disabilities shall63843
establish a family support services program. Under such a program, 63844
the board shall make payments to an individual with mental 63845
retardation or other developmental disability or the family of an 63846
individual with mental retardation or other developmental63847
disability who desires to remain in and be supported in the family63848
home. Payments shall be made for all or part of costs incurred or63849
estimated to be incurred for services that would promote63850
self-sufficiency and normalization, prevent or reduce63851
inappropriate institutional care, and further the unity of the63852
family by enabling the family to meet the special needs of the63853
individual and to live as much like other families as possible.63854
Payments may be made in the form of reimbursement for expenditures63855
or in the form of vouchers to be used to purchase services.63856

       (C) Payment shall not be made under this section to an63857
individual or the individual's family if the individual is living63858
in a residential facility that is providing residential services63859
under contract with the department of mental retardation and63860
developmental disabilities or a county board.63861

       (D) Payments may be made for the following services:63862

       (1) Respite care, in or out of the home;63863

       (2) Counseling, supervision, training, and education of the63864
individual, the individual's caregivers, and members of the63865
individual's family that aid the family in providing proper care63866
for the individual, provide for the special needs of the family,63867
and assist in all aspects of the individual's daily living;63868

       (3) Special diets, purchase or lease of special equipment, or 63869
modifications of the home, if such diets, equipment, or63870
modifications are necessary to improve or facilitate the care and63871
living environment of the individual;63872

       (4) Providing support necessary for the individual's63873
continued skill development, including such services as63874
development of interventions to cope with unique problems that may63875
occur within the complexity of the family, enrollment of the63876
individual in special summer programs, provision of appropriate63877
leisure activities, and other social skills development63878
activities;63879

       (5) Any other services that are consistent with the purposes63880
specified in division (B) of this section and specified in the63881
individual's service plan.63882

       (E) In order to be eligible for payments under a family63883
support services program, the individual or the individual's63884
family must reside in the county served by the county board, and63885
the individual must be in need of habilitation. Payments shall be63886
adjusted for income in accordance with the payment schedule63887
established in rules adopted under this section. Payments shall be 63888
made only after the county board has taken into account all other 63889
available assistance for which the individual or family is63890
eligible.63891

       (F) Before incurring expenses for a service for which payment 63892
will be sought under a family support services program, the 63893
individual or family shall apply to the county board for a63894
determination of eligibility and approval of the service. The63895
service need not be provided in the county served by the county63896
board. After being determined eligible and receiving approval for63897
the service, the individual or family may incur expenses for the63898
service or use the vouchers received from the county board for the63899
purchase of the service.63900

       If the county board refuses to approve a service, an appeal63901
may be made in accordance with rules adopted by the department63902
under this section.63903

       (G) To be reimbursed for expenses incurred for approved63904
services, the individual or family shall submit to the county63905
board a statement of the expenses incurred accompanied by any63906
evidence required by the board. To redeem vouchers used to63907
purchase approved services, the entity that provided the service63908
shall submit to the county board evidence that the service was63909
provided and a statement of the charges. The county board shall63910
make reimbursements and redeem vouchers no later than forty-five63911
days after it receives the statements and evidence required by63912
this division.63913

       (H) A county board shall consider the following objectives in 63914
carrying out a family support services program:63915

       (1) Enabling individuals to return to their families from an63916
institution under the jurisdiction of the department of mental63917
retardation and developmental disabilities;63918

       (2) Enabling individuals found to be subject to63919
institutionalization by court order under section 5123.76 of the63920
Revised Code to remain with their families with the aid of63921
payments provided under this section;63922

       (3) Providing services to eligible children and adults63923
currently residing in the community;63924

       (4) Providing services to individuals with developmental63925
disabilities who are not receiving other services from the board.63926

       (I) The director shall adopt, and may amend and rescind,63927
rules for the implementation of family support services programs63928
by county boards. Such rules shall include the following:63929

       (1) A payment schedule adjusted for income;63930

       (2) A formula for distributing to county boards the money63931
appropriated for family support services;63932

       (3) Standards for supervision, training, and quality control63933
in the provision of respite care services;63934

       (4) Eligibility standards and procedures for providing63935
temporary emergency respite care;63936

       (5) Procedures for hearing and deciding appeals made under63937
division (F) of this section;63938

       (6) Requirements to be followed by county boards regarding63939
reports submitted under division (K) of this section.63940

       Rules adopted under divisions (I)(1) and (2) of this section63941
shall be adopted in accordance with section 111.15 of the Revised63942
Code. Rules adopted under divisions (I)(3) to (6) of this section63943
shall be adopted in accordance with Chapter 119. of the Revised63944
Code.63945

       (J) All individuals certified by the superintendent of the63946
county board as eligible for temporary emergency respite care in63947
accordance with rules adopted under this section shall be63948
considered eligible for temporary emergency respite care for not63949
more than five days to permit the determination of eligibility for63950
family support services. The requirements of divisions (E) and (F) 63951
of this section do not apply to temporary emergency respite care.63952

       (K) On the first day of July of each year, theThe department63953
of mental retardation and developmental disabilities shall63954
distribute to county boards money appropriated for family support63955
services in quarterly installments of equal amounts. The 63956
installments shall be made not later than the thirtieth day of 63957
September, the thirty-first day of December, the thirty-first day 63958
of March, and the thirtieth day of June. A county board shall use 63959
no more than seven per cent of the funds for administrative costs. 63960
Each county board shall submit reports to the department on 63961
payments made under this section. The reports shall be submitted 63962
at those times and in the manner specified in rules adopted under 63963
this section.63964

       (L) The county board shall not be required to make payments63965
for family support services at a level that exceeds available63966
state and federal funds for such payments.63967

       Sec. 5126.12.  (A) As used in this section:63968

       (1) "Approved school age class" means a class operated by a63969
county board of mental retardation and developmental disabilities63970
and funded by the department of education under section 3317.20 of 63971
the Revised Code.63972

       (2) "Approved preschool unit" means a class or unit operated63973
by a county board of mental retardation and developmental63974
disabilities and approved by the state board of education under63975
division (B) of section 3317.05 of the Revised Code.63976

       (3) "Active treatment" means a continuous treatment program,63977
which includes aggressive, consistent implementation of a program63978
of specialized and generic training, treatment, health services,63979
and related services, that is directed toward the acquisition of63980
behaviors necessary for an individual with mental retardation or63981
other developmental disability to function with as much63982
self-determination and independence as possible and toward the63983
prevention of deceleration, regression, or loss of current optimal63984
functional status.63985

       (4) "Eligible for active treatment" means that an individual63986
with mental retardation or other developmental disability resides63987
in an intermediate care facility for the mentally retarded63988
certified under Title XIX of the "Social Security Act," 497963989
Stat. 620286 (19351965), 42 U.S.C. 3011396, as amended; resides 63990
in a state institution operated by the department of mental 63991
retardation and developmental disabilities; or is enrolled in a63992
home and community-based services waiver program administered by63993
the department of mental retardation and developmental63994
disabilities as part of the medical assistance program established 63995
under section 5111.01 of the Revised Code.63996

       (5) "Community alternative funding system" means the program63997
under which habilitation center services are reimbursed under the 63998
medicaid program pursuant to section 5111.041 of the Revised Code63999
and rules adopted under that section.64000

       (6) "Traditional adult services" means vocational and64001
nonvocational activities conducted within a sheltered workshop or64002
adult activity center or supportive home services.64003

       (B) Each county board of mental retardation and developmental 64004
disabilities shall certify to the director of mental retardation 64005
and developmental disabilities all of the following:64006

       (1) On or before the fifteenth day of October, the average64007
daily membership for the first full week of programs and services64008
during October receiving:64009

       (a) Early childhood services provided pursuant to section64010
5126.05 of the Revised Code for children who are less than three64011
years of age on the thirtieth day of September of the academic64012
year;64013

       (b) Special education for handicapped children in approved64014
school age classes;64015

       (c) Adult services for persons sixteen years of age and older 64016
operated pursuant to section 5126.05 and division (B) of section 64017
5126.051 of the Revised Code. Separate counts shall be made for64018
the following:64019

       (i) Persons enrolled in traditional adult services who are64020
eligible for but not enrolled in active treatment under the64021
community alternative funding system;64022

       (ii) Persons enrolled in traditional adult services who are64023
eligible for and enrolled in active treatment under the community64024
alternative funding system;64025

       (iii) Persons enrolled in traditional adult services but who64026
are not eligible for active treatment under the community64027
alternative funding system;64028

       (iv) Persons participating in community employment services.64029
To be counted as participating in community employment services, a64030
person must have spent an average of no less than ten hours per64031
week in that employment during the preceding six months.64032

       (d) Other programs in the county for individuals with mental64033
retardation and developmental disabilities that have been approved64034
for payment of subsidy by the department of mental retardation and64035
developmental disabilities.64036

       The membership in each such program and service in the county64037
shall be reported on forms prescribed by the department of mental64038
retardation and developmental disabilities.64039

       The department of mental retardation and developmental64040
disabilities shall adopt rules defining full-time equivalent64041
enrollees and for determining the average daily membership64042
therefrom, except that certification of average daily membership64043
in approved school age classes shall be in accordance with rules64044
adopted by the state board of education. The average daily64045
membership figure shall be determined by dividing the amount64046
representing the sum of the number of enrollees in each program or64047
service in the week for which the certification is made by the64048
number of days the program or service was offered in that week. No64049
enrollee may be counted in average daily membership for more than64050
one program or service.64051

       (2) By the fifteenth day of December, the number of children64052
enrolled in approved preschool units on the first day of December;64053

       (3) On or before the thirtieth day of March, an itemized64054
report of all income and operating expenditures for the64055
immediately preceding calendar year, in the format specified by64056
the department of mental retardation and developmental64057
disabilities;64058

       (4) By the fifteenth day of February, a report of the total64059
annual cost per enrollee for operation of programs and services in64060
the preceding calendar year. The report shall include a grand64061
total of all programs operated, the cost of the individual64062
programs, and the sources of funds applied to each program.64063

       (5) That each required certification and report is in64064
accordance with rules established by the department of mental64065
retardation and developmental disabilities and the state board of64066
education for the operation and subsidization of the programs and64067
services.64068

       (C) To compute payments under this section to the board for64069
the fiscal year, the department of mental retardation and64070
developmental disabilities shall use the certification of average64071
daily membership required by division (B)(1) of this section64072
exclusive of the average daily membership in any approved school64073
age class and the number in any approved preschool unit.64074

       (D) The department shall pay each county board for each64075
fiscal year an amount equal to nine hundred fifty dollars times64076
the certified number of persons who on the first day of December64077
of the academic year are under three years of age and are not in64078
an approved preschool unit. For persons who are at least age64079
sixteen and are not in an approved school age class, the64080
department shall pay each county board for each fiscal year the64081
following amounts:64082

       (1) One thousand dollars times the certified average daily64083
membership of persons enrolled in traditional adult services who64084
are eligible for but not enrolled in active treatment under the64085
community alternative funding system;64086

       (2) One thousand two hundred dollars times the certified64087
average daily membership of persons enrolled in traditional adult64088
services who are eligible for and enrolled in active treatment64089
under the community alternative funding system;64090

       (3) No less than one thousand five hundred dollars times the64091
certified average daily membership of persons enrolled in64092
traditional adult services but who are not eligible for active64093
treatment under the community alternative funding system;64094

       (4) No less than one thousand five hundred dollars times the64095
certified average daily membership of persons participating in64096
community employment services.64097

       (E) The department shall distribute this subsidy to county64098
boards in semiannualquarterly installments of equal amounts. The64099
installments shall be made not later than the thirtieth day of 64100
September, the thirty-first day of August andDecember, the 64101
thirty-first day of JanuaryMarch, and the thirtieth day of June.64102

       (F) The director of mental retardation and developmental64103
disabilities shall make efforts to obtain increases in the64104
subsidies for early childhood services and adult services so that64105
the amount of the subsidies is equal to at least fifty per cent of64106
the statewide average cost of those services minus any applicable64107
federal reimbursements for those services. The director shall64108
advise the director of budget and management of the need for any64109
such increases when submitting the biennial appropriations request64110
for the department.64111

       (G) In determining the reimbursement of a county board for64112
the provision of service and support administration, family64113
support services, and other services required or approved by the64114
director for which children three through twenty-one years of age64115
are eligible, the department shall include the average daily64116
membership in approved school age or preschool units. The64117
department, in accordance with this section and upon receipt and64118
approval of the certification required by this section and any64119
other information it requires to enable it to determine a board's64120
payments, shall pay the agency providing the specialized training64121
the amounts payable under this section.64122

       Sec. 5126.121.  Each county board of mental retardation and 64123
developmental disabilities may be eligible to receive a subsidy 64124
from the department of mental retardation and developmental 64125
disabilities for the employment of a business manager as provided 64126
in this section. The department shall adopt rules in accordance 64127
with Chapter 119. of the Revised Code specifying standards for the 64128
employment of such a business manager. The rules shall include the 64129
minimum education and experience requirements for the position of 64130
business manager and shall specify requirements for courses in 64131
fiscal and business management that are annually sponsored or 64132
certified by the department and that are applicable to the 64133
position and designed to teach effective business practices. Each 64134
county board of mental retardation and developmental disabilities 64135
that employs a business manager in accordance with the standards 64136
adopted under this section may receive a subsidy from the 64137
department.64138

       The department shall distribute this subsidy to eligible 64139
county boards in quarterly installments of equal amounts. The 64140
installments shall be made not later than the thirtieth day of 64141
September, the thirty-first day of December, the thirty-first day 64142
of March, and the thirtieth day of June.64143

       Sec. 5126.15.  (A) A county board of mental retardation and64144
developmental disabilities shall provide service and support64145
administration to each individual three years of age or older who64146
is eligible for service and support administration if the64147
individual requests, or a person on the individual's behalf64148
requests, service and support administration. A board shall64149
provide service and support administration to each individual64150
receiving home and community-based services. A board may provide,64151
in accordance with the service coordination requirements of 3464152
C.F.R. 303.23, service and support administration to an individual64153
under three years of age eligible for early intervention services64154
under 34 C.F.R. part 303. A board may provide service and support64155
administration to an individual who is not eligible for other64156
services of the board. Service and support administration shall be64157
provided in accordance with rules adopted under section 5126.08 of64158
the Revised Code.64159

       A board may provide service and support administration by64160
directly employing service and support administrators or by64161
contracting with entities for the performance of service and64162
support administration. Individuals employed or under contract as64163
service and support administrators shall not be in the same64164
collective bargaining unit as employees who perform duties that64165
are not administrative.64166

       Individuals employed by a board as service and support64167
administrators shall not be assigned responsibilities for64168
implementing other services for individuals and shall not be64169
employed by or serve in a decision-making or policy-making64170
capacity for any other entity that provides programs or services64171
to individuals with mental retardation or developmental64172
disabilities. An individual employed as a conditional status64173
service and support administrator shall perform the duties of64174
service and support administration only under the supervision of a64175
management employee who is a service and support administration64176
supervisor or a professional employee who is a service and support64177
administrator.64178

       (B) The individuals employed by or under contract with a64179
board to provide service and support administration shall do all64180
of the following:64181

       (1) Establish an individual's eligibility for the services of 64182
the county board of mental retardation and developmental64183
disabilities;64184

       (2) Assess individual needs for services;64185

       (3) Develop individual service plans with the active64186
participation of the individual to be served, other persons64187
selected by the individual, and, when applicable, the provider64188
selected by the individual, and recommend the plans for approval64189
by the department of mental retardation and developmental64190
disabilities when services included in the plans are funded64191
through medicaid;64192

       (4) Establish budgets for services based on the individual's64193
assessed needs and preferred ways of meeting those needs;64194

       (5) Assist individuals in making selections from among the64195
providers they have chosen;64196

       (6) Ensure that services are effectively coordinated and64197
provided by appropriate providers;64198

       (7) Establish and implement an ongoing system of monitoring64199
the implementation of individual service plans to achieve64200
consistent implementation and the desired outcomes for the64201
individual;64202

       (8) Perform quality assurance reviews as a distinct function64203
of service and support administration;64204

       (9) Incorporate the results of quality assurance reviews and64205
identified trends and patterns of unusual incidents and major64206
unusual incidents into amendments of an individual's service plan64207
for the purpose of improving and enhancing the quality and64208
appropriateness of services rendered to the individual;64209

       (10) Ensure that each individual receiving services has a64210
designated person who is responsible on a continuing basis for64211
providing the individual with representation, advocacy, advice,64212
and assistance related to the day-to-day coordination of services64213
in accordance with the individual's service plan. The service and64214
support administrator shall give the individual receiving services64215
an opportunity to designate the person to provide daily64216
representation. If the individual declines to make a designation,64217
the administrator shall make the designation. In either case, the64218
individual receiving services may change at any time the person64219
designated to provide daily representation.64220

       (C) Subject to available funds, the department of mental64221
retardation and developmental disabilities shall pay a county64222
board an annual subsidy for service and support administration.64223
The amount of the subsidy shall be equal to the greater of twenty64224
thousand dollars or two hundred dollars times the board's64225
certified average daily membership. The payments shall be made in64226
semiannualquarterly installments of equal amounts, which shall be64227
made no later than the thirtieth day of September, the64228
thirty-first day of August andDecember, the thirty-first day of64229
JanuaryMarch, and the thirtieth day of June. Funds received shall 64230
be used solely for service and support administration.64231

       Sec. 5126.18.  (A) As used in this section:64232

       (1) "County board" means a county board of mental retardation 64233
and developmental disabilities.64234

       (2) Notwithstanding section 5126.01 of the Revised Code,64235
"adult services" means the following services, as they are64236
identified on individual information forms submitted by county64237
boards to the department of mental retardation and developmental64238
disabilities for the purpose of subsidies paid to county boards64239
under section 5126.12 of the Revised Code, provided to an64240
individual with mental retardation or other developmental64241
disability who is at least twenty-two years of age:64242

       (a) Assessment;64243

       (b) Home service;64244

       (c) Adult program;64245

       (d) Community employment services;64246

       (e) Retirement.64247

       (3) "Adult services enrollment" means a county board's64248
average daily membership in adult services, exclusive of such64249
services provided to individuals served solely through service and64250
support administration provided pursuant to section 5126.15 of the64251
Revised Code or family support services provided pursuant to64252
section 5126.11 of the Revised Code.64253

       (4) "Taxable value" means the taxable value of a county board64254
certified under division (B)(1) of this section.64255

       (5) "Per-mill yield" of a county board means the quotient64256
obtained by dividing (a) the taxable value of the county board by64257
(b) one thousand.64258

       (6) "Local adult services cost" means a county board's64259
expenditures for adult services, excluding all federal and state64260
reimbursements and subsidy allocations received by such boards and64261
expended for such services, as certified under section 5126.12 of64262
the Revised Code.64263

       (7) "Statewide average millage" means one thousand multiplied 64264
by the quotient obtained by dividing (a) the total of the local 64265
adult services costs of all county boards by (b) the total of the 64266
taxable values of all county boards.64267

       (8) "County yield" of a county board means the product64268
obtained by multiplying (a) the statewide average millage by (b)64269
the per-mill yield of the county board.64270

       (9) "County yield per enrollee" of a county board means the64271
quotient obtained by dividing (a) the county yield of the county64272
board by (b) the adult enrollment of the county board.64273

       (10) "Statewide yield per enrollee" means the quotient64274
obtained by dividing (a) the sum of the county yields of all64275
county boards by (b) the sum of the adult enrollments of all64276
county boards.64277

       (11) "Local tax effort for adult services" of a county board64278
means one thousand multiplied by the quotient obtained by dividing64279
(a) the local adult services cost of the county board by (b) the64280
taxable value of the county board.64281

       (12) "Funding percentage" for a fiscal year means the64282
percentage that the amount appropriated to the department for the64283
purpose of making payments under this section in the fiscal year64284
is of the amount computed under division (C)(3) of this section64285
for the fiscal year.64286

       (13) "Funding-adjusted required millage" for a fiscal year64287
means the statewide average millage multiplied by the funding64288
percentage for that fiscal year.64289

       (B)(1) On the request of the director of mental retardation64290
and developmental disabilities, the tax commissioner shall provide64291
to the department of mental retardation and developmental64292
disabilities information specifying the taxable value of property64293
on each county's tax list of real and public utility property and64294
tax list of personal property for the most recent tax year for64295
which such information is available. The director may request any64296
other tax information necessary for the purposes of this section.64297

       (2) On the request of the director, each county board shall64298
report the county board's adult services enrollment and local64299
adult services cost.64300

       (C) Each year, the department of mental retardation and64301
developmental disabilities shall compute the following:64302

       (1) For each county board, the amount, if any, by which the64303
statewide yield per enrollee exceeds the county yield per64304
enrollee;64305

       (2) For each county board, the amount of any excess computed64306
under division (C)(1) of this section multiplied by the adult64307
services enrollment of the county board;64308

       (3) The sum of the amounts computed under division (C)(2) of64309
this section for all county boards.64310

       (D) From money appropriated for the purpose, the department,64311
on or before the thirtieth day of September of each year, shall64312
provide for payment to each county board of the amount computed64313
for that county board under division (C)(2) of this section,64314
subject to any reduction or adjustment under division (E), (F), or64315
(G) of this section. The department shall make the payments in 64316
quarterly installments of equal amounts. The installments shall be 64317
made not later than the thirtieth day of September, thirty-first 64318
day of December, thirty-first day of March, and thirtieth day of 64319
June.64320

       (E) If a county board's local tax effort for adult services64321
is less than the funding-adjusted required millage, the director64322
shall reduce the amount of payment otherwise computed under64323
division (C)(2) of this section so that the amount paid, after the64324
reduction, is the same percentage of the amount computed under64325
division (C)(2) of this section as the county board's local tax64326
effort for adult services is of the funding-adjusted required64327
millage.64328

       If the director reduces the amount of a county board's64329
payment under this division, the department, not later than the64330
fifteenth day of July, shall notify the county board of the64331
reduction and the amount of the reduction. The notice shall64332
include a statement that the county board may request to be64333
exempted from the reduction by filing a request with the director,64334
in the manner and form prescribed by the director, within64335
twenty-one days after such notification is issued. The board may64336
present evidence of its attempt to obtain passage of levies or any64337
other extenuating circumstances the board considers relevant. If64338
the county board requests a hearing before the director to present64339
such evidence, the director shall conduct a hearing on the request64340
unless the director exempts the board from the reduction on the64341
basis of the evidence presented in the request filed by the board.64342
Upon receiving a properly and timely filed request for exemption,64343
but not later than the thirty-first day of August, the director64344
shall determine whether the county board shall be exempted from64345
all or a part of the reduction. The director may exempt the board64346
from all or part of the reduction if the director finds that the64347
board has made good faith efforts to obtain passage of tax levies64348
or that there are extenuating circumstances.64349

       (F) If a payment is reduced under division (E) of this64350
section and the director does not exempt the county board from the64351
reduction, the amount of the reduction shall be apportioned among64352
all county boards entitled to payments under this section for64353
which payments were not so reduced. The amount apportioned to each 64354
county board shall be proportionate to the amount of the board's 64355
payment as computed under division (C)(2) of this section.64356

       (G) If, for any fiscal year, the amount appropriated to the64357
department for the purpose of this section is less than the amount64358
computed under division (C)(3) of this section for the fiscal64359
year, the department shall adjust the amount of each payment as64360
computed under divisions (C)(2), (E), and (F) of this section by64361
multiplying that amount by the funding percentage.64362

       (H) The payments authorized by this section are supplemental64363
to all other funds that may be received by a county board. A64364
county board shall use the payments solely to pay the nonfederal64365
share of medicaid expenditures that division (A) of section64366
5126.057 of the Revised Code requires the county board to pay.64367

       Sec. 5126.44.  (A) The department of mental retardation and 64368
developmental disabilities, in accordance with Chapter 119. of the 64369
Revised Code, shall adopt rules for making allocations for64370
counties and distributing to county boards of mental retardation64371
and developmental disabilities money to be used for planning,64372
development, contracting for, and providing supported living. The 64373
rules shall provide for an allocation to be made for each county 64374
on an equitable basis, taking into account any factors that 64375
indicate need for supported living for residents of the county.64376

       (B) The department shall annually allocate for each county an 64377
amount determined in accordance with the rules adopted under this 64378
section. Except as provided in division (C) of this section, the 64379
department shall distribute the amount allocated for the county to 64380
each county board. Money shall be distributed to county boards in 64381
twoquarterly installments annually, which shall be paid no later 64382
than the last day of July and the last day of Decemberthirtieth 64383
day of September, the thirty-first day of December, the 64384
thirty-first day of March, and the thirtieth day of June. In the 64385
case of a county that has not adopted a resolution under division 64386
(B) of section 5126.40 of the Revised Code, the department shall 64387
use the money allocated for the county to provide supported living 64388
under section 5123.182 of the Revised Code.64389

       (C) The department shall not distribute money to a county64390
board for residential services that are being provided by a64391
provider under contract with the department on the effective date64392
of this amendment unless the provider and the county board agree64393
to enter into a contract between the provider and the county board 64394
under which the provider will provide the services as supported 64395
living. If the conversion of a contract occurs under this 64396
division, the provisions of section 5126.451 shall apply as though 64397
the contract was transferred under that section.64398

       (D) Pursuant to section 5126.05 of the Revised Code, the64399
county board shall annually adopt a separate budget for money64400
distributed to it under this section. The board shall cause the64401
money to be deposited in a fund created pursuant to division (F)64402
of section 5705.09 of the Revised Code which shall be known as the 64403
"community mental retardation and developmental disabilities64404
residential services and supported living fund." The fund shall64405
consist of this money and any other money for residential services 64406
or supported living that the board causes to be deposited in the 64407
fund. A county board is not required to use any other money for 64408
residential services or supported living. A county board may 64409
establish a reserve balance account within this fund pursuant to 64410
division (C)(2) of section 5705.28 of the Revised Code.64411

       (E) The department of mental retardation and developmental64412
disabilities may adopt rules under Chapter 119. of the Revised64413
Code establishing procedures for an annual reconciliation of state 64414
funds that have been deposited in the reserve balance account. The 64415
rules may provide for the return of state funds to the appropriate 64416
department account when the funds have been unexpended for a 64417
period of two years.64418

       (F) A county board may use up to ten per cent of the amount 64419
distributed to it under this section for the administrative costs 64420
of developing, arranging, and contracting for supported living and 64421
for costs of staff training and support. Annually, each county 64422
board shall report to the department all revenue and expenditures 64423
pertaining to supported living. The report shall be made in 64424
conjunction with the annual report of expenditures submitted 64425
pursuant to section 5126.12 of the Revised Code. The report shall 64426
list the names of the individuals served, the total number of 64427
individuals served on a monthly basis in the preceding calendar 64428
year, the types of services provided, the total cost of the 64429
services, and the sources of revenue used to cover the cost.64430

       Sec. 5139.01.  (A) As used in this chapter:64431

       (1) "Commitment" means the transfer of the physical custody64432
of a child or youth from the court to the department of youth64433
services.64434

       (2) "Permanent commitment" means a commitment that vests64435
legal custody of a child in the department of youth services.64436

       (3) "Legal custody," insofar as it pertains to the status64437
that is created when a child is permanently committed to the64438
department of youth services, means a legal status in which the64439
department has the following rights and responsibilities: the64440
right to have physical possession of the child; the right and duty64441
to train, protect, and control the child; the responsibility to64442
provide the child with food, clothing, shelter, education, and64443
medical care; and the right to determine where and with whom the64444
child shall live, subject to the minimum periods of, or periods64445
of, institutional care prescribed in sections 2152.13 to 2152.1864446
of the Revised Code; provided, that these rights and64447
responsibilities are exercised subject to the powers, rights,64448
duties, and responsibilities of the guardian of the person of the64449
child, and subject to any residual parental rights and64450
responsibilities.64451

       (4) Unless the context requires a different meaning,64452
"institution" means a state facility that is created by the64453
general assembly and that is under the management and control of64454
the department of youth services or a private entity with which64455
the department has contracted for the institutional care and64456
custody of felony delinquents.64457

       (5) "Full-time care" means care for twenty-four hours a day64458
for over a period of at least two consecutive weeks.64459

       (6) "Placement" means the conditional release of a child64460
under the terms and conditions that are specified by the64461
department of youth services. The department shall retain legal64462
custody of a child released pursuant to division (C) of section64463
2152.22 of the Revised Code or division (C) of section 5139.06 of64464
the Revised Code until the time that it discharges the child or64465
until the legal custody is terminated as otherwise provided by64466
law.64467

       (7) "Home placement" means the placement of a child in the64468
home of the child's parent or parents or in the home of the64469
guardian of the child's person.64470

       (8) "Discharge" means that the department of youth services'64471
legal custody of a child is terminated.64472

       (9) "Release" means the termination of a child's stay in an64473
institution and the subsequent period during which the child64474
returns to the community under the terms and conditions of64475
supervised release.64476

       (10) "Delinquent child" has the same meaning as in section64477
2152.02 of the Revised Code.64478

       (11) "Felony delinquent" means any child who is at least64479
twelveten years of age but less than eighteen years of age and 64480
who is adjudicated a delinquent child for having committed an act64481
that if committed by an adult would be a felony. "Felony64482
delinquent" includes any adult who is between the ages of eighteen 64483
and twenty-one and who is in the legal custody of the department 64484
of youth services for having committed an act that if committed by 64485
an adult would be a felony.64486

       (12) "Juvenile traffic offender" has the same meaning as in64487
section 2152.02 of the Revised Code.64488

       (13) "Public safety beds" means all of the following:64489

       (a) Felony delinquents who have been committed to the64490
department of youth services for the commission of an act, other64491
than a violation of section 2911.01 or 2911.11 of the Revised64492
Code, that is a category one offense or a category two offense and64493
who are in the care and custody of an institution or have been64494
diverted from care and custody in an institution and placed in a64495
community corrections facility;64496

       (b) Felony delinquents who, while committed to the department 64497
of youth services and in the care and custody of an institution or 64498
a community corrections facility, are adjudicated delinquent 64499
children for having committed in that institution or community 64500
corrections facility an act that if committed by an adult would be 64501
a misdemeanor or a felony;64502

       (c) Children who satisfy all of the following:64503

       (i) They are at least twelveten years of age but less than64504
eighteen years of age.64505

       (ii) They are adjudicated delinquent children for having64506
committed acts that if committed by an adult would be a felony.64507

       (iii) They are committed to the department of youth services64508
by the juvenile court of a county that has had one-tenth of one64509
per cent or less of the statewide adjudications for felony64510
delinquents as averaged for the past four fiscal years.64511

       (iv) They are in the care and custody of an institution or a64512
community corrections facility.64513

       (d) Felony delinquents who, while committed to the department 64514
of youth services and in the care and custody of an institution, 64515
commit in that institution an act that if committed by an adult 64516
would be a felony, who are serving disciplinary time for having64517
committed thatan act described in division (A)(19)(a), (b), or 64518
(c) of this section, and who have been institutionalized or 64519
institutionalized in a secure facility for the minimum period of 64520
time specified in divisions (A)(1)(b) to (e) of section 2152.16 of 64521
the Revised Code.64522

       (e) Felony delinquents who are subject to and serving a64523
three-year period of commitment order imposed by a juvenile court64524
pursuant to divisions (A) and (B) of section 2152.17 of the64525
Revised Code for an act, other than a violation of section 2911.1164526
of the Revised Code, that would be a category one offense or64527
category two offense if committed by an adult.64528

       (f) Felony delinquents who are described in divisions64529
(A)(13)(a) to (e) of this section, who have been granted a64530
judicial release to court supervision under division (B) of64531
section 2152.22 of the Revised Code or a judicial release to the64532
department of youth services supervision under division (C) of64533
that section from the commitment to the department of youth64534
services for the act described in divisions (A)(13)(a) to (e) of64535
this section, who have violated the terms and conditions of that64536
release, and who, pursuant to an order of the court of the county64537
in which the particular felony delinquent was placed on release64538
that is issued pursuant to division (D) of section 2152.22 of the64539
Revised Code, have been returned to the department for64540
institutionalization or institutionalization in a secure facility.64541

       (g) Felony delinquents who have been committed to the custody 64542
of the department of youth services, who have been granted64543
supervised release from the commitment pursuant to section 5139.5164544
of the Revised Code, who have violated the terms and conditions of64545
that supervised release, and who, pursuant to an order of the64546
court of the county in which the particular child was placed on64547
supervised release issued pursuant to division (F) of section64548
5139.52 of the Revised Code, have had the supervised release64549
revoked and have been returned to the department for64550
institutionalization. A felony delinquent described in this64551
division shall be a public safety bed only for the time during64552
which the felony delinquent is institutionalized as a result of64553
the revocation subsequent to the initial thirty-day period of64554
institutionalization required by division (F) of section 5139.5264555
of the Revised Code.64556

       (14) "State target youth" means twenty-five per cent of the64557
projected total number of felony delinquents for each year of a64558
biennium, factoring in revocations and recommitments.64559

       (15) Unless the context requires a different meaning,64560
"community corrections facility" means a county or multicounty64561
rehabilitation center for felony delinquents who have been64562
committed to the department of youth services and diverted from64563
care and custody in an institution and placed in the64564
rehabilitation center pursuant to division (E) of section 5139.3664565
of the Revised Code.64566

       (16)(15) "Secure facility" means any facility that is 64567
designed and operated to ensure that all of its entrances and 64568
exits are under the exclusive control of its staff and to ensure 64569
that, because of that exclusive control, no child who has been64570
institutionalized in the facility may leave the facility without64571
permission or supervision.64572

       (17)(16) "Community residential program" means a program that64573
satisfies both of the following:64574

       (a) It is housed in a building or other structure that has no 64575
associated major restraining construction, including, but not64576
limited to, a security fence.64577

       (b) It provides twenty-four-hour care, supervision, and64578
programs for felony delinquents who are in residence.64579

       (18)(17) "Category one offense" and "category two offense" 64580
have the same meanings as in section 2151.26 of the Revised Code.64581

       (19)(18) "Disciplinary time" means additional time that the64582
department of youth services requires a felony delinquent to serve64583
in an institution, that delays the person's or felony delinquent's64584
planned release, and that the department imposes upon the person64585
or felony delinquent following the conduct of an internal due64586
process hearing for having committed any of the following acts64587
while committed to the department and in the care and custody of64588
an institution:64589

       (a) An act that if committed by an adult would be a felony;64590

       (b) An act that if committed by an adult would be a64591
misdemeanor;64592

       (c) An act that is not described in division (A)(19)(18)(a)64593
or (b) of this section and that violates an institutional rule of64594
conduct of the department.64595

       (20)(19) "Unruly child" has the same meaning as in section64596
2151.022 of the Revised Code.64597

       (21)(20) "Revocation" means the act of revoking a child's64598
supervised release for a violation of a term or condition of the64599
child's supervised release in accordance with section 5139.52 of64600
the Revised Code.64601

       (22)(21) "Release authority" means the release authority of 64602
the department of youth services that is established by section64603
5139.50 of the Revised Code.64604

       (23)(22) "Supervised release" means the event of the release 64605
of a child under this chapter from an institution and the period64606
after that release during which the child is supervised and64607
assisted by an employee of the department of youth services under64608
specific terms and conditions for reintegration of the child into64609
the community.64610

       (24)(23) "Victim" means the person identified in a police64611
report, complaint, or information as the victim of an act that64612
would have been a criminal offense if committed by an adult and64613
that provided the basis for adjudication proceedings resulting in64614
a child's commitment to the legal custody of the department of64615
youth services.64616

       (25)(24) "Victim's representative" means a member of the64617
victim's family or another person whom the victim or another64618
authorized person designates in writing, pursuant to section64619
5139.56 of the Revised Code, to represent the victim with respect64620
to proceedings of the release authority of the department of youth64621
services and with respect to other matters specified in that64622
section.64623

       (26)(25) "Member of the victim's family" means a spouse,64624
child, stepchild, sibling, parent, stepparent, grandparent, other64625
relative, or legal guardian of a child but does not include a64626
person charged with, convicted of, or adjudicated a delinquent64627
child for committing a criminal or delinquent act against the64628
victim or another criminal or delinquent act arising out of the64629
same conduct, criminal or delinquent episode, or plan as the64630
criminal or delinquent act committed against the victim.64631

       (27)(26) "Judicial release to court supervision" means a 64632
release of a child from institutional care or institutional care 64633
in a secure facility that is granted by a court pursuant to 64634
division (B) of section 2152.22 of the Revised Code during the64635
period specified in that division.64636

       (28)(27) "Judicial release to department of youth services64637
supervision" means a release of a child from institutional care or64638
institutional care in a secure facility that is granted by a court64639
pursuant to division (C) of section 2152.22 of the Revised Code64640
during the period specified in that division.64641

       (29)(28) "Juvenile justice system" includes all of the 64642
functions of the juvenile courts, the department of youth 64643
services, any public or private agency whose purposes include the 64644
prevention of delinquency or the diversion, adjudication, 64645
detention, or rehabilitation of delinquent children, and any of 64646
the functions of the criminal justice system that are applicable 64647
to children.64648

       (30)(29) "Metropolitan county criminal justice services 64649
agency" means an agency that is established pursuant to division 64650
(A) of section 181.54 of the Revised Code.64651

       (31)(30) "Administrative planning district" means a district 64652
that is established pursuant to division (A) or (B) of section 64653
181.56 of the Revised Code.64654

       (32)(31) "Criminal justice coordinating council" means a 64655
criminal justice services agency that is established pursuant to 64656
division (D) of section 181.56 of the Revised Code.64657

       (33)(32) "Comprehensive plan" means a document that64658
coordinates, evaluates, and otherwise assists, on an annual or64659
multi-year basis, all of the functions of the juvenile justice64660
systems of the state or a specified area of the state, that64661
conforms to the priorities of the state with respect to juvenile 64662
justice systems, and that conforms with the requirements of all 64663
federal criminal justice acts. These functions include, but are 64664
not limited to, all of the following:64665

       (a) Delinquency;64666

       (b) Identification, detection, apprehension, and detention of 64667
persons charged with delinquent acts;64668

       (c) Assistance to crime victims or witnesses, except that the 64669
comprehensive plan does not include the functions of the attorney 64670
general pursuant to sections 109.91 and 109.92 of the Revised 64671
Code;64672

       (d) Adjudication or diversion of persons charged with64673
delinquent acts;64674

       (e) Custodial treatment of delinquent children;64675

       (f) Institutional and noninstitutional rehabilitation of64676
delinquent children.64677

       (B) There is hereby created the department of youth services. 64678
The governor shall appoint the director of the department with the 64679
advice and consent of the senate. The director shall hold office 64680
during the term of the appointing governor but subject to removal 64681
at the pleasure of the governor. Except as otherwise authorized in 64682
section 108.05 of the Revised Code, the director shall devote the 64683
director's entire time to the duties of the director's office and 64684
shall hold no other office or position of trust or profit during 64685
the director's term of office.64686

       The director is the chief executive and administrative64687
officer of the department and has all the powers of a department64688
head set forth in Chapter 121. of the Revised Code. The director64689
may adopt rules for the government of the department, the conduct64690
of its officers and employees, the performance of its business,64691
and the custody, use, and preservation of the department's64692
records, papers, books, documents, and property. The director64693
shall be an appointing authority within the meaning of Chapter64694
124. of the Revised Code. Whenever this or any other chapter or64695
section of the Revised Code imposes a duty on or requires an64696
action of the department, the duty or action shall be performed by64697
the director or, upon the director's order, in the name of the64698
department.64699

       Sec. 5139.04.  The department of youth services shall do all64700
of the following:64701

       (A) Support service districts through a central64702
administrative office that shall have as its administrative head a64703
deputy director who shall be appointed by the director of the64704
department. When a vacancy occurs in the office of that deputy64705
director, an assistant deputy director shall act as that deputy64706
director until the vacancy is filled. The position of deputy64707
director and assistant deputy director described in this division64708
shall be in the unclassified civil service of the state.64709

       (B) Receive custody of all children committed to it under64710
Chapter 2152. of the Revised Code, cause a study to be made of64711
those children, and issue any orders, as it considers best suited64712
to the needs of any of those children and the interest of the64713
public, for the treatment of each of those children;64714

       (C) Obtain personnel necessary for the performance of its64715
duties;64716

       (D) Train or provide for training of probation and youth64717
correction workers;64718

       (E) Adopt rules that regulate its organization and operation, 64719
that implement sections 5139.34 and 5139.41 to 5139.455139.43 of 64720
the Revised Code, and that pertain to the administration of other 64721
sections of this chapter;64722

       (F)(E) Submit reports of its operations to the governor and64723
the general assembly by the thirty-first day of January of each64724
odd-numbered year;64725

       (G)(F) Conduct a program of research in diagnosis, training,64726
and treatment of delinquent children to evaluate the effectiveness64727
of the department's services and to develop more adequate methods;64728

       (H) Receive reports from the juvenile courts under division64729
(C)(3)(b) of section 5139.43 of the Revised Code and prepare an64730
annual report of state juvenile court statistics and information64731
based upon those reports. The department shall make available a64732
copy of the annual report to the governor and members of the64733
general assembly upon request.64734

       (I)(G) Develop a standard form for the disposition64735
investigation report that a juvenile court is required pursuant to64736
section 2152.18 of the Revised Code to complete and provide to the 64737
department when the court commits a child to the legal custody of 64738
the department;64739

       (J)(H) Do all other acts necessary or desirable to carry out64740
this chapter.64741

       Sec. 5139.33.  (A) The department of youth services shall64742
make grants in accordance with this section to encourage counties64743
to use community-based programs and services for juveniles who are 64744
adjudicated delinquent children for the commission of acts that 64745
would be felonies if committed by an adult.64746

       (B) Each county seeking a grant under this section shall file 64747
an application with the department of youth services. The64748
application shall be filed at the time and in accordance with64749
procedures established by the department in rules adopted under64750
this section. Each application shall be accompanied by a plan64751
designed to reduce the county's commitment percentage, or to64752
enable it to maintain or attain a commitment percentage that is64753
equal to or below the statewide average commitment percentage. A64754
county's commitment percentage is the percentage determined by64755
dividing the number of juveniles the county committed to the64756
department during the year by the number of juveniles who were64757
eligible to be committed. The statewide average commitment64758
percentage is the percentage determined by dividing the number of64759
juveniles in the state committed to the department during the year 64760
by the number of juveniles who were eligible to be committed. 64761
These percentages shall be determined by the department using the 64762
most reliable data available to it.64763

       Each plan shall include a method of ensuring equal access for 64764
minority youth to the programs and services for which the grant 64765
will be used.64766

       The department shall review each application and plan to64767
ensure that the requirements of this division are satisfied. Any64768
county applying for a grant under this section that received a64769
grant under this section during the preceding year and that failed 64770
to meet its commitment goals for that year shall make the changes 64771
in its plan that the department requires in order to continue to 64772
be eligible for grants under this section.64773

       (C) Subject to division (E) of this section, the amounts64774
appropriated for the purpose of making grants under this section64775
shall be distributed annually on a per capita basis among the64776
counties that have complied with division (B) of this section.64777

       (D) The department shall adopt rules to implement this64778
section. The rules shall include, but are not limited to,64779
procedures and schedules for submitting applications and plans64780
under this section, including procedures allowing joint-county64781
applications and plans; and procedures for monitoring and64782
evaluating the effectiveness of the programs and services financed 64783
with grant money, the enhancement of the use of local facilities 64784
and services, and the adequacy of the supervision and treatment 64785
provided to juveniles by those programs and services.64786

       (E)(1) Three months prior to the implementation of the felony64787
delinquent care and custody program described in section 5139.4364788
of the Revised Code, each county that is entitled to a grant under 64789
this section shall receive its grant money for the fiscal year or 64790
the remainder of its grant money for the fiscal year, other than 64791
any grant money to which it is entitled and that is set aside by 64792
the department of youth services for purposes of division (E)(2) 64793
of this section. The grant money so distributed shall be paid in a 64794
lump sum.64795

       (2) During the first twelve months that the felony delinquent 64796
care and custody program described in section 5139.43 of the 64797
Revised Code is implemented in a county, any grant or the64798
remainder of any grant to which a county is entitled and that is64799
payable from the appropriation made to the department of youth64800
services for community sanctions shall be distributed as follows:64801

       (a) In the first quarter of the twelve-month period, the64802
county shall receive one hundred per cent of the quarterly64803
distribution.64804

       (b) In the second quarter of the twelve-month period, the64805
county shall receive seventy-five per cent of the quarterly64806
distribution.64807

       (c) In the third quarter of the twelve-month period, the64808
county shall receive fifty per cent of the quarterly distribution.64809

       (d) In the fourth quarter of the twelve-month period, the64810
county shall receive twenty-five per cent of the quarterly64811
distribution.64812

       (3) Grant moneys received pursuant to divisions (E)(1) and64813
(2) of this section shall be transmitted by the juvenile court of64814
the recipient county to the county treasurer, shall be deposited64815
by the county treasurer into the felony delinquent care and64816
custody fund created pursuant to division (C)(B)(1) of section64817
5139.43 of the Revised Code, and shall be used by the juvenile64818
court in accordance with division (C)(B)(2) of that section. The64819
grant moneys shall be in addition to, and shall not be used to64820
reduce, any usual annual increase in county funding that the64821
juvenile court is eligible to receive or the current level of64822
county funding of the juvenile court and of any programs or64823
services for delinquent children, unruly children, or juvenile64824
traffic offenders.64825

       (4) One year after the commencement of its operation of the 64826
felony delinquent care and custody program described in section 64827
5139.43 of the Revised Code, the department shall not make any 64828
further grants under this section.64829

       Sec. 5139.34.  (A) Funds may be appropriated to the64830
department of youth services for the purpose of granting state64831
subsidies to counties. A county or the juvenile court that serves 64832
a county shall use state subsidies granted to the county pursuant 64833
to this section only in accordance with divisions (C)(B)(2)(a) and64834
(3)(a) of section 5139.43 of the Revised Code and the rules 64835
pertaining to the state subsidy funds that the department adopts 64836
pursuant to division (E)(D) of section 5139.04 of the Revised 64837
Code. The department shall not grant financial assistance pursuant 64838
to this section for the provision of care and services for 64839
children in a foster careplacement facility unless the facility 64840
has been certified, licensed, or approved by a state or national64841
agency with certification, licensure, or approval authority, 64842
including, but not limited to, the department of job and family 64843
services, department of education, department of mental health, or64844
department of mental retardation and developmental disabilities, 64845
or American Correctional Association. For the purposes of this 64846
section, foster careplacement facilities do not include a state 64847
institution or a county or district children's home.64848

       The department also shall not grant financial assistance64849
pursuant to this section for the provision of care and services64850
for children, including, but not limited to, care and services in 64851
a detention facility, in another facility, or in out-of-home64852
placement, unless the minimum standards applicable to the care and 64853
services that the department prescribes in rules adopted pursuant 64854
to division (E)(D) of section 5139.04 of the Revised Code have 64855
been satisfied.64856

       (B) The department of youth services shall apply the64857
following formula to determine the amount of the annual grant that 64858
each county is to receive pursuant to division (A) of this 64859
section, subject to the appropriation for this purpose to the64860
department made by the general assembly:64861

       (1) Each county shall receive a basic annual grant of fifty 64862
thousand dollars.64863

       (2) The sum of the basic annual grants provided under64864
division (B)(1) of this section shall be subtracted from the total 64865
amount of funds appropriated to the department of youth services 64866
for the purpose of making grants pursuant to division (A) of this 64867
section to determine the remaining portion of the funds 64868
appropriated. The remaining portion of the funds appropriated64869
shall be distributed on a per capita basis to each county that has 64870
a population of more than twenty-five thousand for that portion of 64871
the population of the county that exceeds twenty-five thousand.64872

       (C)(1) Prior to a county's receipt of an annual grant 64873
pursuant to this section, the juvenile court that serves the 64874
county shall prepare, submit, and file in accordance with division 64875
(C)(B)(3)(a) of section 5139.43 of the Revised Code an annual 64876
grant agreement and application for funding that is for the 64877
combined purposes of, and that satisfies the requirements of, this 64878
section and section 5139.43 of the Revised Code. In addition to 64879
the subject matters described in division (C)(B)(3)(a) of section 64880
5139.43 of the Revised Code or in the rules that the department 64881
adopts to implement that division, the annual grant agreement and 64882
application for funding shall address fiscal accountability and 64883
performance matters pertaining to the programs, care, and services 64884
that are specified in the agreement and application and for which 64885
state subsidy funds granted pursuant to this section will be used.64886

       (2) The county treasurer of each county that receives an 64887
annual grant pursuant to this section shall deposit the state64888
subsidy funds so received into the county's felony delinquent care 64889
and custody fund created pursuant to division (C)(B)(1) of section 64890
5139.43 of the Revised Code. Subject to exceptions prescribed in 64891
section 5139.43 of the Revised Code that may apply to the64892
disbursement, the department shall disburse the state subsidy64893
funds to which each county is entitled as follows:64894

       (a) Except as provided in division (C)(2)(b) of this section, 64895
the department shall disburse the state subsidy funds to which a 64896
county is entitled in a lump sum payment that shall be made in 64897
July of each calendar year.64898

       (b) In the case of state subsidy funds to which a county is 64899
entitled for fiscal year 1998, the department shall disburse the 64900
state subsidy funds to the county in two distinct payments in 64901
accordance with this division. The department shall disburse64902
seventy-five per cent of those state subsidy funds to the county64903
in July 1997. After the department reviews and reconciles the 64904
applicable reports that the juvenile court of the county is 64905
required to prepare and submit to the department pursuant to 64906
section 5139.43 of the Revised Code, the department shall disburse 64907
to the county in October 1997, the remainder of the state subsidy 64908
funds to which the county is entitled.64909

       (3) Upon an order of the juvenile court that serves a county 64910
and subject to appropriation by the board of county commissioners 64911
of that county, a county treasurer shall disburse from the 64912
county's felony delinquent care and custody fund the state subsidy 64913
funds granted to the county pursuant to this section for use only 64914
in accordance with this section, the applicable provisions of 64915
section 5139.43 of the Revised Code, and the county's approved 64916
annual grant agreement and application for funding.64917

       (4) The moneys in a county's felony delinquent care and 64918
custody fund that represent state subsidy funds granted pursuant 64919
to this section are subject to appropriation by the board of 64920
county commissioners of the county; shall be disbursed by the 64921
county treasurer as required by division (C)(3) of this section; 64922
shall be used in the manners referred to in division (C)(3) of 64923
this section; shall not revert to the county general fund at the 64924
end of any fiscal year; shall carry over in the felony delinquent 64925
care and custody fund from the end of any fiscal year to the next 64926
fiscal year; shall be in addition to, and shall not be used to 64927
reduce, any usual annual increase in county funding that the 64928
juvenile court is eligible to receive or the current level of 64929
county funding of the juvenile court and of any programs, care, or 64930
services for alleged or adjudicated delinquent children, unruly 64931
children, or juvenile traffic offenders or for children who are at 64932
risk of becoming delinquent children, unruly children, or juvenile 64933
traffic offenders; and shall not be used to pay for the care and 64934
custody of felony deliquents who are in the care and custody of an 64935
institution pursuant to a commitment, recommitment, or revocation 64936
of a release on parole by the juvenile court of that county or who64937
are in the care and custody of a community corrections facility64938
pursuant to a placement by the department with the consent of the 64939
juvenile court as described in division (E) of section 5139.36 of 64940
the Revised Code.64941

       (5) As a condition of the continued receipt of state subsidy 64942
funds pursuant to this section, each county and the juvenile court 64943
that serves each county that receives an annual grant pursuant to 64944
this section shall comply with divisions (C)(B)(3)(b), (c), and 64945
(d) of section 5139.43 of the Revised Code.64946

       Sec. 5139.36.  (A) In accordance with this section and the64947
rules adopted under it and from funds appropriated to the64948
department of youth services for the purposes of this section, the 64949
department shall make grants that provide financial resources to 64950
operate community corrections facilities for felony delinquents.64951

       (B)(1) Each community corrections facility that intends to64952
seek a grant under this section shall file an application with the 64953
department of youth services at the time and in accordance with 64954
the procedures that the department shall establish by rules64955
adopted in accordance with Chapter 119. of the Revised Code. In64956
addition to other items required to be included in the64957
application, a plan that satisfies both of the following shall be64958
included:64959

       (a) It reduces the number of felony delinquents committed to 64960
the department from the county or counties associated with the64961
community corrections facility.64962

       (b) It ensures equal access for minority felony delinquents 64963
to the programs and services for which a potential grant would be 64964
used.64965

       (2) The department of youth services shall review each64966
application submitted pursuant to division (B)(1) of this section64967
to determine whether the plan described in that division, the64968
community corrections facility, and the application comply with64969
this section and the rules adopted under it.64970

       (C) To be eligible for a grant under this section and for64971
continued receipt of moneys comprising a grant under this section, 64972
a community corrections facility shall satisfy at least all of the 64973
following requirements:64974

       (1) Be constructed, reconstructed, improved, or financed by 64975
the Ohio building authority pursuant to section 307.021 of the64976
Revised Code and Chapter 152. of the Revised Code for the use of64977
the department of youth services and be designated as a community64978
corrections facility;64979

       (2) Have written standardized criteria governing the types of 64980
felony delinquents that are eligible for the programs and services 64981
provided by the facility;64982

       (3) Have a written standardized intake screening process and 64983
an intake committee that at least performs both of the following 64984
tasks:64985

       (a) Screens all eligible felony delinquents who are being64986
considered for admission to the facility in lieu of commitment to64987
the department;64988

       (b) Notifies, within ten days after the date of the referral 64989
of a felony delinquent to the facility, the committing court 64990
whether the felony delinquent will be admitted to the facility.64991

       (4) Comply with all applicable fiscal and program rules that 64992
the department adopts in accordance with Chapter 119. of the64993
Revised Code and demonstrate that felony delinquents served by the 64994
facility have been or will be diverted from a commitment to the 64995
department.64996

       (D) The department of youth services shall determine the64997
method of distribution of the funds appropriated for grants under64998
this section to community corrections facilities.64999

       (E) With the consent of a committing court and of a community 65000
corrections facility that has received a grant under this section, 65001
the department of youth services may place in that facility a 65002
felony delinquent who has been committed to the department. During 65003
the period in which the felony delinquent is in that facility, the 65004
felony delinquent(1) The department of youth services shall adopt 65005
rules in accordance with Chapter 119. of the Revised Code to 65006
establish the minimum occupancy threshold of community corrections 65007
facilities.65008

        (2) The department may make referrals for the placement of 65009
children in its custody to a community corrections facility if the 65010
community corrections facility is not meeting the minimum 65011
occupancy threshold established by the department. At least 65012
forty-five days prior to the referral of a child, the department 65013
shall notify the committing court of its intent to place the child 65014
in a community corrections facility. The court shall have thirty 65015
days after the receipt of the notice to approve or disapprove the 65016
placement. If the court does not respond to the notice of the 65017
placement within that thirty-day period, the department shall 65018
proceed with the placement and debit the county in accordance with 65019
sections 5139.41 to 5139.43 of the Revised Code. A child placed in 65020
a community corrections facility pursuant to this division shall65021
remain in the legal custody of the department of youth services 65022
during the period in which the child is in the community 65023
corrections facility.65024

        (3) Counties that are not associated with a community 65025
corrections facility may refer children to a community corrections 65026
facility with the consent of the facility. The department of youth 65027
services shall debit the county that makes the referral in 65028
accordance with sections 5139.41 to 5139.43 of the Revised Code.65029

       (F) If the board or other governing body of a community65030
corrections facility establishes an advisory board, the board or 65031
other governing authority of the community corrections facility 65032
shall reimburse the members of the advisory board for their actual 65033
and necessary expenses incurred in the performance of their 65034
official duties on the advisory board. The members of advisory 65035
boards shall serve without compensation.65036

       Sec. 5139.41. On and after January 1, 1995, theThe65037
appropriation made to the department of youth services for care65038
and custody of felony delinquents shall be expended in accordance65039
with a formulathe following procedure that the department shall 65040
developuse for each year of a biennium. The formulaprocedure65041
shall be consistent with sections 5139.41 to 5139.455139.43 of 65042
the Revised Code and shall be developed in accordance with the 65043
following guidelines:65044

       (A) The department shall set aside at least three per cent65045
but not more than five per cent of the appropriation for purposes65046
of funding the contingency program described in section 5139.45 of65047
the Revised Code and of use in accordance with that section.65048

       (B)(1) After setting aside the amount described in division65049
(A) of this section, the department shall set aside twenty-five65050
per cent of the remainder of the appropriation and use that amount65051
for the purpose described in division (B)(2) of this section and65052
to pay certain of the operational costs associated with, and to65053
provide cash flow for, the following:65054

       (a) Institutions;65055

       (b) The diagnosis, care, or treatment of felony delinquents65056
at institutions, facilities, or centers pursuant to contracts65057
entered into under section 5139.08 of the Revised Code;65058

       (c) Community corrections facilities constructed,65059
reconstructed, improved, or financed as described in section65060
5139.36 of the Revised Code for the purpose of providing65061
alternative placement and services for felony delinquents who have65062
been diverted from care and custody in institutions.65063

       (2) The department may use a portion of the twenty-five per65064
cent of the remainder of the appropriation set aside pursuant to65065
division (B)(1) of this section for administrative expenses65066
incurred by the department in connection with the felony65067
delinquent care and custody program described in section 5139.4365068
of the Revised Code and the associated contingency program65069
described in section 5139.45 of the Revised Code.65070

       (C) After setting aside the amounts described in divisions65071
(A) and (B)(1) of this section, the department shall set aside the65072
amount of the appropriation that is equal to twenty-five per cent65073
of the amount that is calculated by multiplying the per diem cost65074
for the care and custody of felony delinquents, as determined65075
pursuant to division (D) of section 5139.42 of the Revised Code,65076
by the number of bed days that the department projects for65077
occupancy in community corrections facilities described in65078
division (B)(1)(c) of this section. The department shall use the65079
amount of the appropriation that is set aside pursuant to this65080
division to pay the percentage of the per diem cost for the care65081
and custody of felony delinquents who are in the care and custody65082
of community corrections facilities described in division65083
(B)(1)(c) of this section for which the department is responsible65084
under sections 5139.41 to 5139.45 of the Revised Code.65085

       (D) After setting aside the amounts described in divisions65086
(A) to (C) of this section, the department shall set aside the65087
amount of the appropriation that is necessary to pay seventy-five65088
per cent of the per diem cost of public safety beds and shall use65089
that amount for the purpose of paying that per diem cost.65090

       (E) After setting aside the amounts described in divisions65091
(A) to (D) of this section, the department shall use the remainder65092
of the appropriation in connection with the felony delinquent care65093
and custody program described in section 5139.43 of the Revised65094
Code, except that, for fiscal year 2002 and fiscal year 2003 and65095
only for those two fiscal years, the total number of beds65096
available to all counties via public safety beds and county65097
allocations shall not be less than the total beds used by all the65098
counties during fiscal year 2000 funded by care and custody65099
chargebacks (Line Item 401) and as public safety beds.65100

       (F) If the department's appropriation for a fiscal year is 65101
subsequently revised by law or its expenditures ordered to be 65102
reduced by executive order under section 126.05 of the Revised 65103
Code, the department may adjust the amounts described in divisions 65104
(A) to (E) of this section in a manner consistent with the 65105
revision or reduction.The line item appropriation for the care 65106
and custody of felony delinquents shall provide funding for 65107
operational costs for the following:65108

       (1) Institutions and the diagnosis, care, or treatment of 65109
felony delinquents at facilities pursuant to contracts entered 65110
into under section 5139.08 of the Revised Code;65111

       (2) Community corrections facilities constructed, 65112
reconstructed, improved, or financed as described in section 65113
5139.36 of the Revised Code for the purpose of providing 65114
alternative placement and services for felony delinquents who have 65115
been diverted from care and custody in institutions;65116

       (3) County juvenile courts that administer programs and 65117
services for prevention, early intervention, diversion, treatment, 65118
and rehabilitation services and programs that are provided for 65119
alleged or adjudicated unruly or delinquent children or for 65120
children who are at risk of becoming unruly or delinquent 65121
children; 65122

       (4) Administrative expenses the department incurs in 65123
connection with the felony delinquent care and custody programs 65124
described in section 5139.43 of the Revised Code. 65125

       (B) From the appropriated line item for the care and custody 65126
of felony delinquents, the department, with the advice of the 65127
RECLAIM advisory committee established under section 5139.44 of 65128
the Revised Code, shall allocate annual operational funds for 65129
county juvenile programs, institutional care and custody, 65130
community corrections facilities care and custody, and 65131
administrative expenses incurred by the department associated with 65132
felony delinquent care and custody programs. The department, with 65133
the advice of the RECLAIM advisory committee, shall adjust these 65134
allocations, when modifications to this line item are made by 65135
legislative or executive action.65136

       (C) The department shall divide county juvenile program 65137
allocations among county juvenile courts that administer programs 65138
and services for prevention, early intervention, diversion, 65139
treatment, and rehabilitation that are provided for alleged or 65140
adjudicated unruly or delinquent children or for children who are 65141
at risk of becoming unruly or delinquent children. The department 65142
shall base funding on the county's previous year's ratio of the 65143
department's institutional and community correctional facilities 65144
commitments to that county's four year average of felony 65145
adjudications, divided by statewide ratios of commitments to 65146
felony adjudications, as specified in the following formula:65147

       (1) The department shall give to each county a proportional 65148
allocation of commitment credits. The proportional allocation of 65149
commitment credits shall be calculated by the following 65150
procedures:65151

       (a) The department shall determine for each county and for 65152
the state a four year average of felony adjudications.65153

       (b) The department shall determine for each county and for 65154
the state the number of charged bed days, for both the department 65155
and community correctional facilities, from the previous year.65156

       (c) The department shall divide the statewide total number of 65157
charged bed days by the statewide total number of felony 65158
adjudications, which quotient shall then be multiplied by a factor 65159
determined by the department.65160

       (d) The department shall calculate the county's allocation of 65161
credits by multiplying the number of adjudications for each court 65162
by the result determined pursuant to division (C)(1)(c) of this 65163
section.65164

       (2) The department shall subtract from the allocation 65165
determined pursuant to division (C)(1) of this section a credit 65166
for every chargeable bed day a youth stays in a department 65167
institution and two-thirds of credit for every chargeable bed day 65168
a youth stays in a community correctional facility. At the end of 65169
the year, the department shall divide the amount of remaining 65170
credits of that county's allocation by the total number of 65171
remaining credits to all counties, to determine the county's 65172
percentage, which shall then be applied to the total county 65173
allocation to determine the county's payment for the fiscal year.65174

       (3) The department shall pay counties three times during the 65175
fiscal year to allow for credit reporting and audit adjustments, 65176
and modifications to the appropriated line item for the care and 65177
custody of felony delinquents, as described in this section. The 65178
department shall pay fifty per cent of the payment by the 65179
fifteenth of July of each fiscal year, twenty-five per cent by the 65180
fifteenth of January of that fiscal year, and twenty-five per cent 65181
of the payment by the fifteenth of June of that fiscal year.65182

       (D) In fiscal year 2004, the payment of county juvenile 65183
programs shall be based on the following procedure:65184

       (1) The department shall divide the funding earned by each 65185
court in fiscal year 2003 by the aggregate funding of all courts, 65186
resulting in a percentage.65187

       (2) The department shall apply the percentage determined 65188
under division (D)(1) of this section to the total county juvenile 65189
program allocation for fiscal year 2004 to determine each court's 65190
total payment.65191

       (3) The department shall make payments in accordance with the 65192
schedule established in division (C)(3) of this section.65193

       Sec. 5139.43.  (A) The department of youth services shall 65194
operate a felony delinquent care and custody program with the 65195
remainder of the appropriation described in division (E) of 65196
section 5139.41 of the Revised Code. The programthat shall be 65197
operated in accordance with the formula developed pursuant to 65198
sectionssection 5139.41 and 5139.42 of the Revised Code, subject 65199
to the conditions specified in this section, and in conjunction 65200
with the contingency program described in section 5139.45 of the 65201
Revised Code.65202

       (B)(1) The department of youth services annually shall65203
allocate to each county a portion of the remainder of the65204
appropriation described in division (E) of section 5139.41 of the65205
Revised Code. The portion to be allocated to each county shall be 65206
determined by multiplying the county's percentage determined under 65207
division (E) of section 5139.42 of the Revised Code by the amount 65208
of that remainder. The department shall divide the portion to be 65209
allocated to each county by twelve or, if in a particular fiscal65210
year the felony delinquent care and custody program is in effect 65211
in a county less than twelve months, by the number of months the 65212
program is in effect in that county to determine the monthly 65213
allocation to that county.65214

       (2)(a) Except as provided in divisions (B)(2)(b) and (E) of 65215
this section, the department shall reduce the monthly allocation 65216
for each fiscal year to each county as determined under division65217
(B)(1) of this section by both of the following:65218

       (i) Seventy-five per cent of the amount determined by 65219
multiplying the per diem cost for the care and custody of felony 65220
delinquents, as determined pursuant to division (D) of section 65221
5139.42 of the Revised Code, by the number of felony delinquents 65222
who have been adjudicated delinquent children and, except as 65223
otherwise provided in divisions (B)(2)(a) and (3) of this section, 65224
who are in the care and custody of an institution pursuant to a65225
commitment, recommitment, or revocation of a release by the 65226
juvenile court of that county;65227

       (ii) Fifty per cent of the amount determined by multiplying 65228
the per diem cost for the care and custody of felony delinquents, 65229
as determined pursuant to division (D) of section 5139.42 of the 65230
Revised Code, by the number of felony delinquents who have been 65231
adjudicated delinquent children and, except as otherwise provided 65232
in division (B)(3) of this section, who are in the care and 65233
custody of a community corrections facility pursuant to a 65234
placement by the department with the consent of the juvenile court 65235
of that county as described in division (E) of section 5139.36 of 65236
the Revised Code.65237

       Public safety beds shall not be included in the number of 65238
felony delinquents who have been adjudicated delinquent children 65239
by a juvenile court in making the seventy-five per cent reduction 65240
described in division (B)(2)(a)(i) of this section. The department 65241
shall bear the care and custody costs associated with public 65242
safety beds.65243

       (b) If a county has exhausted its current and future monthly 65244
allocations for the current fiscal year as determined under 65245
division (B)(1) of this section, the department shall bear the 65246
remainder of the amounts calculated under divisions (B)(2)(a)(i) 65247
and (ii) of this section for the care and custody of felony65248
delinquents who are in the care and custody of an institution 65249
pursuant to a commitment, recommitment, or revocation of a release 65250
or in the care and custody of a community corrections facility by65251
debiting, in accordance with division (C)(2) of section 5139.45 of 65252
the Revised Code, the amount of the appropriation for care and65253
custody of felony delinquents that was set aside for the 65254
contingency program pursuant to division (A) of section 5139.41 of 65255
the Revised Code.65256

       (3)(a) Subject to divisions (B)(2)(b) and (4) and (C)(3)(b) 65257
and (c) of this section and subject to the special provisions of 65258
division (B)(3)(b) of this section pertaining to monthly65259
allocations under divisions (B)(1) and (2)(a) of this section for 65260
the month of June, after the application of division (B)(2)(a) of 65261
this section and on or before the fifteenth day of the following 65262
month, the department shall disburse to the juvenile court of each 65263
county the remainder of the monthly allocation of that county as 65264
determined pursuant to divisions (B)(1) and (2)(a) of this 65265
section.65266

       (b)(i) For the monthly allocation for the month of June of 65267
each fiscal year, the department shall estimate for each county 65268
the number of felony delinquents described in divisions65269
(B)(2)(a)(i) and (ii) of this section rather than use the actual 65270
number of those felony delinquents, shall use the estimated number 65271
of those felony delinquents in making the seventy-five per cent 65272
and fifty per cent reductions described in those divisions, and 65273
shall encumber the remainder of the estimated monthly allocation 65274
of each county for the month of June, as determined pursuant to 65275
divisions (B)(1), (2)(a), and (3)(b)(i) of this section, for 65276
disbursement in the month of July of the next fiscal year in 65277
accordance with division (B)(3)(b)(ii) of this section. If the 65278
total of the seventy-five per cent and fifty per cent reductions 65279
described in division (B)(2)(a) of this section exceeds the 65280
estimated monthly allocation of a county for the month of June as 65281
so determined, the department may cover the amount of the excess 65282
by debiting, in accordance with division (C)(2) of section 5139.45 65283
of the Revised Code, the amount of the appropriation for care and 65284
custody of felony delinquents that was set aside for the 65285
contingency program pursuant to division (A) of section 5139.41 of 65286
the Revised Code.65287

       (ii) In the month of July of each new fiscal year, the65288
department shall reconcile for each county the estimated 65289
reductions that occurred pursuant to divisions (B)(2)(a) and65290
(3)(b)(i) of this section and the reductions that should have 65291
occurred pursuant to division (B)(2)(a) of this section by using 65292
the actual number of felony delinquents described in divisions 65293
(B)(2)(a)(i) and (ii) of this section for the month of June of the 65294
prior fiscal year. After that reconciliation occurs, subject to 65295
divisions (B)(2)(b) and (4) and (C)(3)(b) and (c) of this section, 65296
the department shall disburse to each county the remainder of its 65297
monthly allocation for the month of June of the prior fiscal year 65298
as adjusted pursuant to the reconciliation and division 65299
(B)(3)(b)(ii) of this section.65300

       In connection with the adjustments in the monthly allocations 65301
for the month of June of the prior fiscal year, if the encumbered 65302
monthly allocations of one or more counties for that month exceed 65303
or are less than the monthly allocations for that month to which 65304
those counties are entitled under divisions (B)(1) and (2)(a) of 65305
this section by using the actual number of felony delinquents 65306
described in divisions (B)(2)(a)(i) and (ii) of this section 65307
rather than the estimated number of those felony delinquents, the65308
department may make the necessary adjustments in the monthly 65309
allocations of those counties for the month of June of the prior 65310
fiscal year within the total of the moneys for monthly allocations 65311
for that month that were encumbered for all of the counties. If 65312
that total amount is insufficient to make the requisite monthly 65313
allocations for that month to all counties in accordance with 65314
divisions (B)(1) and (2)(a) of this section, the department shall 65315
cover the insufficiency by debiting, in accordance with division 65316
(C)(2) of section 5139.45 of the Revised Code, the amount of the 65317
appropriation for care and custody of felony delinquents that was 65318
set aside for the contingency program pursuant to division (A) of 65319
section 5139.41 of the Revised Code.65320

       (4) Notwithstanding the general disbursement requirements of 65321
division (B)(3)(a) and (b)(ii) of this section, if a juvenile 65322
court fails to comply with division (C)(3)(d) of this section and 65323
the department is not able to reconcile fiscal accounting as a 65324
consequence of that failure, the department is not required to 65325
make any disbursement in accordance with division (B)(3)(a) or65326
(b)(ii) of this section to the juvenile court until it complies 65327
with division (C)(3)(d) of this section.65328

       (C)(1) Each juvenile court shall use the moneys disbursed to 65329
it by the department of youth services pursuant to division (B) of 65330
this section 5139.41 of the Revised Code in accordance with the 65331
applicable provisions of division (C)(B)(2) of this section and 65332
shall transmit the moneys to the county treasurer for deposit in 65333
accordance with this division. The county treasurer shall create 65334
in the county treasury a fund that shall be known as the felony 65335
delinquent care and custody fund and shall deposit in that fund 65336
the moneys disbursed to the juvenile court pursuant to division 65337
(B) of this section 5139.41 of the Revised Code. The county 65338
treasurer also shall deposit into that fund the state subsidy 65339
funds granted to the county pursuant to section 5139.34 of the 65340
Revised Code. The moneys disbursed to the juvenile court pursuant 65341
to division (B) of this section 5139.41 of the Revised Code and 65342
deposited pursuant to this division in the felony delinquent care 65343
and custody fund shall not be commingled with any other county 65344
funds except state subsidy funds granted to the county pursuant to 65345
section 5139.34 of the Revised Code; shall not be used for any 65346
capital construction projects; upon an order of the juvenile court 65347
and subject to appropriation by the board of county commissioners, 65348
shall be disbursed to the juvenile court for use in accordance 65349
with the applicable provisions of division (C)(B)(2) of this 65350
section; shall not revert to the county general fund at the end of 65351
any fiscal year; and shall carry over in the felony delinquent 65352
care and custody fund from the end of any fiscal year to the next 65353
fiscal year. The moneys disbursed to the juvenile court pursuant 65354
to division (B) of this section 5139.41 of the Revised Code and 65355
deposited pursuant to this division in the felony delinquent care 65356
and custody fund shall be in addition to, and shall not be used to 65357
reduce, any usual annual increase in county funding that the 65358
juvenile court is eligible to receive or the current level of 65359
county funding of the juvenile court and of any programs or 65360
services for delinquent children, unruly children, or juvenile 65361
traffic offenders.65362

       (2)(a) A county and the juvenile court that serves the county65363
shall use the moneys in its felony delinquent care and custody 65364
fund in accordance with rules that the department of youth 65365
services adopts pursuant to division (E)(D) of section 5139.04 of 65366
the Revised Code and as follows:65367

       (i) The moneys in the fund that represent state subsidy funds65368
granted to the county pursuant to section 5139.34 of the Revised 65369
Code shall be used to aid in the support of prevention, early 65370
intervention, diversion, treatment, and rehabilitation programs 65371
that are provided for alleged or adjudicated unruly children or 65372
delinquent children or for children who are at risk of becoming 65373
unruly children or delinquent children. The county shall not use 65374
for capital improvements more than fifteen per cent of the moneys 65375
in the fund that represent the applicable annual grant of those65376
state subsidy funds.65377

       (ii) The moneys in the fund that were disbursed to the 65378
juvenile court pursuant to division (B) of this section 5139.41 of 65379
the Revised Code and deposited pursuant to division (C)(B)(1) of 65380
this section in the fund shall be used to provide programs and 65381
services for the training, treatment, or rehabilitation of felony 65382
delinquents that are alternatives to their commitment to the 65383
department, including, but not limited to, community residential 65384
programs, day treatment centers, services within the home, and 65385
electronic monitoring, and shall be used in connection with 65386
training, treatment, rehabilitation, early intervention, or other 65387
programs or services for any delinquent child, unruly child, or 65388
juvenile traffic offender who is under the jurisdiction of the 65389
juvenile court. For purposes of division (C)(2)(a)(ii) of this 65390
section, a delinquent child includes a child who is so adjudicated 65391
for the commission of an act that if committed by an adult would 65392
be a misdemeanor or felony.65393

       If, during the previous state fiscal year, the county did not 65394
exceed in any month its monthly allocation as determined pursuant 65395
to division (B)(1) of this section in connection with felony 65396
delinquents described in divisions (B)(2)(a)(i) and (ii) of this 65397
section, the moneys in the fund that were disbursed to the 65398
juvenile court pursuant to division (B) of this section and 65399
deposited pursuant to division (C)(1) of this section in theThe65400
fund also may be used for prevention, early intervention, 65401
diversion, treatment, and rehabilitation programs that are 65402
provided for alleged or adjudicated unruly children, delinquent 65403
children, or juvenile traffic offenders or for children who are at 65404
risk of becoming unruly children, delinquent children, or juvenile 65405
traffic offenders. Consistent with division (C)(B)(1) of this65406
section, a county and the juvenile court of a county shall not use 65407
any of those moneys for capital construction projects.65408

       (iii) The county and the juvenile court that serves the 65409
county may not use moneys in the fund for the provision of care 65410
and services for children, including, but not limited to, care and 65411
services in a detention facility, in another facility, or in 65412
out-of-home placement, unless the minimum standards that apply to 65413
the care and services and that the department prescribes in rules 65414
adopted pursuant to division (E)(D) of section 5139.04 of the65415
Revised Code have been satisfied.65416

       (b) Each juvenile court shall comply with division 65417
(C)(B)(3)(d) of this section as implemented by the department. If 65418
a juvenile court fails to comply with that division and the 65419
department is not able to reconcile fiscal accounting as a 65420
consequence of the failure, the provisions of division (B)(4) of 65421
this section shall apply.65422

       (3) In accordance with rules adopted by the department65423
pursuant to division (E)(D) of section 5139.04 of the Revised65424
Code, each juvenile court and the county served by that juvenile 65425
court shall do all of the following that apply:65426

       (a) The juvenile court shall prepare an annual grant 65427
agreement and application for funding that satisfies the 65428
requirements of this section and section 5139.34 of the Revised 65429
Code and that pertains to the use, upon an order of the juvenile 65430
court and subject to appropriation by the board of county 65431
commissioners, of the moneys in its felony delinquent care and 65432
custody fund for specified programs, care, and services as 65433
described in division (C)(B)(2)(a) of this section, shall submit 65434
that agreement and application to the county family and children 65435
first council, the regional family and children first council, or 65436
the local intersystem services to children cluster as described in65437
sections 121.37 and 121.38 of the Revised Code, whichever is 65438
applicable, and shall file that agreement and application with the65439
department for its approval. The annual grant agreement and 65440
application for funding shall include a method of ensuring equal65441
access for minority youth to the programs, care, and services 65442
specified in it.65443

       The department may approve an annual grant agreement and 65444
application for funding only if the juvenile court involved has 65445
complied with the preparation, submission, and filing requirements 65446
described in division (C)(B)(3)(a) of this section. If the 65447
juvenile court complies with those requirements and the department 65448
approves that agreement and application, the juvenile court and 65449
the county served by the juvenile court may expend the state 65450
subsidy funds granted to the county pursuant to section 5139.34 of 65451
the Revised Code only in accordance with division (C)(B)(2)(a) of 65452
this section, the rules pertaining to state subsidy funds that the 65453
department adopts pursuant to division (E)(D) of section 5139.04 65454
of the Revised Code, and the approved agreement and application.65455

       (b) By the thirty-first day of August of each year, the 65456
juvenile court shall file with the department a report that 65457
contains all of the statistical and other information for each 65458
month of the prior state fiscal year that will permit the 65459
department to prepare the report described in division (D) of this 65460
section and the annual report described in division (H) of section 65461
5139.04 of the Revised Code. If the juvenile court fails to file 65462
the report required by division (C)(B)(3)(b) of this section by 65463
the thirty-first day of August of any year, the department shall 65464
not disburse any payment of state subsidy funds to which the 65465
county otherwise is entitled pursuant to section 5139.34 of the 65466
Revised Code and shall not disburse pursuant to division (B)(3)(a) 65467
or (b)(ii) of this section the remainder of5139.41 of the Revised 65468
Code the applicable monthly allocation of the county until the 65469
juvenile court fully complies with division (C)(B)(3)(b) of this 65470
section.65471

       (c) If the department requires the juvenile court to prepare 65472
monthly statistical reports for use under section 5139.42 of the 65473
Revised Code and to submit the reports on forms provided by the 65474
department, the juvenile court shall file those reports with the65475
department on the forms so provided. If the juvenile court fails 65476
to prepare and submit those monthly statistical reports within the65477
department's timelines, the department shall not disburse any65478
payment of state subsidy funds to which the county otherwise is 65479
entitled pursuant to section 5139.34 of the Revised Code and shall 65480
not disburse pursuant to division (B)(3)(a) or (b)(ii) of this65481
section the remainder of5139.41 of the Revised Code the 65482
applicable monthly allocation of the county until the juvenile 65483
court fully complies with division (C)(B)(3)(c) of this section. 65484
If the juvenile court fails to prepare and submit those monthly65485
statistical reports within one hundred eighty days of the date the65486
department establishes for their submission, the department shall 65487
not disburse any payment of state subsidy funds to which the 65488
county otherwise is entitled pursuant to section 5139.34 of the 65489
Revised Code and shall not disburse pursuant to division (B)(3)(a) 65490
or (b)(ii) of this section the remainder of5139.41 of the Revised 65491
Code the applicable monthly allocation of the county, and the 65492
state subsidy funds and the remainder of the applicable monthly65493
allocation shall revert to the department. If a juvenile court 65494
states in a monthly statistical report that the juvenile court 65495
adjudicated within a state fiscal year five hundred or more 65496
children to be delinquent children for committing acts that would 65497
be felonies if committed by adults and if the department65498
determines that the data in the report may be inaccurate, the 65499
juvenile court shall have an independent auditor or other 65500
qualified entity certify the accuracy of the data on a date 65501
determined by the department.65502

       (d) If the department requires the juvenile court and the 65503
county to participate in a fiscal monitoring program or another 65504
monitoring program that is conducted by the department to ensure 65505
compliance by the juvenile court and the county with division 65506
(C)(B) of this section, the juvenile court and the county shall 65507
participate in the program and fully comply with any guidelines 65508
for the performance of audits adopted by the department pursuant 65509
to that program and all requests made by the department pursuant 65510
to that program for information necessary to reconcile fiscal 65511
accounting. If an audit that is performed pursuant to a fiscal65512
monitoring program or another monitoring program described in this 65513
division determines that the juvenile court or the county used 65514
moneys in the county's felony delinquent care and custody fund for 65515
expenses that are not authorized under division (C)(B) of this 65516
section, within forty-five days after the department notifies the 65517
county of the unauthorized expenditures, the county either shall 65518
repay the amount of the unauthorized expenditures from the county 65519
general revenue fund to the state's general revenue fund or shall65520
file a written appeal with the department. If an appeal is timely 65521
filed, the director of the department shall render a decision on 65522
the appeal and shall notify the appellant county or its juvenile 65523
court of that decision within forty-five days after the date that 65524
the appeal is filed. If the director denies an appeal, the 65525
county's fiscal agent shall repay the amount of the unauthorized 65526
expenditures from the county general revenue fund to the state's 65527
general revenue fund within thirty days after receiving the 65528
director's notification of the appeal decision. If the county 65529
fails to make the repayment within that thirty-day period and if65530
the unauthorized expenditures pertain to moneys allocated under65531
sections 5139.41 to 5139.455139.43 of the Revised Code, the 65532
department shall deduct the amount of the unauthorized 65533
expenditures from the next monthly allocation of those moneys to 65534
the county in accordance with this section or from the allocations 65535
that otherwise would be made under those sections to the county 65536
during the next state fiscal year in accordance with this section 65537
and shall return that deducted amount to the state's general 65538
revenue fund. If the county fails to make the repayment within 65539
that thirty-day period and if the unauthorized expenditures 65540
pertain to moneys granted pursuant to section 5139.34 of the 65541
Revised Code, the department shall deduct the amount of the 65542
unauthorized expenditures from the next annual grant to the county 65543
pursuant to that section and shall return thanthat deducted 65544
amount to the state's general revenue fund.65545

       (D) On or prior to the first day of December of each year, 65546
the department of youth services shall submit to the joint65547
legislative committee on juvenile corrections overcrowding a65548
report that pertains to the operation of sections 5139.34 and65549
5139.41 to 5139.45 of the Revised Code during the immediately 65550
preceding state fiscal year and that includes, but is not limited65551
to, the following:65552

       (1) A description of the programs, care, and services that 65553
were financed under those sections in each county;65554

       (2) The number of felony delinquents, other delinquent65555
children, unruly children, and juvenile traffic offenders served65556
by the programs, care, and services in each county;65557

       (3) The total number of children adjudicated in each juvenile 65558
court as felony delinquents;65559

       (4) The total number of felony delinquents who were committed 65560
by the juvenile court of each county to the department and who 65561
were in the care and custody of an institution or a community 65562
corrections facility;65563

       (5) A breakdown of the felony delinquents described in65564
division (D)(4) of this section on the basis of the types and65565
degrees of felonies committed, the ages of the felony delinquents65566
at the time they committed the felonies, and the sex and race of65567
the felony delinquents.65568

       (E)(C) The determination of which county a reduction of the 65569
monthly care and custody allocation will be charged against for a 65570
particular youth shall be made as outlined below for all youths 65571
who do not qualify as public safety beds. The determination of 65572
which county a reduction of the monthly care and custody 65573
allocation will be charged against shall be made as follows until 65574
each youth is released: 65575

       (1) In the event of a commitment, the reduction shall be 65576
charged against the committing county. 65577

       (2) In the event of a recommitment, the reduction shall be 65578
charged against the original committing county until the 65579
expiration of the minimum period of institutionalization under the 65580
original order of commitment or until the date on which the youth 65581
is admitted to the department of youth services pursuant to the 65582
order of recommitment, whichever is later. Reductions of the 65583
monthly allocation shall be charged against the county that 65584
recommitted the youth after the minimum expiration date of the 65585
original commitment. 65586

       (3) In the event of a revocation of a release on parole, the 65587
reduction shall be charged against the county that revokes the 65588
youth's parole.65589

       (D) A juvenile court is not precluded by its allocation 65590
amount for the care and custody of felony delinquents from 65591
committing a felony delinquent to the department of youth services 65592
for care and custody in an institution or a community corrections 65593
facility when the juvenile court determines that the commitment is 65594
appropriate. 65595

       Sec. 5139.44.  (A)(1) There is hereby created the RECLAIM 65596
advisory committee that shall be composed of the following nine 65597
members:65598

       (a) Two members shall be juvenile court judges appointed by 65599
the Ohio association of juvenile and family court judges.65600

       (b) One member shall be the director of youth services or the 65601
director's designee.65602

       (c) One member shall be the director of budget and management 65603
or the director's designee.65604

       (d) One member shall be a member of a senate committee 65605
dealing with finance or criminal justice issues appointed by the 65606
president of the senate.65607

       (e) One member shall be a member of a committee of the house 65608
of representatives dealing with finance or criminal justice issues 65609
appointed by the speaker of the house of representatives.65610

       (f) One member shall be a member of a board of county 65611
commissioners appointed by the county commissioners association of 65612
Ohio.65613

       (g) Two members shall be juvenile court administrators 65614
appointed by the Ohio association of juvenile and family court 65615
judges.65616

       (2) The members of the committee shall be appointed or 65617
designated within thirty days after the effective date of this 65618
section, and the director of youth services shall be notified of 65619
the names of the members.65620

       (3) Members described in divisions (A)(1)(a), (f), and (g) of 65621
this section shall serve for terms of two years and shall hold 65622
office from the date of the member's appointment until the end of 65623
the term for which the member was appointed. Members described in 65624
divisions (A)(1)(b) and (c) of this section shall serve as long as 65625
they hold the office described in that division. Members described 65626
in divisions (A)(1)(d) and (e) of this section shall serve for the 65627
duration of the session of the general assembly during which they 65628
were appointed, provided they continue to hold the office 65629
described in that division. The members described in divisions 65630
(A)(1)(a), (d), (e), (f), and (g) may be reappointed. Vacancies 65631
shall be filled in the manner provided for original appointments. 65632
Any member appointed to fill a vacancy occurring prior to the 65633
expiration date of the term for which the member's predecessor was 65634
appointed shall hold office as a member for the remainder of that 65635
term. A member shall continue in office subsequent to the 65636
expiration date of the member's term until the member's successor 65637
takes office or until a period of sixty days has elapsed, 65638
whichever occurs first.65639

       (4) Membership on the committee does not constitute the 65640
holding of an incompatible public office or employment in 65641
violation of any statutory or common law prohibition pertaining to 65642
the simultaneous holding of more than one public office or 65643
employment. Members of the committee are not disqualified from 65644
holding by reason of that membership and do not forfeit because of 65645
that membership their public office or employment that qualifies 65646
them for membership on the committee notwithstanding any contrary 65647
disqualification or forfeiture requirement under existing Revised 65648
Code sections.65649

       (B) The director of youth services shall serve as an interim 65650
chair of the RECLAIM advisory committee until the first meeting of 65651
the committee. Upon receipt of the names of the members of the 65652
committee, the director shall schedule the initial meeting of the 65653
committee that shall take place at an appropriate location in 65654
Columbus and occur not later than sixty days after the effective 65655
date of this section. The director shall notify the members of the 65656
committee of the time, date, and place of the meeting. At the 65657
initial meeting, the committee shall organize itself by selecting 65658
from among its members a chair, vice-chair, and secretary. The 65659
committee shall meet at least once each quarter of the calendar 65660
year but may meet more frequently at the call of the chair.65661

       (C) In addition to its functions with respect to the RECLAIM 65662
program described in section 5139.41 of the Revised Code, the 65663
RECLAIM advisory committee periodically shall do all of the 65664
following:65665

       (1) Evaluate the operation of the RECLAIM program by the 65666
department of youth services, evaluate the implementation of the 65667
RECLAIM program by the counties, and evaluate the efficiency of 65668
the formula described in section 5139.41 of the Revised Code. In 65669
conducting these evaluations, the committee shall consider the 65670
public policy that RECLAIM funds are to be expended to provide the 65671
most appropriate programs and services for felony delinquents and 65672
other youthful offenders.65673

       (2) Advise the department of youth services, the office of 65674
budget and management, and the general assembly on the following 65675
changes that the committee believes should be made:65676

       (a) Changes to sections of the Revised Code that pertain to 65677
the RECLAIM program, specifically the formula specified in section 65678
5139.41 of the Revised Code;65679

       (b) Changes in the funding level for the RECLAIM program, 65680
specifically the amounts distributed under the formula for county 65681
allocations, community correctional facilities, and juvenile 65682
correctional facility budgets.65683

       Sec. 5139.87. (A) The department of youth services shall 65684
serve as the state agent for the administration of all federal 65685
juvenile justice grants awarded to the state.65686

       (B) There are hereby created in the state treasury the 65687
federal juvenile justice programs funds. A separate fund shall be 65688
established each federal fiscal year. All federal grants and other 65689
moneys received for federal juvenile programs shall be deposited 65690
into the funds. All receipts deposited into the funds shall be 65691
used for federal juvenile programs. All investment earnings on the 65692
cash balance in a federal juvenile program fund shall be credited 65693
to that fund for the appropriate federal fiscal year.65694

       (C) All rules, orders, and determinations of the office of 65695
criminal justice services regarding the administration of federal 65696
juvenile justice grants that are in effect on the effective date 65697
of this amendment shall continue in effect as rules, orders, and 65698
determinations of the department of youth services.65699

       Sec. 5153.122.  (A) Each caseworker hired by a public 65700
children services agency shall complete at least ninety hours of 65701
in-service training during the first year of the caseworker's 65702
continuous employment, except that the director of the public 65703
children services agency may waive the training requirement for a 65704
school of social work graduate who participated in the university 65705
partnership program described in division (D) of section 5101.141 65706
of the Revised Code. The training shall consist of courses in 65707
recognizing and preventing child abuse and neglect, assessing65708
risks, interviewing persons, investigating cases, intervening, 65709
providing services to children and their families, and other 65710
topics relevant to child abuse and neglect. After the first year 65711
of continuous employment, each caseworker annually shall complete 65712
thirty-six hours of training in areas relevant to the caseworker's 65713
assigned duties.65714

       (B) Each supervisor hired by a public children services 65715
agency shall complete at least sixty hours of in-service training 65716
during the first year of the supervisor's continuous employment in 65717
that position. After the first year of continuous employment as a 65718
supervisor, the supervisor annually shall complete thirty hours of 65719
training in areas relevant to the supervisor's assigned duties.65720

       (C) The director of job and family services shall adopt rules 65721
in accordance with Chapter 119. of the Revised Code as necessary 65722
to implement the training requirements of this section.65723

       Sec. 5153.16.  (A) Except as provided in section 2151.422 of65724
the Revised Code, in accordance with rules of the department of65725
job and family services, and on behalf of children in the county65726
whom the public children services agency considers to be in need65727
of public care or protective services, the public children65728
services agency shall do all of the following:65729

       (1) Make an investigation concerning any child alleged to be65730
an abused, neglected, or dependent child;65731

       (2) Enter into agreements with the parent, guardian, or other 65732
person having legal custody of any child, or with the department 65733
of job and family services, department of mental health,65734
department of mental retardation and developmental disabilities,65735
other department, any certified organization within or outside the 65736
county, or any agency or institution outside the state, having 65737
legal custody of any child, with respect to the custody, care, or 65738
placement of any child, or with respect to any matter, in the 65739
interests of the child, provided the permanent custody of a child 65740
shall not be transferred by a parent to the public children 65741
services agency without the consent of the juvenile court;65742

       (3) Accept custody of children committed to the public65743
children services agency by a court exercising juvenile65744
jurisdiction;65745

       (4) Provide such care as the public children services agency65746
considers to be in the best interests of any child adjudicated to65747
be an abused, neglected, or dependent child the agency finds to be65748
in need of public care or service;65749

       (5) Provide social services to any unmarried girl adjudicated 65750
to be an abused, neglected, or dependent child who is pregnant 65751
with or has been delivered of a child;65752

       (6) Make available to the bureau for children with medical65753
handicaps of the department of health at its request any65754
information concerning a crippled child found to be in need of65755
treatment under sections 3701.021 to 3701.028 of the Revised Code65756
who is receiving services from the public children services65757
agency;65758

       (7) Provide temporary emergency care for any child considered 65759
by the public children services agency to be in need of such care, 65760
without agreement or commitment;65761

       (8) Find certified foster homes, within or outside the65762
county, for the care of children, including handicapped children65763
from other counties attending special schools in the county;65764

       (9) Subject to the approval of the board of county65765
commissioners and the state department of job and family services,65766
establish and operate a training school or enter into an agreement65767
with any municipal corporation or other political subdivision of65768
the county respecting the operation, acquisition, or maintenance65769
of any children's home, training school, or other institution for65770
the care of children maintained by such municipal corporation or65771
political subdivision;65772

       (10) Acquire and operate a county children's home, establish, 65773
maintain, and operate a receiving home for the temporary care of 65774
children, or procure certified foster homes for this purpose;65775

       (11) Enter into an agreement with the trustees of any65776
district children's home, respecting the operation of the district65777
children's home in cooperation with the other county boards in the65778
district;65779

       (12) Cooperate with, make its services available to, and act65780
as the agent of persons, courts, the department of job and family65781
services, the department of health, and other organizations within65782
and outside the state, in matters relating to the welfare of65783
children, except that the public children services agency shall65784
not be required to provide supervision of or other services65785
related to the exercise of parenting time rights granted pursuant65786
to section 3109.051 or 3109.12 of the Revised Code or65787
companionship or visitation rights granted pursuant to section65788
3109.051, 3109.11, or 3109.12 of the Revised Code unless a65789
juvenile court, pursuant to Chapter 2151. of the Revised Code, or65790
a common pleas court, pursuant to division (E)(6) of section65791
3113.31 of the Revised Code, requires the provision of supervision65792
or other services related to the exercise of the parenting time65793
rights or companionship or visitation rights;65794

       (13) Make investigations at the request of any superintendent 65795
of schools in the county or the principal of any school concerning 65796
the application of any child adjudicated to be an abused,65797
neglected, or dependent child for release from school, where such 65798
service is not provided through a school attendance department;65799

       (14) Administer funds provided under Title IV-E of the65800
"Social Security Act," 94 Stat. 501 (1980), 42 U.S.C.A. 671, as65801
amended, in accordance with rules adopted under section 5101.14165802
of the Revised Code;65803

       (15) In addition to administering Title IV-E adoption65804
assistance funds, enter into agreements to make adoption65805
assistance payments under section 5153.163 of the Revised Code;65806

       (16) Implement a system of risk assessment, in accordance65807
with rules adopted by the director of job and family services, to65808
assist the public children services agency in determining the risk65809
of abuse or neglect to a child;65810

       (17) Enter into a plan of cooperation with the board of65811
county commissioners under section 307.983 of the Revised Code and65812
comply with the partnershipeach fiscal agreement the board enters 65813
into under section 307.98 of the Revised Code that include family 65814
services duties of public children services agencies and contracts 65815
the board enters into under sections 307.981 and 307.982 of the 65816
Revised Code that affect the public children services agency;65817

       (18) Make reasonable efforts to prevent the removal of an65818
alleged or adjudicated abused, neglected, or dependent child from65819
the child's home, eliminate the continued removal of the child65820
from the child's home, or make it possible for the child to return65821
home safely, except that reasonable efforts of that nature are not65822
required when a court has made a determination under division65823
(A)(2) of section 2151.419 of the Revised Code;65824

       (19) Make reasonable efforts to place the child in a timely65825
manner in accordance with the permanency plan approved under65826
division (E) of section 2151.417 of the Revised Code and to65827
complete whatever steps are necessary to finalize the permanent65828
placement of the child;65829

       (20) Administer a Title IV-A program identified under65830
division (A)(3)(c) or (d) of section 5101.80 of the Revised Code65831
that the department of job and family services provides for the65832
public children services agency to administer under the65833
department's supervision pursuant to section 5101.801 of the65834
Revised Code;65835

       (21) Provide independent living services pursuant to sections65836
2151.81 to 2151.84 of the Revised Code.65837

       (B) The public children services agency shall use the system65838
implemented pursuant to division (B)(16) of this section in65839
connection with an investigation undertaken pursuant to division65840
(F)(1) of section 2151.421 of the Revised Code and may use the65841
system at any other time the agency is involved with any child65842
when the agency determines that risk assessment is necessary.65843

       (C) Except as provided in section 2151.422 of the Revised65844
Code, in accordance with rules of the director of job and family65845
services, and on behalf of children in the county whom the public65846
children services agency considers to be in need of public care or65847
protective services, the public children services agency may do65848
the following:65849

       (1) Provide or find, with other child serving systems,65850
specialized foster care for the care of children in a specialized65851
foster home, as defined in section 5103.02 of the Revised Code,65852
certified under section 5103.03 of the Revised Code;65853

       (2)(a) Except as limited by divisions (C)(2)(b) and (c) of65854
this section, contract with the following for the purpose of65855
assisting the agency with its duties:65856

       (i) County departments of job and family services;65857

       (ii) Boards of alcohol, drug addiction, and mental health65858
services;65859

       (iii) County boards of mental retardation and developmental65860
disabilities;65861

       (iv) Regional councils of political subdivisions established65862
under Chapter 167. of the Revised Code;65863

       (v) Private and government providers of services;65864

       (vi) Managed care organizations and prepaid health plans.65865

       (b) A public children services agency contract under division 65866
(C)(2)(a) of this section regarding the agency's duties under65867
section 2151.421 of the Revised Code may not provide for the65868
entity under contract with the agency to perform any service not65869
authorized by the department's rules.65870

       (c) Only a county children services board appointed under65871
section 5153.03 of the Revised Code that is a public children65872
services agency may contract under division (C)(2)(a) of this65873
section. If an entity specified in division (B) or (C) of section65874
5153.02 of the Revised Code is the public children services agency65875
for a county, the board of county commissioners may enter into65876
contracts pursuant to section 307.982 of the Revised Code65877
regarding the agency's duties.65878

       Sec. 5153.163.  (A) As used in this section, "adoptive65879
parent" means, as the context requires, a prospective adoptive65880
parent or an adoptive parent.65881

       (B)(1) IfBefore a child's adoption is finalized, a public 65882
children services agency considers a child with special needs 65883
residing in the county served by the agency to be in need of 65884
public care or protective services and all of the following apply, 65885
the agency shall enter into an agreement with the child's adoptive 65886
parent before the child is adopted under which the agency shall 65887
make state adoption maintenance subsidy payments as needed on 65888
behalf of the child when all of the following apply:65889

       (a) The child is a child with special needs.65890

        (b) The child was placed in the adoptive home by a public 65891
children services agency or a private child placing agency and may 65892
legally be adopted.65893

        (c) The adoptive parent has the capability of providing the65894
permanent family relationships needed by the child in all areas65895
except financial need as determined by the agency;.65896

       (b)(d) The needs of the child are beyond the economic65897
resources of the adoptive parent as determined by the agency;.65898

       (c) The agency determines the acceptance(e) Acceptance of 65899
the child as a member of the adoptive parent's family would not be 65900
in the child's best interest without payments on the child's 65901
behalf under this section.65902

       (2) Payments to an adoptive parent under division (B) of this 65903
section shall include medical, surgical, psychiatric,65904
psychological, and counseling expenses, and may include65905
maintenance costs if necessary and other costs incidental to the65906
care of the child. No payment of maintenance costs shall be made65907
under division (B) of this section on behalf of a child if either65908
of the following apply:65909

       (a)(f) The gross income of the adoptive parent's family65910
exceedsdoes not exceed one hundred twenty per cent of the median 65911
income of a family of the same size, including the child, as most 65912
recently determined for this state by the secretary of health and 65913
human services under Title XX of the "Social Security Act," 88 65914
Stat. 2337, 42 U.S.C.A. 1397, as amended;.65915

       (b)(g) The child is not eligible for adoption assistance 65916
payments for maintenance costs under Title IV-E of the "Social 65917
Security Act," 94 Stat. 501 (1980), 42 U.S.C.A. 671, as amended.65918

       (2) State adoption maintenance subsidy payment agreements 65919
must be made by either the public children services agency that 65920
has permanent custody of the child or the public children services 65921
agency of the county in which the private child placing agency 65922
that has permanent custody of the child is located.65923

       (3) State adoption maintenance subsidy payments shall be made 65924
in accordance with the agreement between the public children 65925
services agency and the adoptive parent and are subject to an 65926
annual redetermination of need.65927

       (4) Payments under this division (B) of this section may 65928
begin either before or after issuance of the final adoption 65929
decree, except that payments made before issuance of the final 65930
adoption decree may be made only while the child is living in the 65931
adoptive parent's home. Preadoption payments may be made for not 65932
more than twelve months, unless the final adoption decree is not 65933
issued within that time because of a delay in court proceedings. 65934
Payments that begin before issuance of the final adoption decree 65935
may continue after its issuance.65936

       (C)(1) If, after the child's adoption is finalized, a public 65937
children services agency considers a child residing in the county 65938
served by the agency to be in need of public care or protective 65939
services and both of the following apply, the agency may, and to 65940
the extent state funds are appropriated for this purpose shall, 65941
enter into an agreement with the child's adoptive parent after the 65942
child is adopted under which the agency shall make post adoption 65943
special services subsidy payments on behalf of the child as needed 65944
when both of the following apply:65945

       (1)(a) The child has a physical or developmental handicap or65946
mental or emotional condition that either:65947

       (a)(i) Existed before the adoption petition was filed; or65948

       (b)(ii) Developed after the adoption petition was filed and 65949
can be directly attributed to factors in the child's preadoption 65950
background, medical history, or biological family's background or65951
medical history.65952

       (2)(b) The agency determines the expenses necessitated by the65953
child's handicap or condition are beyond the adoptive parent's65954
economic resources.65955

       Payments to an adoptive parent(2) Services for which a 65956
public children services agency may make post adoption special 65957
services subsidy payments on behalf of a child under this division 65958
shall include medical, surgical, psychiatric, psychological, and65959
counseling expensesservices, including residential treatment.65960

       (3) The department of job and family services shall establish 65961
clinical standards to evaluate a child's physical or developmental 65962
handicap or mental or emotional condition and assess the child's 65963
need for services.65964

       (4) The total dollar value of post adoption special services 65965
subsidy payments made on a child's behalf shall not exceed ten 65966
thousand dollars in any fiscal year, unless the department 65967
determines that extraordinary circumstances exist that necessitate 65968
further funding of services for the child. Under such 65969
extraordinary circumstances, the value of the payments made on the 65970
child's behalf shall not exceed fifteen thousand dollars in any 65971
fiscal year.65972

       (5) The adoptive parent or parents of a child who receives 65973
post adoption special services subsidy payments shall pay at least 65974
five per cent of the total cost of all services provided to the 65975
child; except that a public children services agency may waive 65976
this requirement if the gross annual income of the child's 65977
adoptive family is not more than two hundred per cent of the 65978
federal poverty guideline.65979

       (6) A public children services agency may use other sources 65980
of revenue to make post adoption special services subsidy 65981
payments, in addition to any state funds appropriated for that 65982
purpose.65983

       (D) No payment shall be made under division (B) or (C) of65984
this section on behalf of any person eighteen years of age or 65985
older beyond the end of the school year during which the person 65986
attains the age of eighteen or on behalf of a mentally or 65987
physically handicapped person twenty-one years of age or older. 65988
Payments under those divisions shall be made in accordance with 65989
the terms of the agreement between the public children services 65990
agency and the adoptive parent, subject to an annual65991
redetermination of need. The agency may use sources of funding in65992
addition to any state funds appropriated for the purposes of those65993
divisions.65994

        (E) The director of job and family services shall adopt rules 65995
in accordance with Chapter 119. of the Revised Code that are 65996
needed to implement this section. The rules shall establish all of 65997
the following:65998

       (1) The application process for paymentsall forms of 65999
assistance provided under this section;66000

       (2) The method to determine the amounts and kindsamount of66001
assistance payable under division (B) of this section;66002

       (3) The definition of "child with special needs" for this66003
section;66004

       (4) The process whereby a child's continuing need for 66005
services provided under division (B) of this section is annually 66006
redetermined;66007

       (5) The method of determining the amount, duration, and scope 66008
of services provided to a child under division (C) of this 66009
section;66010

        (6) Any other rule, requirement, or procedure the department 66011
considers appropriate for the implementation of this section.66012

       The rules shall allow for payments for children placed by66013
nonpublic agencies.66014

       (E)(F) The state adoption special services subsidy program 66015
ceases to exist on July 1, 2004, except that, subject to the 66016
findings of the annual redetermination process established under 66017
division (E) of this section and the child's individual need for 66018
services, a public children services agency may continue to 66019
provide state adoption special services subsidy payments on behalf 66020
of a child for whom payments were being made prior to July 1, 66021
2004.66022

       (G) No public children services agency shall, pursuant to66023
either section 2151.353 or 5103.15 of the Revised Code, place or66024
maintain a child with special needs who is in the permanent66025
custody of an institution or association certified by the66026
department of job and family services under section 5103.03 of the66027
Revised Code in a setting other than with a person seeking to66028
adopt the child, unless the agency has determined and redetermined66029
at intervals of not more than six months the impossibility of66030
adoption by a person listed pursuant to division (B), (C), or (D)66031
of section 5103.154 of the Revised Code, including the66032
impossibility of entering into a payment agreement with such a66033
person. The agency so maintaining such a child shall report its66034
reasons for doing so to the department of job and family services.66035
No agency that fails to so determine, redetermine, and report66036
shall receive more than fifty per cent of the state funds to which66037
it would otherwise be eligible for that part of the fiscal year66038
following placement under section 5101.14 of the Revised Code.66039

       The department may take any action permitted under section 66040
5101.24 of the Revised Code for an agency's failure to determine, 66041
redetermine, and report on a child's status.66042

       Sec. 5153.60. (A) The department of job and family services66043
shall establish a statewide program that provides theall of the 66044
following:66045

       (1) The training section 5153.122 of the Revised Code 66046
requires public children services agency caseworkers and 66047
supervisors to complete. The program may also provide the;66048

       (2) The preplacement and continuing training described in 66049
sections 5103.034, 5103.039, 5103.0310, and 5103.0311 of the66050
Revised Code that foster caregivers are required by sections66051
5103.031, 5103.032, and 5103.033 of the Revised Code to obtain.66052
The;66053

       (3) The education programs for adoption assessors required by 66054
section 3107.014 of the Revised Code.66055

       (B) The program established pursuant to division (A) of this 66056
section shall be called the "Ohio child welfare training program."66057

       Sec. 5153.69.  The training program steering committee shall66058
monitor and evaluate the Ohio child welfare training program to66059
ensure the following:66060

       (A) That the Ohio child welfare training program is a66061
competency-based training system that satisfies the training66062
requirements for public children services agency caseworkers and66063
supervisors under section 5153.122 of the Revised Code;66064

       (B) That, if the Ohio child welfare training program provides 66065
preplacement or continuing training for foster caregivers, itas 66066
required by section 5153.60 of the Revised Code that meets the 66067
same requirements that preplacement training programs and 66068
continuing training programs must meet pursuant to section 66069
5103.038 of the Revised Code to obtain approval by the department 66070
of job and family services, except that the Ohio child welfare 66071
training program is not required to obtain department approval.66072

       Sec. 5153.72.  Prior to the beginning of the fiscal biennium 66073
that first follows the effective date of this sectionOctober 5,66074
2000, the public children services agencies of Athens, Cuyahoga,66075
Franklin, Greene, Guernsey, Hamilton, Lucas, and Summit counties 66076
shall each establish and maintain a regional training center. At 66077
any time after the beginning of that biennium, the department of 66078
job and family services, on the recommendation of the training 66079
program steering committee, may direct a public children services 66080
agency to establish and maintain a training center to replace the 66081
center established by an agency under this section. There may be 66082
no more and no less than eight centers in existence at any time. 66083
The department may make a grant to a public children services 66084
agency that establishes and maintains a regional training center 66085
under this section for the purpose of wholly or partially 66086
subsidizing the operation of the center.66087

       Sec. 5153.78.  (A) As used in this section:66088

       (1) "Title IV-B" means Title IV-B of the "Social Security Act66089
of 1967," 81 Stat. 821, 42 U.S.C. 620, as amended.66090

       (2) "Title IV-E" means Title IV-E of the "Social Security66091
Act," 94 Stat. 501, 42 U.S.C. 670(1980).66092

       (3) "Title XX" has the same meaning as in section 5101.46 of66093
the Revised Code.66094

       (B) For purposes of adequately funding the Ohio child welfare 66095
training program, the department of job and family services may 66096
use any of the following:66097

       (1) The federal financial participation funds withheld66098
pursuant to division (D)(E) of section 5101.141 of the Revised66099
Code in an amount determined by the department;66100

       (2) Funds available under Title XX, Title IV-B, and Title66101
IV-E to pay for training costs;66102

       (3) Other available state or federal funds.66103

       Sec. 5310.15.  On filing an application for registration, the 66104
applicant shall pay to the clerk of the probate court or the clerk 66105
of the court of common pleas ten dollars, which is full payment 66106
for all clerk's fees and charges in such proceeding on behalf of 66107
the applicant. Any defendant, except a guardian ad litem, on 66108
entering hisan appearance by filing a pleading of any kind, shall 66109
pay to the clerk five dollars, which is full payment for all 66110
clerk's fees on behalf of such defendant. When any number of 66111
defendants enter their appearance at the same time in one pleading 66112
by filing a pleading of any kind, one fee shall be paid.66113

       Every required publication in a newspaper shall be paid for66114
by the party on whose application the order of publication is66115
made, in addition to the fees prescribed in the first paragraph of 66116
this section. The party at whose request, or on whose behalf, any 66117
notice is issued, shall pay for the service of such notice except 66118
when such notice is sent by mail by the clerk or the county 66119
recorder.66120

       Examiners of titles shall receive for examining title or66121
original reference, and making report on all matters arising under 66122
the application, including final certificate as to all necessary 66123
parties being made and properly brought before the probate court 66124
or the court of common pleas, and as to the proceedings being 66125
regular and legal, one half of one per cent of the appraised tax 66126
value, the fee in no case to be less than seventy-five or more 66127
than two hundred fifty dollars, for each separate and distinct 66128
parcel of land included in the application although made up of 66129
more than one tract.66130

       Upon a reference to an examiner of titles or to any other66131
person upon a hearing to take evidence and make report to the66132
court, the fee of the referee shall be fixed by the court at not66133
more than fifteen dollars per day for the time actually employed.66134

       For a certificate of an examiner of titles that all necessary 66135
parties are before the court, and the proceedings are regular and 66136
legal in a suit for partition, foreclosure of mortgage, 66137
marshalling of liens, or other suit or proceeding affecting the 66138
title of any interest in, or lien or charge upon registered lands, 66139
the fees shall be fixed by the court, and shall not be more than 66140
twenty-five dollars for each separate and distinct parcel of land 66141
included in the petition or application although such parcel is 66142
made up of more than one tract.66143

       Guardians for the suit in original registration shall receive 66144
three dollars when there is no contest in which the guardian 66145
participates. In other cases such guardians shall receive such 66146
fees as the court fixes, but not more than twenty-five dollars.66147

       For certifying pending suits, judgments, liens, attachments, 66148
executions, or levies, the officers certifying them to the 66149
recorder shall receive a fee of twenty-five cents to be paid by 66150
the party interested and taxed in the costs of the case.66151

       For serving summons, notice, or other paper provided for in66152
sections 5309.02 to 5310.21 of the Revised Code, the sheriff or66153
other officer shall receive the same fees as in other similar66154
cases.66155

       The recorder shall receive the following fees, to include 66156
base fees for services and housing trust fund fees pursuant to 66157
section 317.36 of the Revised Code:66158

       (A) For original registration of title, issuing duplicate66159
certificate, entering memorials and memorandums, as directed by66160
the decree, and indexing it, a base fee of thirty dollars and a 66161
housing trust fund fee of thirty dollars;66162

       (B) For examining and registering each transfer of registered 66163
land, including the filing of all papers therewith, entering 66164
memorials, issuing new duplicate certificate of title and indexing 66165
it, a base fee of thirty dollars and a housing trust fund fee of 66166
thirty dollars for the first distinct body or parcel of land 66167
contained in such certificate, and a base fee of two dollars and a 66168
housing trust fund fee of two dollars for each additional distinct 66169
body or parcel of land contained in such certificate;66170

       (C) For filing, examining, and entering a memorial of each66171
mortgage or lease, upon registered land, and indexing it, for each 66172
separately registered parcel, a base fee of ten dollars and a 66173
housing trust fund fee of ten dollars;66174

       (D) For filing, examining, and entering a memorial of each66175
lien, charge, or demand upon registered land, and indexing it, for 66176
each separately registered parcel of land, a base fee of five 66177
dollars and a housing trust fund fee of five dollars;66178

       (E) For cancellation of any memorial or memorandum, a base 66179
fee of five dollars and a housing trust fund fee of five dollars; 66180
for entry of change of address, or notice of dower, for each 66181
separately registered parcel, a base fee of five dollars and a 66182
housing trust fund fee of five dollars;66183

       (F) For each certified copy of a registered certificate, or 66184
issuing a mortgagee's duplicate certificate, or issuing a new66185
owner's duplicate certificate to replace one which has been lost66186
or destroyed, a base fee of fifteen dollars and a housing trust 66187
fund fee of fifteen dollars;66188

       (G) For filing, examining, and entering a memorial of each66189
release, assignment, or waiver of priority of a mortgage, lease,66190
lien, charge, or demand upon registered land and indexing it, for66191
each separately registered parcel, a base fee of five dollars and 66192
a housing trust fund fee of five dollars;66193

       (H) For filing, examining, and entering a memorial of each66194
official certificate of pending suit, judgment, lien, attachment,66195
execution, or levy, upon registered land and indexing it, for each 66196
separately registered parcel, a base fee of five dollars and a 66197
housing trust fund fee of five dollars;66198

       (I) For continuing an owner's duplicate certificate, or66199
mortgagee's duplicate certificate and entering and certifying66200
memorials and notations thereon, a base fee of five dollars and a 66201
housing trust fund fee of five dollars;66202

       (J) For certificate as to taxes and special assessments, for 66203
each separately registered parcel, a base fee of ten dollars and a 66204
housing trust fund fee of ten dollars;66205

       (K) For filing, recording, and indexing any papers or66206
instruments other than those provided in this section, any66207
certified copy of record, or of any instrument on file in histhe66208
recorder's office, the same fees allowed by law for like services;66209

       (L) For issuing subpoenas and notices and swearing witnesses, 66210
the same fees allowed the clerk for like services.66211

       Costs as provided in this section may be taxed and by the66212
court ordered to be paid by the parties in such manner as is just.66213

       Sec. 5502.01.  (A) The department of public safety shall66214
administer and enforce the laws relating to the registration,66215
licensing, sale, and operation of motor vehicles and the laws66216
pertaining to the licensing of drivers of motor vehicles.66217

       The department shall compile, analyze, and publish statistics66218
relative to motor vehicle accidents and the causes of them,66219
prepare and conduct educational programs for the purpose of66220
promoting safety in the operation of motor vehicles on the66221
highways, and conduct research and studies for the purpose of66222
promoting safety on the highways of this state.66223

       (B) The department shall administer the laws and rules66224
relative to trauma and emergency medical services specified in66225
Chapter 4765. of the Revised Code.66226

       (C) The department shall administer and enforce the laws66227
contained in Chapters 4301. and 4303. of the Revised Code and66228
enforce the rules and orders of the liquor control commission66229
pertaining to retail liquor permit holders.66230

       (D) The department shall administer the laws governing the66231
state emergency management agency and shall enforce all additional66232
duties and responsibilities as prescribed in the Revised Code66233
related to emergency management services.66234

       (E) The department shall conduct investigations pursuant to66235
Chapter 5101. of the Revised Code in support of the duty of the66236
department of job and family services to administer food stamp66237
programs throughout this state. The department of public safety66238
shall conduct investigations necessary to protect the state's66239
property rights and interests in the food stamp program.66240

       (F) The department of public safety shall enforce compliance66241
with orders and rules of the public utilities commission and66242
applicable laws in accordance with Chapters 4919., 4921., and66243
4923. of the Revised Code regarding commercial motor vehicle66244
transportation safety, economic, and hazardous materials66245
requirements.66246

       (G) Notwithstanding Chapter 4117. of the Revised Code, the66247
department of public safety may establish requirements for its66248
enforcement personnel, including its enforcement agents described66249
in section 5502.14 of the Revised Code, that include standards of66250
conduct, work rules and procedures, and criteria for eligibility66251
as law enforcement personnel.66252

       (H) The department shall administer, maintain, and operate66253
the Ohio criminal justice network. The Ohio criminal justice66254
network shall be a computer network that supports state and local66255
criminal justice activities. The network shall be an electronic66256
repository for various data, which may include arrest warrants,66257
notices of persons wanted by law enforcement agencies, criminal66258
records, prison inmate records, stolen vehicle records, vehicle66259
operator's licenses, and vehicle registrations and titles.66260

       (I) The department shall coordinate all homeland security 66261
activities of all state agencies and shall be a liaison between 66262
state agencies and local entities for those activities and related 66263
purposes.66264

       Sec. 5502.03. (A) There is hereby created in the department 66265
of public safety a division of homeland security. It is the intent 66266
of the general assembly that the creation of the division of 66267
homeland security of the department of public safety by this 66268
amendment does not result in an increase of funding appropriated 66269
to the department.66270

       (B)(1) The division shall coordinate all homeland security 66271
activities of all state agencies and shall be the liaison between 66272
state agencies and local entities for the purposes of 66273
communicating homeland security funding and policy initiatives.66274

       (2) The division shall be in charge of the systems operations 66275
of the multi-agency radio communications system (MARCS) in 66276
accordance with any rules that the director of public safety may 66277
adopt. The director shall appoint a steering committee to advise 66278
the director in the operation of the MARCS, comprised of persons 66279
who represent the users of that system. The director or the 66280
director's designee shall chair the committee.66281

       (C) The director of public safety shall appoint an executive 66282
director, who shall be head of the division of homeland security 66283
and who regularly shall advise the governor and the director on 66284
matters pertaining to homeland security. The executive director 66285
shall serve at the pleasure of the director of public safety. To 66286
carry out the duties assigned under this section, the executive 66287
director, subject to the direction and control of the director of 66288
public safety, may appoint and maintain necessary staff and may 66289
enter into any necessary agreements.66290

       (D) Except as otherwise provided by law, nothing in this 66291
section shall be construed to give the director of public safety 66292
or the executive director of the division of homeland security 66293
authority over the incident management structure or 66294
responsibilities of local emergency response personnel.66295

       Sec. 5502.13.  The department of public safety shall maintain 66296
an investigative unit in order to conduct investigations and other66297
enforcement activity authorized by Chapters 4301., 4303., 5101., 66298
5107., and 5108., and 5115. and sections 2903.12, 2903.13,66299
2903.14, 2907.09, 2913.46, 2917.11, 2921.13, 2921.31, 2921.32, 66300
2921.33, 2923.12, 2923.121, 2925.11, 2925.13, 2927.02, and66301
4507.30, and 5115.03 of the Revised Code. The director of public66302
safety shall appoint the employees of the unit who are necessary, 66303
designate the activities to be performed by those employees, and 66304
prescribe their titles and duties.66305

       Sec. 5513.01.  (A) All purchases of machinery, materials,66306
supplies, or other articles that the director of transportation66307
makes shall be in the manner provided in this section. In all66308
cases except those in which the director provides written66309
authorization for purchases by district deputy directors of66310
transportation, all such purchases shall be made at the central 66311
office of the department of transportation in Columbus. Before 66312
making any purchase at that office, the director, as provided in 66313
this section, shall give notice to bidders of the director's 66314
intention to purchase. Where the expenditure does not exceed the 66315
amount applicable to the purchase of supplies specified in 66316
division (B)(1) of section 125.05 of the Revised Code, as adjusted 66317
pursuant to division (D) of that section, the director shall give66318
such notice as the director considers proper, or the director may 66319
make the purchase without notice. Where the expenditure exceeds 66320
the amount applicable to the purchase of supplies specified in66321
division (B)(1) of section 125.05 of the Revised Code, as adjusted 66322
pursuant to division (D) of that section, the director shall give 66323
notice by posting for not less than ten days a written, typed, or 66324
printed invitation to bidders on a bulletin board, which shall be 66325
located in a place in the offices assigned to the department and 66326
open to the public during business hours. Producers or 66327
distributors of any product may notify the director, in writing, 66328
of the class of articles for the furnishing of which they desire 66329
to bid and their post-office addresses, in which case copies of 66330
all invitations to bidders relating to the purchase of such 66331
articles shall be mailed to such persons by the director by 66332
regular first class mail at least ten days prior to the time fixed 66333
for taking bids. The director also may mail copies of all 66334
invitations to bidders to news agencies or other agencies or 66335
organizations distributing information of this character. Requests 66336
for invitations shall not be valid nor require action by the 66337
director unless renewed, either annually or after such shorter 66338
period as the director may prescribe by a general rule. The66339
invitation to bidders shall contain a brief statement of the66340
general character of the article that it is intended to purchase, 66341
the approximate quantity desired, and a statement of the time and 66342
place where bids will be received, and may relate to and describe 66343
as many different articles as the director thinks proper, it being 66344
the intent and purpose of this section to authorize the inclusion 66345
in a single invitation of as many different articles as the 66346
director desires to invite bids upon at any given time. 66347
Invitations issued during each calendar year shall be given 66348
consecutive numbers, and the number assigned to each invitation 66349
shall appear on all copies thereofof it. In all cases where 66350
notice is required by this section, sealed bids shall be taken, on 66351
forms prescribed and furnished by the director, and modification 66352
of bids after they have been opened shall not be permitted.66353

       (B) The director may permit any political subdivision and any 66354
state university or college to participate in contracts into which 66355
the director has entered for the purchase of machinery, materials, 66356
supplies, or other articles. Any political subdivision or state 66357
university or college desiring to participate in such purchase 66358
contracts shall file with the director a certified copy of the 66359
ordinance or resolution of its legislative authority, board of 66360
trustees, or other governing board requesting authorization to 66361
participate in such contracts and agreeing to be bound by suchthe66362
terms and conditions as the director prescribes. Purchases made by66363
political subdivisions or state universities or colleges under66364
this division are exempt from any competitive bidding required by66365
law for the purchase of machinery, materials, supplies, or other66366
articles.66367

       (C) As used in this section:66368

       (1) "Political subdivision" means any county, township,66369
municipal corporation, conservancy district, township park66370
district, park district created under Chapter 1545. of the Revised 66371
Code, port authority, regional transit authority, regional airport 66372
authority, regional water and sewer district, or county transit 66373
board.66374

       (2) "State university or college" has the same meaning as in 66375
division (A)(1) of section 3345.32 of the Revised Code.66376

       Sec. 5515.07.  (A) The director of transportation, in66377
accordance with Chapter 119. of the Revised Code, shall adopt66378
rules consistent with the safety of the traveling public and66379
consistent with the national policy to govern the use and control66380
of rest areas within the limits of the right-of-way of interstate66381
highways and other state highways and in other areas within the66382
limits of the right-of-way of interstate highways.66383

       (B) Except as provided in division (C) of this section, no66384
person shall engage in selling or offering for sale or exhibiting66385
for purposes of sale, goods, products, merchandise, or services66386
within the bounds of rest areas within the limits of the66387
right-of-way of interstate highways and other state highways, or66388
in other areas within the limits of the right-of-way of interstate 66389
highways, unless the director issues a permit in accordance with 66390
section 5515.01 of the Revised Code. Notwithstanding any rules 66391
adopted by the director to the contrary or any other policy 66392
changes proposed by the director, each district deputy director of66393
the department of transportation shall continue to implement any 66394
program allowing organizations to dispense free coffee or similar 66395
items after obtaining a permit that operated within the district 66396
prior to January 1, 1997. Each district deputy director shall 66397
operate such program within the district in the same manner as the 66398
program was operated prior to that date.66399

       (C) In accordance with rules adopted under division (A) of66400
this section, the director may cause vending machines to be placed 66401
within each rest area that is able to accommodate the machines. 66402
The vending machines shall dispense food, drink, and other 66403
appropriate articles.66404

       (D) This section does not apply to the sale of goods,66405
products, merchandise, or services required for the emergency66406
repair of motor vehicles or emergency medical treatment, or to the 66407
department of transportation as provided in section 5515.08 of the 66408
Revised Code.66409

       Sec. 5515.08.  (A) The department of transportation may 66410
contract to sell commercial advertising space within or on the 66411
outside surfaces of any building located within a roadside rest 66412
area under its jurisdiction in exchange for cash payment. Money 66413
the department receives under this section shall be deposited in 66414
the state treasury to the credit of the roadside rest area 66415
improvement fund, which is hereby created. The department shall 66416
use the money in the fund only to improve roadside rest areas in 66417
accordance with section 5529.06 of the Revised Code.66418

       (B) Advertising placed under this section shall comply with 66419
all of the following:66420

        (1) It shall not be libelous or obscene and shall not promote 66421
any illegal product or service.66422

        (2) It shall not promote illegal discrimination on the basis 66423
of the race, religion, national origin, handicap, age, or ancestry 66424
of any person.66425

        (3) It shall not support or oppose any candidate for 66426
political office or any political cause, issue, or organization.66427

        (4) It shall comply with any controlling federal or state 66428
regulations or restrictions.66429

        (5) To the extent physically and technically practical, it 66430
shall state that the advertisement is a paid commercial 66431
advertisement and that the state does not endorse the product or 66432
service promoted by the advertisement or make any representation 66433
about the accuracy of the advertisement or the quality or 66434
performance of the product or service promoted by the 66435
advertisement.66436

        (6) It shall conform to all applicable rules adopted by the 66437
director of transportation under division (E) of this section.66438

        (C) Contracts entered into under this section shall be 66439
awarded only to the qualified bidder who submits the highest 66440
responsive bid or according to uniformly applied rate classes.66441

        (D) No person, except an advertiser alleging a breach of 66442
contract or the improper awarding of a contract, has a cause of 66443
action against the state with respect to any contract or 66444
advertising authorized by this section. Under no circumstances is 66445
the state liable for consequential or noneconomic damages with 66446
respect to any contract or advertising authorized under this 66447
section.66448

       (E) The director, in accordance with Chapter 119. of the 66449
Revised Code, shall adopt rules to implement this section. The 66450
rules shall be consistent with the policy of protecting the safety 66451
of the traveling public and consistent with the national policy 66452
governing the use and control of such roadside rest areas. The 66453
rules shall regulate the awarding of contracts and may regulate 66454
the content, display, and other aspects of the commercial 66455
advertising authorized by this section.66456

       Sec. 5549.21.  The board of township trustees may purchase or 66457
lease such machinery and tools as are necessary for use in66458
constructing, reconstructing, maintaining, and repairing roads and 66459
culverts within the township, and shall provide suitable places 66460
for housing and storing machinery and tools owned by the township. 66461
It may purchase such material and employ such labor as is 66462
necessary for carrying into effect this section, or it may66463
authorize the purchase or employment of such material and labor by 66464
one of its number, or by the township highway superintendent, at a 66465
price to be fixed by the board. All payments on account of66466
machinery, tools, material, and labor shall be made from the66467
township road fund. Except as otherwise provided in sections66468
505.08, 505.101, and 5513.01 of the Revised Code, all purchases of 66469
materials, machinery, and tools shall, whereif the amount66470
involved exceeds fifteentwenty-five thousand dollars, be made 66471
from the lowest responsible bidder after advertisement, as 66472
provided in section 5575.01 of the Revised Code. Where66473

       If, in compliance with section 505.10 of the Revised Code, 66474
the board wishes to sell machinery, equipment, or tools owned by 66475
the township to the person from whom it is to purchase other 66476
machinery, equipment, or tools, the board may offer, whereif the 66477
amount of the purchase alone involved does not exceed fifteen66478
twenty-five thousand dollars, to sell such machinery, equipment, 66479
or tools and have the amount credited by the vendor against the 66480
purchase of the other machinery, equipment, or tools. WhereIf the 66481
purchase price of the other machinery, equipment, or tools alone 66482
exceeds fifteentwenty-five thousand dollars, the board may give66483
notice to the competitive bidders of its willingness to accept66484
offers for the purchase of the old machinery, equipment, or tools, 66485
and suchthose offers shall be subtracted from the selling price66486
of the other machinery, equipment, or tools as bid, in determining 66487
the lowest responsible bidder. Notice of the willingness of the 66488
board to accept offers for the purchase of the old machinery, 66489
equipment, or tools shall be made as a part of the advertisement 66490
for bids.66491

       Sec. 5703.052. (A) There is hereby created in the state66492
treasury the tax refund fund, from which refunds shall be paid for 66493
taxes illegally or erroneously assessed or collected, or for any 66494
other reason overpaid, that are levied by Chapter 4301., 4305., 66495
5728., 5729., 5733., 5735., 5739., 5741., 5743., 5747., 5748., 66496
5749., or 5753., and sections 3737.71, 3905.35, 3905.36, 4303.33, 66497
5707.03, 5725.18, 5727.28, 5727.38, 5727.81, and 5727.811 of the66498
Revised Code. Refunds for fees illegally or erroneously assessed 66499
or collected, or for any other reason overpaid, that are levied by66500
sections 3734.90 to 3734.9014 of the Revised Code also shall be66501
paid from the fund. However, refunds for taxes levied under66502
section 5739.101 of the Revised Code shall not be paid from the66503
tax refund fund, but shall be paid as provided in section 5739.10466504
of the Revised Code.66505

       (B)(1) Upon certification by the tax commissioner to the 66506
treasurer of state of a tax refund,or fee refund, or tax credit 66507
due, or by the superintendent of insurance of a domestic or 66508
foreign insurance tax refund, the treasurer of state mayshall66509
place the amount certified to the credit of the fund. The 66510
certified amount transferred shall be derived from current 66511
receipts of the same tax or the fee forfrom which the refund 66512
arose or, in the case of a tax credit refund, from the current 66513
receipts of the taxes levied by sections 5739.02 and 5741.02 of 66514
the Revised Code. If66515

       If the tax refund arises from a tax payable to the general66516
revenue fund, and current receipts from that sourcethe tax or fee 66517
from which the refund arose are inadequate to make the transfer of 66518
the amount so certified, the treasurer of state mayshall transfer 66519
such certified amount from current receipts of the sales tax 66520
levied by section 5739.02 of the Revised Code.66521

       (2) When the treasurer of state provides for the payment of a 66522
refund of a tax or fee from the current receipts of the sales tax, 66523
and the refund is for a tax or fee that is not levied by the 66524
state, the tax commissioner shall recover the amount of that 66525
refund from the next distribution of that tax or fee that 66526
otherwise would be made to the taxing jurisdiction. If the amount 66527
to be recovered would exceed twenty-five per cent of the next 66528
distribution of that tax or fee, the commissioner may spread the 66529
recovery over more than one future distribution, taking into 66530
account the amount to be recovered and the amount of the 66531
anticipated future distributions. In no event may the commissioner 66532
spread the recovery over a period to exceed twenty-four months.66533

       Sec. 5703.56. (A) As used in this section:66534

        (1) "Sham transaction" means a transaction or series of 66535
transactions without economic substance because there is no 66536
business purpose or expectation of profit other than obtaining tax 66537
benefits.66538

        (2) "Tax" includes any tax or fee administered by the tax 66539
commissioner.66540

        (3) "Taxpayer" includes any entity subject to a tax.66541

        (4) "Controlled group" means two or more persons related in 66542
such a way that one person directly or indirectly owns or controls 66543
the business operation of another member of the group. In the case 66544
of persons with stock or other equity, one person owns or controls 66545
another if it directly or indirectly owns more than fifty per cent 66546
of the other person's common stock with voting rights or other 66547
equity with voting rights.66548

        (B) The tax commissioner may disregard any sham transaction 66549
in ascertaining any taxpayer's tax liability. Except as otherwise 66550
provided in the Revised Code, with respect to transactions between 66551
members of a controlled group, the taxpayer shall bear the burden 66552
of establishing by a preponderance of the evidence that a 66553
transaction or series of transactions between the taxpayer and one 66554
or more members of the controlled group was not a sham 66555
transaction. Except as otherwise provided in the Revised Code, for 66556
all other taxpayers, the tax commissioner shall bear the burden of 66557
establishing by a preponderance of the evidence that a transaction 66558
or series of transactions was a sham transaction.66559

        (C) In administering any tax, the tax commissioner may apply 66560
the doctrines of "economic reality," "substance over form," and 66561
"step transaction."66562

        (D) If the commissioner disregards a sham transaction under 66563
division (B) of this section, the applicable limitation period for 66564
assessing the tax, together with applicable penalties, charges, 66565
and interest, shall be extended for a period equal to the 66566
applicable limitation period. Nothing in this division shall be 66567
construed as extending an applicable limitation period for 66568
claiming any refund of a tax.66569

        (E) The tax commissioner may, in accordance with Chapter 119. 66570
of the Revised Code, adopt rules that are necessary to administer 66571
this section, including rules establishing criteria for 66572
identifying sham transactions.66573

       Sec. 5703.57. (A) As used in this section, "Ohio business 66574
gateway" has the same meaning as in section 718.051 of the Revised 66575
Code.66576

        (B) There is hereby created the Ohio business gateway 66577
steering committee to direct the continuing development of the 66578
Ohio business gateway and to oversee its operations. The committee 66579
shall provide general oversight regarding operation of the Ohio 66580
business gateway and shall recommend to the department of 66581
administrative services enhancements that will improve the Ohio 66582
business gateway. The committee shall consider all banking, 66583
technological, administrative, and other issues associated with 66584
the Ohio business gateway and shall make recommendations regarding 66585
the type of reporting forms or other tax documents to be filed 66586
through the Ohio business gateway.66587

        (C) The committee shall consist of:66588

        (1) The following members, appointed by the governor with the 66589
advice and consent of the senate:66590

        (a) Not more than two representatives of the business 66591
community;66592

        (b) Not more than three representatives of municipal tax 66593
administrators; and66594

        (c) Not more than two tax practitioners.66595

        (2) The following ex officio members:66596

        (a) The director or other highest officer of each state 66597
agency that has tax reporting forms or other tax documents filed 66598
with it through the Ohio business gateway or the director's 66599
designee;66600

        (b) The secretary of state or the secretary of state's 66601
designee;66602

        (c) The treasurer of state or the treasurer of state's 66603
designee;66604

        (d) The director of budget and management or the director's 66605
designee;66606

        (e) The director of administrative services or the director's 66607
designee; and66608

        (f) The tax commissioner or the tax commissioner's designee.66609

        An appointed member shall serve until the member resigns or 66610
is removed by the governor. Vacancies shall be filled in the same 66611
manner as original appointments.66612

        (D) A vacancy on the committee does not impair the right of 66613
the other members to exercise all the functions of the committee. 66614
The presence of a majority of the members of the committee 66615
constitutes a quorum for the conduct of business of the committee. 66616
The concurrence of at least a majority of the members of the 66617
committee is necessary for any action to be taken by the 66618
committee. On request, each member of the committee shall be 66619
reimbursed for the actual and necessary expenses incurred in the 66620
discharge of the member's duties.66621

        (E) The committee is a part of the department of taxation for 66622
administrative purposes.66623

        (F) Each year, the governor shall select a member of the 66624
committee to serve as chairperson. The chairperson shall appoint 66625
an official or employee of the department of taxation to act as 66626
the committee's secretary. The secretary shall keep minutes of the 66627
committee's meetings and a journal of all meetings, proceedings, 66628
findings, and determinations of the committee.66629

        (G) The committee shall hire professional, technical, and 66630
clerical staff needed to support its activities.66631

        (H) The committee shall meet as often as necessary to perform 66632
its duties.66633

       Sec. 5703.80. There is hereby created in the state treasury 66634
the property tax administration fund. All money to the credit of 66635
the fund shall be used to defray the costs incurred by the 66636
department of taxation in administering the taxation of property 66637
and the equalization of real property valuation.66638

        Each fiscal year between the first and fifteenth days of 66639
July, the tax commissioner shall compute the following amounts for 66640
the property in each taxing district in each county, and certify 66641
to the director of budget and management the sum of those amounts 66642
for all taxing districts in all counties:66643

        (A) Three-tenths of one per cent of the total amount by which 66644
taxes charged against real property on the general tax list of 66645
real and public utility property were reduced under section 66646
319.302 of the Revised Code for the preceding tax year;66647

        (B) Fifteen-hundredths of one per cent of the total amount of 66648
taxes charged and payable against public utility personal property 66649
on the general tax list of real and public utility property for 66650
the preceding tax year;66651

        (C) Seventy-five hundredths of one per cent of the total 66652
amount of taxes charged and payable against tangible personal 66653
property on the general tax list of personal property of the 66654
preceding tax year and for which returns were filed with the tax 66655
commissioner under section 5711.13 of the Revised Code.66656

        After receiving the tax commissioner's certification, the 66657
director of budget and management shall transfer from the general 66658
revenue fund to the property tax administration fund one-fourth of 66659
the amount certified on or before each of the following days: the 66660
first days of August, November, February, and May.66661

        On or before the thirtieth day of June of the fiscal year, 66662
the tax commissioner shall certify to the director of budget and 66663
management the sum of the amounts by which the amounts computed 66664
for a taxing district under divisions (A), (B), and (C) of this 66665
section exceeded the distributions to the taxing district under 66666
division (F) of section 321.24 of the Revised Code, and the 66667
director shall transfer that sum from the property tax 66668
administration fund to the general revenue fund.66669

       Sec. 5705.39.  The total appropriations from each fund shall 66670
not exceed the total of the estimated revenue available for66671
expenditure therefrom, as certified by the budget commission, or66672
in case of appeal, by the board of tax appeals. No appropriation66673
measure shall become effective until the county auditor files with 66674
the appropriating authority and in the case of a school district, 66675
also files with the superintendent of public instruction, a 66676
certificate that the total appropriations from each fund, taken 66677
together with all other outstanding appropriations, do not exceed 66678
such official estimate or amended official estimate. When the 66679
appropriation does not exceed such official estimate, the county 66680
auditor shall give such certificate forthwith upon receiving from 66681
the appropriating authority a certified copy of the appropriation 66682
measure, a copy of which he shall deliver to the superintendent of 66683
public instruction in the case of a school district. 66684
Appropriations shall be made from each fund only for the purposes 66685
for which such fund is established.66686

       Sec. 5705.41.  No subdivision or taxing unit shall:66687

       (A) Make any appropriation of money except as provided in66688
Chapter 5705. of the Revised Code; provided, that the66689
authorization of a bond issue shall be deemed to be an66690
appropriation of the proceeds of the bond issue for the purpose66691
for which such bonds were issued, but no expenditure shall be made66692
from any bond fund until first authorized by the taxing authority;66693

       (B) Make any expenditure of money unless it has been66694
appropriated as provided in such chapter;66695

       (C) Make any expenditure of money except by a proper warrant66696
drawn against an appropriate fund;66697

       (D)(1) Except as otherwise provided in division (D)(2) of66698
this section and section 5705.44 of the Revised Code, make any66699
contract or give any order involving the expenditure of money66700
unless there is attached thereto a certificate of the fiscal66701
officer of the subdivision that the amount required to meet the66702
obligation or, in the case of a continuing contract to be66703
performed in whole or in part in an ensuing fiscal year, the66704
amount required to meet the obligation in the fiscal year in which66705
the contract is made, has been lawfully appropriated for such66706
purpose and is in the treasury or in process of collection to the66707
credit of an appropriate fund free from any previous encumbrances.66708
This certificate need be signed only by the subdivision's fiscal66709
officer. Every such contract made without such a certificate shall 66710
be void, and no warrant shall be issued in payment of any amount 66711
due thereon. If no certificate is furnished as required, upon 66712
receipt by the taxing authority of the subdivision or taxing unit 66713
of a certificate of the fiscal officer stating that there was at 66714
the time of the making of such contract or order and at the time 66715
of the execution of such certificate a sufficient sum appropriated66716
for the purpose of such contract and in the treasury or in process 66717
of collection to the credit of an appropriate fund free from any 66718
previous encumbrances, such taxing authority may authorize the 66719
drawing of a warrant in payment of amounts due upon such contract, 66720
but such resolution or ordinance shall be passed within thirty 66721
days after the taxing authority receives such certificate; 66722
provided that, if the amount involved is less than one hundred 66723
dollars in the case of counties or three thousand dollars in the 66724
case of all other subdivisions or taxing units, the fiscal officer 66725
may authorize it to be paid without such affirmation of the taxing66726
authority of the subdivision or taxing unit, if such expenditure66727
is otherwise valid.66728

       (2) Annually, the board of county commissioners may adopt a66729
resolution exempting for the current fiscal year county purchases66730
of seven hundred fifty dollars or less from the requirement of66731
division (D)(1) of this section that a certificate be attached to66732
any contract or order involving the expenditure of money. The66733
resolution shall state the dollar amount that is exempted from the66734
certificate requirement and whether the exemption applies to all66735
purchases, to one or more specific classes of purchases, or to the66736
purchase of one or more specific items. Prior to the adoption of66737
the resolution, the board shall give written notice to the county66738
auditor that it intends to adopt the resolution. The notice shall66739
state the dollar amount that is proposed to be exempted and66740
whether the exemption would apply to all purchases, to one or more66741
specific classes of purchases, or to the purchase of one or more66742
specific items. The county auditor may review and comment on the66743
proposal, and shall send any comments to the board within fifteen66744
days after receiving the notice. The board shall wait at least66745
fifteen days after giving the notice to the auditor before66746
adopting the resolution. A person authorized to make a county66747
purchase in a county that has adopted such a resolution shall66748
prepare and file with the county auditor, within three business66749
days after incurring an obligation not requiring a certificate, a66750
written document specifying the purpose and amount of the66751
expenditure, the date of the purchase, the name of the vendor, and66752
such additional information as the auditor of state may prescribe.66753

       (3) Upon certification by the auditor or other chief fiscal66754
officer that a certain sum of money, not in excess of five66755
thousand dollarsan amount established by resolution or ordinance66756
adopted by a majority of the members of the legislative authority66757
of the subdivision or taxing unit, has been lawfully appropriated, 66758
authorized, or directed for a certain purpose and is in the 66759
treasury or in the process of collection to the credit of a 66760
specific line-item appropriation account in a certain fund free 66761
from previous and then outstanding obligations or certifications, 66762
then for such purpose and from such line-item appropriation 66763
account in such fund, over a period not exceeding three months and66764
not extending beyond the end of the fiscal year, expenditures may 66765
be made, orders for payment issued, and contracts or obligations 66766
calling for or requiring the payment of money made and assumed; 66767
provided, that the aggregate sum of money included in and called 66768
for by such expenditures, orders, contracts, and obligations shall 66769
not exceed the sum so certified. Such a certification need be 66770
signed only by the fiscal officer of the subdivision or the taxing66771
district and may, but need not, be limited to a specific vendor.66772
An itemized statement of obligations incurred and expenditures66773
made under such certificate shall be rendered to the auditor or66774
other chief fiscal officer before another such certificate may be66775
issued, and not more than one such certificate shall be66776
outstanding at a time.66777

       In addition to providing the certification for expenditures66778
of five thousand dollars or less as providedspecified in this 66779
division, a subdivision also may make expenditures, issue orders 66780
for payment, and make contracts or obligations calling for or 66781
requiring the payment of money made and assumed for specified 66782
permitted purposes from a specific line-item appropriation account 66783
in a specified fund for a sum of money upon the certification by 66784
the fiscal officer of the subdivision that this sum of money has 66785
been lawfully appropriated, authorized, or directed for a 66786
permitted purpose and is in the treasury or in the process of66787
collection to the credit of the specific line-item appropriation66788
account in the specified fund free from previous and66789
then-outstanding obligations or certifications; provided that the66790
aggregate sum of money included in and called for by the66791
expenditures, orders, and obligations shall not exceed the66792
certified sum. The purposes for which a subdivision may lawfully66793
appropriate, authorize, or issue such a certificate are the66794
services of an accountant, architect, attorney at law, physician,66795
professional engineer, construction project manager, consultant,66796
surveyor, or appraiser by or on behalf of the subdivision or66797
contracting authority; fuel oil, gasoline, food items, roadway66798
materials, and utilities; and any purchases exempt from66799
competitive bidding under section 125.04 of the Revised Code and66800
any other specific expenditure that is a recurring and reasonably66801
predictable operating expense. Such a certification shall not66802
extend beyond the end of the fiscal year or, in the case of a66803
board of county commissioners that has established a quarterly66804
spending plan under section 5705.392 of the Revised Code, beyond66805
the quarter to which the plan applies. Such a certificate shall be 66806
signed by the fiscal officer and may, but need not, be limited to 66807
a specific vendor. An itemized statement of obligations incurred66808
and expenditures made under such a certificate shall be rendered66809
to the fiscal officer for each certificate issued. More than one66810
such certificate may be outstanding at any time.66811

       In any case in which a contract is entered into upon a per66812
unit basis, the head of the department, board, or commission for66813
the benefit of which the contract is made shall make an estimate66814
of the total amount to become due upon such contract, which66815
estimate shall be certified in writing to the fiscal officer of66816
the subdivision. Such a contract may be entered into if the66817
appropriation covers such estimate, or so much thereof as may be66818
due during the current year. In such a case the certificate of the 66819
fiscal officer based upon the estimate shall be a sufficient66820
compliance with the law requiring a certificate.66821

       Any certificate of the fiscal officer attached to a contract66822
shall be binding upon the political subdivision as to the facts66823
set forth therein. Upon request of any person receiving an order66824
or entering into a contract with any political subdivision, the66825
certificate of the fiscal officer shall be attached to such order66826
or contract. "Contract" as used in this section excludes current66827
payrolls of regular employees and officers.66828

       Taxes and other revenue in process of collection, or the66829
proceeds to be derived from authorized bonds, notes, or66830
certificates of indebtedness sold and in process of delivery,66831
shall for the purpose of this section be deemed in the treasury or66832
in process of collection and in the appropriate fund. This section 66833
applies neither to the investment of sinking funds by the trustees 66834
of such funds, nor to investments made under sections 731.56 to 66835
731.59 of the Revised Code.66836

       No district authority shall, in transacting its own affairs,66837
do any of the things prohibited to a subdivision by this section,66838
but the appropriation referred to shall become the appropriation66839
by the district authority, and the fiscal officer referred to66840
shall mean the fiscal officer of the district authority.66841

       Sec. 5709.20.  As used in sections 5709.20 to 5709.27 of the 66842
Revised Code:66843

       (A) "Air contaminant" means particulate matter, dust, fumes, 66844
gas, mist, smoke, vapor, or odorous substances, or any combination 66845
thereof.66846

       (B) "Air pollution control facility" means any property66847
designed, constructed, or installed for the primary purpose of66848
eliminating or reducing the emission of, or ground level66849
concentration of, air contaminants whichgenerated at an 66850
industrial or commercial plant or site that renders air harmful or66851
inimical to the public health or to property within this state, or 66852
such property installed on or after November 1, 1993, at a 66853
petroleum refinery for the primary purpose of eliminating or 66854
reducing substances within fuel that otherwise would create the 66855
emission of air contaminants upon the combustion of fuel.66856

       (C) "Energy conversion" means the conversion of fuel or power 66857
usage and consumption from natural gas to an alternate fuel or 66858
power source other than propane, butane, naphtha, or fuel oil; or 66859
the conversion of fuel or power usage and consumption from fuel 66860
oil to an alternate fuel or power source other than natural gas, 66861
propane, butane, or naphtha.66862

       (D) "Energy conversion facility" means any additional 66863
property or equipment designed, constructed, or installed after 66864
December 31, 1974, for use at an industrial or commercial plant or 66865
site for the primary purpose of energy conversion.66866

       (E) "Exempt facility" means any of the facilities defined in 66867
division (B), (D), (F), (I), (K), or (L) of this section for which 66868
an exempt facility certificate is issued pursuant to section 66869
5709.21 or for which a certificate remains valid under section 66870
5709.201 of the Revised Code.66871

       (F) "Noise pollution control facility" means any property66872
designed, constructed, or installed in or onfor use at an 66873
industrial or commercial plant or site for the primary purpose of 66874
eliminating or reducing, at that plant or site, the emission of 66875
sound which is harmful or inimical to persons or property, or 66876
materially reduces the quality of the environment, as shall be 66877
determined by the director of environmental protection within such 66878
standards for noise pollution control facilities and standards for 66879
environmental noise necessary to protect public health and welfare 66880
as may be promulgated by the United States environmental 66881
protection agency. In the absence of such United States 66882
environmental protection agency standards, the determination shall 66883
be made in accordance with generally accepted current standards of 66884
good engineering practice in environmental noise control.66885

       Facilities(G) "Solid waste" means such unwanted residual 66886
solid or semi-solid material as results from industrial 66887
operations, including those of public utility companies, and 66888
commercial, distribution, research, agricultural, and community 66889
operations, including garbage, combustible or noncombustible, 66890
street dirt, and debris.66891

       (H) "Solid waste energy conversion" means the conversion of 66892
solid waste into energy and the utilization of such energy for 66893
some useful purpose.66894

       (I) "Solid waste energy conversion facility" means any 66895
property or equipment designed, constructed, or installed after 66896
December 31, 1974, for use at an industrial or a commercial plant 66897
or site for the primary purpose of solid waste energy conversion.66898

       (J) "Thermal efficiency improvement" means the recovery and 66899
use of waste heat or waste steam produced incidental to electric 66900
power generation, industrial process heat generation, lighting, 66901
refrigeration, or space heating.66902

       (K) "Thermal efficiency improvement facility" means any 66903
property or equipment designed, constructed, or installed after 66904
December 31, 1974, for use at an industrial or a commercial plant 66905
or site for the primary purpose of thermal efficiency improvement.66906

       (L) "Industrial water pollution control facility" means any 66907
property designed, constructed, or installed for the primary 66908
purpose of collecting or conducting industrial waste to a point of 66909
disposal or treatment; reducing, controlling, or eliminating water 66910
pollution caused by industrial waste; or reducing, controlling, or 66911
eliminating the discharge into a disposal system of industrial 66912
waste or what would be industrial waste if discharged into the 66913
waters of this state. This division applies only to property 66914
related to an industrial water pollution control facility placed 66915
into operation or initially capable of operation after December 66916
31, 1965, and installed pursuant to the approval of the 66917
environmental protection agency or any other governmental agency 66918
having authority to approve the installation of industrial water 66919
pollution control facilities. The definitions in section 6111.01 66920
of the Revised Code, as applicable, apply to the terms used in 66921
this division.66922

       (M) Property designed, constructed, installed, used, or66923
placed in operation solelyprimarily for the safety, health, 66924
protection, or benefit, or any combination thereof, of personnel, 66925
or byof a business solely for its, or primarily for a business's66926
own benefit, are not pollution control facilitiesis not an 66927
"exempt facility."66928

       Sec. 5709.201.  (A) Except as provided in divisions (C)(4)(a) 66929
and (c) of section 5709.22 and division (F) of section 5709.25 of 66930
the Revised Code, a certificate issued under section 5709.21, 66931
5709.31, 5709.46, or 6111.31 of the Revised Code that was valid 66932
and in effect on the effective date of this section shall continue 66933
in effect subject to the law as it existed before that effective 66934
date. Division (C)(4)(b) of section 5709.22 of the Revised Code 66935
does not apply to any certificate issued by the tax commissioner 66936
before July 1, 2003.66937

       (B) Any applications pending on the effective date of this 66938
section for which a certificate had not been issued on or before 66939
that effective date under section 6111.31 of the Revised Code 66940
shall be transferred to the tax commissioner for further 66941
administering. Sections 5709.20 to 5709.27 of the Revised Code 66942
apply to such pending applications, excluding the requirement of 66943
section 5709.212 of the Revised Code that applicants must pay the 66944
fee.66945

       (C) For applications pending on the effective date of this 66946
section, division (D) of section 5709.25 of the Revised Code 66947
allowing the commissioner to assess any additional tax 66948
notwithstanding any other time limitations imposed by law on the 66949
denied portion of the applicant's claim applies only to tax 66950
periods that would otherwise be open to assessment on that 66951
effective date.66952

       Sec. 5709.21. (A) As used in this section:66953

       (1) "Exclusive property" means real and personal property 66954
that is installed, used, and necessary for the operation of an 66955
exempt facility, and that is not auxiliary property unless the 66956
auxiliary property exempt cost equals or exceeds eighty-five per 66957
cent of the total cost of the property.66958

       (2) "Auxiliary property" means personal property installed, 66959
used, and necessary for the operation of an exempt facility that 66960
is also used in other operations of the business other than an 66961
exempt facility purpose described in section 5709.20 of the 66962
Revised Code. "Auxiliary property" does not include property with 66963
an auxiliary property exempt cost that is less than or equal to 66964
fifteen per cent of the total cost of such property.66965

       (3) "Auxiliary property exempt cost" means the cost of 66966
auxiliary property calculated as follows:66967

       (a) If the auxiliary property is used for an exempt facility 66968
purpose for discrete periods of time, the exempt cost shall be 66969
determined by the ratio of time the auxiliary property is in use 66970
in such exempt capacity to the total time it is in use. Division 66971
(A)(3)(a) of this section does not apply if the property is 66972
concurrently used for an exempt facility purpose and a nonexempt 66973
facility purpose.66974

       (b) The applicant has the burden of proving the exempt cost 66975
of all auxiliary property not described in division (A)(3)(a) of 66976
this section.66977

       (c) Any cost related to an expansion of the commercial or 66978
industrial site that is not related to the operation of the exempt 66979
facility shall not be included as an auxiliary exempt cost under 66980
division (A)(3) of this section.66981

       (B) Application for an air or noise pollution controlexempt 66982
facility certificate shall be filed with the tax commissioner in66983
such manner and in such form as may be prescribed by regulations66984
issued by the tax commissioner and. The application shall contain 66985
plans and specifications of the structure or structuresproperty,66986
including all materials incorporated andor to be incorporated 66987
therein and their associated costs, and a descriptive list of all 66988
equipment acquired or to be acquired by the applicant for the 66989
purpose of air or noise pollution controlexempt facility and its 66990
associated cost. If the commissioner, after obtaining the opinion 66991
of the director of environmental protection, finds that the 66992
proposed facilityproperty was designed primarily for the control 66993
of air or noise pollution as defined in section 5709.20 of the 66994
Revised Code,as an exempt facility and is suitable and reasonably 66995
adequate for such purpose and is intended for such purpose, hethe 66996
commissioner shall enter a finding and issue a certificate to that 66997
effect. Said certificate shall permit tax exemption pursuant to66998
section 5709.25 of the Revised Code only for that portion of such66999
pollution control facility or that part used exclusively for air67000
or noise pollution control. The effective date of saidthe67001
certificate shall be the date of the making of the application was 67002
made for such certificate or the date of the construction of the67003
facility, whichever is earlier; provided, that if such application 67004
relates to facilities placed in operation or capable of operation 67005
prior to October 2, 1969, the effective date of the certificate 67006
shall be the date of the application.67007

       Nothing in this section shall be construed to extend the time 67008
period to file, to keep the time period to file open, or supersede 67009
the requirement of filing a tax refund or other tax reduction 67010
request in the manner and within the time prescribed by law.67011

       (C)(1) Except as provided in division (C)(2) of this section, 67012
the certificate shall permit tax exemption pursuant to section 67013
5709.25 of the Revised Code only for that portion of such exempt 67014
facility that is exclusive property used for a purpose enumerated 67015
in section 5709.20 of the Revised Code.67016

       (2) Auxiliary property shall be permitted a partial tax 67017
exemption under section 5709.25 of the Revised Code, but only to 67018
the extent allowed pursuant to division (A)(3) of this section.67019

       (D) The tax commissioner may allow an applicant to file one 67020
application that applies to more than one exempt facility that are 67021
the same or substantially similar, so long as such facilities are 67022
located within the same county.67023

       Sec. 5709.211.  (A) Before issuing an exempt facility 67024
certificate pursuant to section 5709.21 of the Revised Code, the 67025
tax commissioner shall provide a copy of a properly completed 67026
application to, and obtain the opinion of, the director of 67027
environmental protection in the case of an exempt facility 67028
described in division (B), (F), or (L) of section 5709.20 of the 67029
Revised Code, or provide a copy of the application to, and obtain 67030
the opinion of, the director of development in the case of an 67031
application for an exempt facility described in division (D), (I), 67032
or (K) of section 5709.20 of the Revised Code. The opinion shall 67033
provide the commissioner with a recommendation of whether the 67034
property is primarily designed, constructed, installed, and used 67035
as an exempt facility. The applicant shall provide additional 67036
information upon request by the tax commissioner, the director of 67037
environmental protection, or the director of development, and 67038
allow them to inspect the property listed in the application for 67039
the purposes of sections 5709.20 to 5709.27 of the Revised Code. 67040
The tax commissioner shall provide to the applicant a copy of the 67041
opinion issued by either the director of environmental protection 67042
or the director of the department of development.67043

       (B) The opinions of the director of the environmental 67044
protection agency and the director of development under division 67045
(A) of this section or division (C)(4) of section 5709.22 of the 67046
Revised Code are not final actions or orders subject to appeal.67047

       Sec. 5709.212.  (A) With every application for an exempt 67048
facility certificate filed pursuant to section 5709.21 of the 67049
Revised Code, the applicant shall pay a fee equal to one-half of 67050
one per cent of the total exempt facility project cost, not to 67051
exceed two thousand dollars. One-half of the fee received with 67052
applications for exempt facility certificates shall be credited to 67053
the exempt facility administrative fund, which is hereby created 67054
in the state treasury, for appropriation to the department of 67055
taxation for use in administering sections 5709.20 to 5709.27 of 67056
the Revised Code. If the director of environmental protection is 67057
required to provide the opinion for an application, one-half of 67058
the fee shall be credited to the clean air fund created in section 67059
3704.035 of the Revised Code for use in administering section 67060
5709.211 of the Revised Code, unless the application is for an 67061
industrial water pollution control facility. If the application is 67062
for an industrial water pollution control facility, one-half of 67063
the fee shall be credited to the surface water protection fund 67064
created in section 6111.038 of the Revised Code for use in 67065
administering section 5709.211 of the Revised Code. If the 67066
director of development is required to provide the opinion for an 67067
application, one-half of the fee for each exempt facility 67068
application shall be credited to the exempt facility inspection 67069
fund, which is hereby created in the state treasury, for 67070
appropriation to the department of development for use in 67071
administering section 5709.211 of the Revised Code.67072

       An applicant is not entitled to any tax exemption under 67073
section 5709.25 of the Revised Code until the fee required by this 67074
section is paid. The fee required by this section is not 67075
refundable, and is due with the application for an exempt facility 67076
certificate even if an exempt facility certificate ultimately is 67077
not issued or is withdrawn. Any application submitted without 67078
payment of the fee shall be deemed incomplete until the fee is 67079
paid.67080

       (B) The application fee imposed under division (A) of this 67081
section for a jointly owned facility shall be equal to one-half of 67082
one per cent of the total exempt facility project cost, not to 67083
exceed two thousand dollars for each facility that is the subject 67084
of the application.67085

       Sec. 5709.22. Before issuing any certificate the tax67086
commissioner shall give notice in writing by mail to the auditor67087
of the county in which such facilities are located, and shall67088
afford to the applicant and to the auditor an opportunity for a67089
hearing. On like notice to the applicant and opportunity for a67090
hearing, the commissioner shall on his(A) After receiving an 67091
opinion from the director of environmental protection or the 67092
director of development, the tax commissioner shall promptly 67093
ascertain if an application filed under section 5709.21 of the 67094
Revised Code shall be allowed or disallowed in whole or in part. 67095
The commissioner shall give written notice of the proposed finding 67096
to the applicant and the county auditor of the county in which the 67097
facility described in the application is located. Within sixty 67098
days after sending written notice of the proposed finding, the 67099
applicant or the county auditor may file a request for 67100
reconsideration, in writing, to the commissioner and may request 67101
that the commissioner conduct a hearing on the application. If no 67102
request for reconsideration is filed, the commissioner's proposed 67103
findings shall be final and, if applicable, the commissioner shall 67104
issue an exempt facility certificate, which shall not be subject 67105
to appeal pursuant to section 5717.02 of the Revised Code.67106

       (B) If a reconsideration of the tax commissioner's proposed 67107
finding is requested by the applicant or the county auditor, the 67108
commissioner shall notify the applicant and the auditor of the 67109
time and place of the hearing, which the commissioner may continue 67110
from time to time as the commissioner finds necessary. The 67111
commissioner also shall notify the environmental protection agency 67112
or department of development, as applicable, of the hearing. The 67113
environmental protection agency or the department of development 67114
shall participate in the hearing if requested in writing by the 67115
commissioner, the applicant, or the county auditor. After 67116
conducting the hearing, the commissioner shall issue a final 67117
determination, with a copy of it served on the applicant and 67118
applicable county auditors in the manner prescribed by section 67119
5703.37 of the Revised Code. The final determination is subject to 67120
appeal pursuant to section 5717.02 of the Revised Code. Once all 67121
appeals are exhausted, the commissioner shall issue, if 67122
applicable, the exempt facility certificate based on the outcome 67123
of the appeal.67124

       (C) The tax commissioner, on the commissioner's own67125
initiative or on complaint by the county auditor of theany county 67126
in which any property to which such air or noise pollution control67127
the exempt facility certificate relates is located, shall revoke 67128
such air or noise pollution control certificate whenever any of 67129
the following appearsthe certificate, or modify it by restricting 67130
its operation, if it appears to the commissioner that any of the 67131
following has occurred:67132

       (A)(1) The certificate was obtained by fraud or67133
misrepresentation;67134

       (B)(2) The holder of the certificate has failed substantially67135
to proceed with the construction, reconstruction, installation, or 67136
acquisition of air or noise pollution control facilitiesan exempt 67137
facility;67138

       (C)(3) The structure or equipment or bothproperty to which 67139
the certificate relates has ceased to be used for the primary 67140
purpose of pollution control and is being used for a different 67141
purpose.67142

       Provided, that where the circumstances so require, the67143
commissioner in lieu of revoking such certificate may modify the67144
same by restricting its operationsas an exempt facility;67145

       (4) The tax commissioner issued the certificate in error. As 67146
used in this section, "error" means any of the following:67147

       (a) A clerical or mathematical mistake;67148

       (b) When the commissioner agrees with an opinion from the 67149
director of environmental protection or the director of 67150
development that a certificate should not have been issued;67151

       (c) When the tax commissioner determines that the issuance of 67152
the certificate may have been improper as the result of a final 67153
adjudication by the board of tax appeals, or by a court with 67154
jurisdiction on appeal from that board, that is adverse to the 67155
original exempt status of the facility, regardless of whether the 67156
holder of the certificate was a party to such adjudication.67157

       (D) If the revocation or modification of a certificate under 67158
division (C)(4) of this section is an action found to be frivolous 67159
for the purposes of section 5703.54 of the Revised Code the 67160
certificate holder may claim damages as provided under division 67161
(B) of that section.67162

       On the mailing of notice of the action of the commissioner67163
revoking or modifying an air or noise pollution control67164
certificate as provided in section 5709.23 of the Revised Code,67165
such(E) Upon service of notice certificate to the holder of an 67166
exempt facility certificate, in the manner provided in section 67167
5703.37 of the Revised Code, of the tax commissioner's revocation 67168
or modification of the certificate under division (C) of this 67169
section, the certificate shall cease to be in force or shall 67170
remain in force only as modified, as the case may require. The 67171
notice is subject to appeal under section 5717.02 of the Revised 67172
Code. Once all appeals are exhausted, the commissioner shall issue 67173
a modified certificate, if applicable, and the holder of the 67174
certificate shall be allowed to claim a refund within one hundred 67175
eighty days, notwithstanding any other time limitation provided by 67176
law of the taxes paid as a result of the certificate being revoked 67177
or modified.67178

       Sec. 5709.23.  (A) As soon as is practicable after receiving 67179
an application for an exempt facility certificate, the tax 67180
commissioner shall provide a copy of the application and any 67181
accompanying documentation to the county auditor of the county in 67182
which the facility is located. The copy shall be accompanied by a 67183
statement showing an estimate of what the assessed value of the 67184
facility would be, based on the appropriate assessment percentage, 67185
if the facility were to be taxable, and an estimate of the taxes 67186
that would be chargeable against the facility computed on the 67187
basis of the rate of taxation in the taxing district in the year 67188
in which the application is received. Within sixty days after 67189
receiving such a statement, the county auditor shall issue a 67190
notice to the taxing authority of each taxing unit in which the 67191
facility is or is to be located. The notice shall state that an 67192
application for an exempt facility certificate has been filed for 67193
the facility; the estimated assessed value of the facility shown 67194
on the statement; the annual amount of taxes that would be charged 67195
and payable on that value at the current rate of taxation in 67196
effect in the taxing unit; and that, if approved, the application 67197
entitles the facility to exemption from taxation and the taxing 67198
unit may be required to refund any taxes on the facility accruing 67199
after the certificate becomes effective. The tax commissioner 67200
shall issue an amended statement if, after the original statement 67201
is issued, the estimate of such assessed value increases or 67202
decreases by more than ten per cent of the estimated value shown 67203
on the most recently issued statement or amended statement, and 67204
the county auditor shall issue an amended notice reflecting such 67205
change.67206

       (B) Upon request by the county auditor of the county in which 67207
the exempt facility described in the application is located, the 67208
tax commissioner shall provide the county auditor with any 67209
documents submitted with the opinion of the director of 67210
environmental protection or director of development, including a 67211
copy of opinion.67212

       (C) Any documents, statements, and notices provided for under 67213
this section are solely for the purpose of notifying taxing 67214
authorities of the existence of an exempt facility application and 67215
the potential for a refund of taxes paid on an exempt facility 67216
before a tax exemption certificate is issued. Such documents, 67217
statements, and notices do not constitute an assessment that is 67218
subject to a petition for reassessment nor are such documents, 67219
statements, and notices appealable under section 5717.02 of the 67220
Revised Code by any person.67221

       (D) The documents, statements, and notices provided by the 67222
tax commissioner under this section are subject to all applicable 67223
confidentiality provisions of law.67224

       Sec. 5709.24.  The tax commissioner may adopt rules to 67225
administer sections 5709.20 to 5709.27 of the Revised Code.67226

       Sec. 5709.25.  (A) Whenever an air or noise pollution control67227
exempt facility certificate is issued on a pollution control 67228
facility, the transfer of tangible personal property to the holder 67229
of the certificate, whether such transfer takes place before or 67230
after the issuance of the certificate, shall not be considered a 67231
"sale" of such tangible personal property for the purpose of the 67232
sales tax, or a "use" for the purpose of the use tax, if the 67233
tangible personal property is to be or was a material or part to 67234
be incorporated into an air or noise pollution controlexempt67235
facility as defined in section 5709.20 of the Revised Code.67236

       (B) For the period subsequent to the effective date of an air 67237
or noise pollution controlexempt facility certificate and 67238
continuing for so long as the certificate is in force, no 67239
pollution controlexempt facility or certified portion thereof 67240
shall be considered to be either of the following:67241

       (1) An improvement on the land on which the sameexempt 67242
facility is located for the purpose of real property taxation;67243

       (2) As "used in business" for the purpose of personal67244
property taxation;67245

       (3) As an asset of any corporation in determining the value 67246
of its issued and outstanding shares or the value of the property 67247
owned and used by it in this state for the purpose of the 67248
franchise tax.67249

       (C)(1) The tax commissioner, upon receiving a properly 67250
completed application for an exempt facility certificate, may 67251
allow the applicant to claim the exemption provided by this 67252
section before the commissioner issues the certificate. The 67253
applicant is entitled to the exemption unless the commissioner 67254
notifies the applicant otherwise by serving notice upon the 67255
applicant in the manner prescribed by section 5703.37 of the 67256
Revised Code.67257

       (2) A taxpayer whose tangible personal property is subject to 67258
taxation under Chapter 5727. of the Revised Code shall notify the 67259
commissioner in writing of any property the applicant does not 67260
want the commissioner to exclude from assessment. The notice shall 67261
be provided before the date the commissioner issues the 67262
preliminary assessment under section 5727.23 of the Revised Code.67263

       (D)(1) Notwithstanding any other time limitations imposed by 67264
law, the commissioner may assess any additional tax or may assess 67265
any additional taxable property, including any applicable 67266
interest, on the denied portion of the applicant's claim for an 67267
exempt facility that the applicant claimed prior to the exempt 67268
facility certificate being issued or the application being denied. 67269
No assessment shall be made pursuant to this division after one 67270
hundred eighty days from the date the commissioner mails the 67271
exempt facility certificate or notice of the denial of the exempt 67272
facility certificate pursuant to section 5709.22 of the Revised 67273
Code. Nothing in this section shall prohibit an assessment that 67274
otherwise may be timely made by law.67275

       (2) Assessments issued pursuant to division (D)(1) of this 67276
section shall be issued as amended preliminary assessment 67277
certificates under section 5711.31 of the Revised Code for 67278
personal property tax, as amended preliminary assessment 67279
certificates under section 5727.23 of the Revised Code for public 67280
utility tax, and as assessments under section 5733.11 of the 67281
Revised Code for corporation franchise tax, section 5739.13 of the 67282
Revised Code for sales tax, and section 5741.11 of the Revised 67283
Code for use tax, and are subject to the same appeal requirements 67284
as defined in those sections.67285

       (3) Nothing in division (D) of this section allows the tax 67286
commissioner, after the expiration of the time limitation, to 67287
issue an assessment referenced in division (D)(2) of this section 67288
that increases any tax beyond the amount claimed by the applicant 67289
as an exempt facility.67290

       (4) If an assessment is issued for only the denied portion of 67291
the application for an exempt facility, the only issue the 67292
applicant is permitted to raise on appeal of the assessment 67293
referenced in division (D)(2) of this section is that of the 67294
taxable property or transaction constituting the denied portion of 67295
the applicant's claim for an exempt facility.67296

       (E) Except as otherwise provided in this division, no 67297
exemption for additional property shall be claimed under this 67298
section after an exempt facility certificate has been issued for 67299
that facility unless the applicant files a new application under 67300
section 5709.21 of the Revised Code. The tax commissioner shall 67301
waive the requirement to file a new application under section 67302
5709.21 of the Revised Code if the cost of the additional 67303
property, net of retirements for similar property, does not exceed 67304
five hundred thousand dollars during any calendar year. The fee 67305
imposed under section 5709.212 of the Revised Code for 67306
applications filed as a result of this division shall be five 67307
hundred dollars.67308

       (F) If, as the result of a revaluation due to sale or 67309
bankruptcy or any other reason, the book value of property that is 67310
the subject of an exempt facility certificate is changed from the 67311
book value at the time of the original issuance of the 67312
certificate, the amount of exemption available to the owner is 67313
limited to the percentage resulting from the ratio of the 67314
historical cost of the property that is the subject of the exempt 67315
facility certificate to the historic cost of all tangible personal 67316
property and real property of the owner located at the same 67317
location as the property subject to the exempt facility 67318
certificate. If the result of using this ratio is greater than the 67319
original cost, then acceptable reasons for allowing such greater 67320
cost must be established with supporting documentation in order to 67321
qualify for the exemption above the original cost.67322

       (G) After two years from the date the tax commissioner 67323
receives an application, the applicant may request in writing that 67324
the tax commissioner take final action on the pending application. 67325
Within ten days after receiving such a request, the tax 67326
commissioner shall issue a proposed finding, under section 5709.22 67327
of the Revised Code, if the application is allowed in whole or in 67328
part. Otherwise, the tax commissioner shall issue a final 67329
determination denying the issuance of the certificate, which is a 67330
final determination appealable under section 5717.02 of the 67331
Revised Code.67332

       Sec. 5709.26.  When an air or noise pollution controlexempt 67333
facility certificate is revoked because obtained by fraud or 67334
misrepresentationor modified for the reason stated in division 67335
(C)(1) of section 5709.22 of the Revised Code, all taxes which67336
that would have been payable had no certificate been issued shall 67337
be assessed with maximum penalties and interest prescribed by law 67338
applicable thereto dating to when the exemption was first allowed. 67339
Notwithstanding any other time limitations imposed by law, if the 67340
certificate is revoked or modified under division (C)(2), (3), or 67341
(4) of section 5709.22 of the Revised Code, all taxes that would 67342
have been payable had no certificate existed as of the first day 67343
of January of the calendar year in which the certificate was 67344
revoked or modified are subject to assessment.67345

       Sec. 5709.27.  In the event of the sale, lease, or other 67346
transfer of an air or noise pollution controlexempt facility, not 67347
involving a different location or use, the holder of an air or 67348
noise pollution controlthe exempt facility certificate for such 67349
facility mayshall transfer the certificate by written instrument 67350
to the person who, except for the transfer of the certificate, 67351
would be obligated to pay taxes on suchthe facility. The 67352
transferee shall become the holder of the certificate and shall67353
have all the rights to exemption from taxes which were granted to 67354
the former holder or holders, effective as of the date of transfer 67355
of the facility or the date of transfer of the certificate, 67356
whichever is earlier. The transferee shall promptly give written 67357
notice of the effective date of the transfer, together with a copy 67358
of the instrument of transfer, to the tax commissioner and the 67359
county auditor of the county in which the facility is located. 67360
Upon request, the commissioner may provide the transferee with any 67361
information the commissioner possesses related to the issuance of 67362
the exempt facility certificate.67363

       Sec. 5709.61.  As used in sections 5709.61 to 5709.69 of the67364
Revised Code:67365

       (A) "Enterprise zone" or "zone" means any of the following:67366

       (1) An area with a single continuous boundary designated in67367
the manner set forth in section 5709.62 or 5709.63 of the Revised67368
Code and certified by the director of development as having a67369
population of at least four thousand according to the best and67370
most recent data available to the director and having at least two67371
of the following characteristics:67372

       (a) It is located in a municipal corporation defined by the67373
United States office of management and budget as a central city of67374
a metropolitan statistical area or in a city designated as an 67375
urban cluster in a rural statistical area;67376

       (b) It is located in a county designated as being in the67377
"Appalachian region" under the "Appalachian Regional Development67378
Act of 1965," 79 Stat. 5, 40 App. U.S.C.A. 403, as amended;67379

       (c) Its average rate of unemployment, during the most recent67380
twelve-month period for which data are available, is equal to at67381
least one hundred twenty-five per cent of the average rate of67382
unemployment for the state of Ohio for the same period;67383

       (d) There is a prevalence of commercial or industrial67384
structures in the area that are vacant or demolished, or are67385
vacant and the taxes charged thereon are delinquent, and67386
certification of the area as an enterprise zone would likely67387
result in the reduction of the rate of vacant or demolished67388
structures or the rate of tax delinquency in the area;67389

       (e) The population of all census tracts in the area,67390
according to the federal census of 1990, decreased by at least ten67391
per cent between the years 1970 and 1990;67392

       (f) At least fifty-one per cent of the residents of the area67393
have incomes of less than eighty per cent of the median income of67394
residents of the municipal corporation or municipal corporations67395
in which the area is located, as determined in the same manner67396
specified under section 119(b) of the "Housing and Community67397
Development Act of 1974," 88 Stat. 633, 42 U.S.C. 5318, as67398
amended;67399

       (g) The area contains structures previously used for67400
industrial purposes, but currently not so used due to age,67401
obsolescence, deterioration, relocation of the former occupant's67402
operations, or cessation of operations resulting from unfavorable67403
economic conditions either generally or in a specific economic67404
sector;67405

       (h) It is located within one or more adjacent city, local, or 67406
exempted village school districts, the income-weighted tax67407
capacity of each of which is less than seventy per cent of the67408
average of the income-weighted tax capacity of all city, local, or67409
exempted village school districts in the state according to the67410
most recent data available to the director from the department of67411
taxation.67412

       The director of development shall adopt rules in accordance67413
with Chapter 119. of the Revised Code establishing conditions67414
constituting the characteristics described in divisions (A)(1)(d),67415
(g), and (h) of this section.67416

       If an area could not be certified as an enterprise zone67417
unless it satisfied division (A)(1)(g) of this section, the67418
legislative authority may enter into agreements in that zone under67419
section 5709.62, 5709.63, or 5709.632 of the Revised Code only if67420
such agreements result in the development of the facilities67421
described in that division, the parcel of land on which such67422
facilities are situated, or adjacent parcels. The director of67423
development annually shall review all agreements in such zones to67424
determine whether the agreements have resulted in such67425
development; if the director determines that the agreements have67426
not resulted in such development, the director immediately shall67427
revoke certification of the zone and notify the legislative67428
authority of such revocation. Any agreements entered into prior to 67429
revocation under this paragraph shall continue in effect for the 67430
period provided in the agreement.67431

       (2) An area with a single continuous boundary designated in67432
the manner set forth in section 5709.63 of the Revised Code and67433
certified by the director of development as:67434

       (a) Being located within a county that contains a population67435
of three hundred thousand or less;67436

       (b) Having a population of at least one thousand according to 67437
the best and most recent data available to the director;67438

       (c) Having at least two of the characteristics described in67439
divisions (A)(1)(b) to (h) of this section.67440

       (3) An area with a single continuous boundary designated in67441
the manner set forth under division (A)(1) of section 5709.632 of67442
the Revised Code and certified by the director of development as67443
having a population of at least four thousand, or under division67444
(A)(2) of that section and certified as having a population of at67445
least one thousand, according to the best and most recent data67446
available to the director.67447

       (B) "Enterprise" means any form of business organization67448
including, but not limited to, any partnership, sole67449
proprietorship, or corporation, including an S corporation as67450
defined in section 1361 of the Internal Revenue Code and any67451
corporation that is majority work-owned either directly through67452
the ownership of stock or indirectly through participation in an67453
employee stock ownership plan.67454

       (C) "Facility" means an enterprise's place of business in a67455
zone, including land, buildings, machinery, equipment, and other67456
materials, except inventory, used in business. "Facility" includes 67457
land, buildings, machinery, production and station equipment,67458
other equipment, and other materials, except inventory, used in 67459
business to generate electricity, provided that, for purposes of 67460
sections 5709.61 to 5709.69 of the Revised Code, the value of the67461
property at such a facility shall be reduced by the value, if any, 67462
that is not apportioned under section 5727.15 of the Revised Code 67463
to the taxing district in which the facility is physically 67464
located. In the case of such a facility that is physically located 67465
in two adjacent taxing districts, the property located in each 67466
taxing district constitutes a separate facility.67467

       "Facility" does not include any portion of an enterprise's67468
place of business used primarily for making retail sales, unless67469
the place of business is located in an impacted city as defined in67470
section 1728.01 of the Revised Code.67471

       (D) "Vacant facility" means a facility that has been vacant67472
for at least ninety days immediately preceding the date on which67473
an agreement is entered into under section 5709.62 or 5709.63 of67474
the Revised Code.67475

       (E) "Expand" means to make expenditures to add land,67476
buildings, machinery, equipment, or other materials, except67477
inventory, to a facility that equal at least ten per cent of the67478
market value of the facility prior to such expenditures, as67479
determined for the purposes of local property taxation.67480

       (F) "Renovate" means to make expenditures to alter or repair67481
a facility that equal at least fifty per cent of the market value67482
of the facility prior to such expenditures, as determined for the67483
purposes of local property taxation.67484

       (G) "Occupy" means to make expenditures to alter or repair a67485
vacant facility equal to at least twenty per cent of the market67486
value of the facility prior to such expenditures, as determined67487
for the purposes of local property taxation.67488

       (H) "Project site" means all or any part of a facility that67489
is newly constructed, expanded, renovated, or occupied by an67490
enterprise.67491

       (I) "Project" means any undertaking by an enterprise to67492
establish a facility or to improve a project site by expansion,67493
renovation, or occupancy.67494

       (J) "Position" means the position of one full-time employee67495
performing a particular set of tasks and duties.67496

       (K) "Full-time employee" means an individual who is employed67497
for consideration by an enterprise for at least thirty-five hours67498
a week, or who renders any other standard of service generally67499
accepted by custom or specified by contract as full-time67500
employment.67501

       (L) "New employee" means a full-time employee first employed67502
by an enterprise at a facility that is a project site after the67503
enterprise enters an agreement under section 5709.62 or 5709.63 of67504
the Revised Code. "New employee" does not include an employee if,67505
immediately prior to being employed by the enterprise, the67506
employee was employed by an enterprise that is a related member or67507
predecessor enterprise of that enterprise.67508

       (M) "Unemployed person" means any person who is totally67509
unemployed in this state, as that term is defined in division (M)67510
of section 4141.01 of the Revised Code, for at least ten67511
consecutive weeks immediately preceding that person's employment67512
at a facility that is a project site, or who is so unemployed for67513
at least twenty-six of the fifty-two weeks immediately preceding67514
that person's employment at such a facility.67515

       (N) "JTPA eligible employee" means any individual who is67516
eligible for employment or training under the "Job Training67517
Partnership Act," 96 Stat. 1324 (1982), 29 U.S.C. 1501, as67518
amended.67519

       (O) "First used in business" means that the property referred 67520
to has not been used in business in this state by the enterprise 67521
that owns it, or by an enterprise that is a related member or 67522
predecessor enterprise of such an enterprise, other than as 67523
inventory, prior to being used in business at a facility as the67524
result of a project.67525

       (P) "Training program" means any noncredit training program67526
or course of study that is offered by any state college or67527
university; university branch district; community college;67528
technical college; nonprofit college or university certified under67529
section 1713.02 of the Revised Code; school district; joint67530
vocational school district; school registered and authorized to67531
offer programs under section 3332.05 of the Revised Code; an67532
entity administering any federal, state, or local adult education67533
and training program; or any enterprise; and that meets all of the67534
following requirements:67535

       (1) It is approved by the director of development;67536

       (2) It is established or operated to satisfy the need of a67537
particular industry or enterprise for skilled or semi-skilled67538
employees;67539

       (3) An individual is required to complete the course or67540
program before filling a position at a project site.67541

       (Q) "Development" means to engage in the process of clearing67542
and grading land, making, installing, or constructing water67543
distribution systems, sewers, sewage collection systems, steam,67544
gas, and electric lines, roads, curbs, gutters, sidewalks, storm67545
drainage facilities, and construction of other facilities or67546
buildings equal to at least fifty per cent of the market value of67547
the facility prior to the expenditures, as determined for the67548
purposes of local property taxation.67549

       (R) "Large manufacturing facility" means a single Ohio67550
facility that employed an average of at least one thousand67551
individuals during the five calendar years preceding an agreement67552
authorized under division (C)(3) of section 5709.62 or division67553
(B)(2) of section 5709.63 of the Revised Code. For purposes of67554
this division, both of the following apply:67555

       (1) A single Ohio manufacturing facility employed an average67556
of at least one thousand individuals during the five calendar67557
years preceding entering into such an agreement if one-fifth of67558
the sum of the number of employees employed on the highest67559
employment day during each of the five calendar years equals or67560
exceeds one thousand.67561

       (2) The highest employment day is the day or days during a67562
calendar year on which the number of employees employed at a67563
single Ohio manufacturing facility was greater than on any other67564
day during the calendar year.67565

       (S) "Business cycle" means the cycle of business activity67566
usually regarded as passing through alternating stages of67567
prosperity and depression.67568

       (T) "Making retail sales" means the effecting of67569
point-of-final-purchase transactions at a facility open to the67570
consuming public, wherein one party is obligated to pay the price67571
and the other party is obligated to provide a service or to67572
transfer title to or possession of the item sold.67573

       (U) "Environmentally contaminated" means that hazardous67574
substances exist at a facility under conditions that have caused67575
or would cause the facility to be identified as contaminated by67576
the state or federal environmental protection agency. These may67577
include facilities located at sites identified in the master sites67578
list or similar database maintained by the state environmental67579
protection agency if the sites have been investigated by the67580
agency and found to be contaminated.67581

       (V) "Remediate" means to make expenditures to clean up an67582
environmentally contaminated facility so that it is no longer67583
environmentally contaminated that equal at least ten per cent of67584
the real property market value of the facility prior to such67585
expenditures as determined for the purposes of property taxation.67586

       (W) "Related member" has the same meaning as defined in67587
section 5733.042 of the Revised Code without regard to division67588
(B) of that section, except that it is used with respect to an67589
enterprise rather than a taxpayer.67590

       (X) "Predecessor enterprise" means an enterprise from which67591
the assets or equity of another enterprise has been transferred,67592
which transfer resulted in the full or partial nonrecognition of67593
gain or loss, or resulted in a carryover basis, both as determined67594
by rule adopted by the tax commissioner.67595

       (Y) "Successor enterprise" means an enterprise to which the67596
assets or equity of another enterprise has been transferred, which67597
transfer resulted in the full or partial nonrecognition of gain or67598
loss, or resulted in a carryover basis, both as determined by rule67599
adopted by the tax commissioner.67600

       Sec. 5709.62.  (A) In any municipal corporation that is67601
defined by the United States office of management and budget as a67602
central city of a metropolitan statistical area, or in a city 67603
designated as an urban cluster in a rural statistical area, the 67604
legislative authority of the municipal corporation may designate 67605
one or more areas within its municipal corporation as proposed 67606
enterprise zones. Upon designating an area, the legislative 67607
authority shall petition the director of development for 67608
certification of the area as having the characteristics set forth 67609
in division (A)(1) of section 5709.61 of the Revised Code as 67610
amended by Substitute Senate Bill No. 19 of the 120th general 67611
assembly. Except as otherwise provided in division (E) of this 67612
section, on and after July 1, 1994, legislative authorities shall 67613
not enter into agreements under this section unless the 67614
legislative authority has petitioned the director and the director 67615
has certified the zone under this section as amended by that act; 67616
however, all agreements entered into under this section as it 67617
existed prior to July 1, 1994, and the incentives granted under 67618
those agreements shall remain in effect for the period agreed to 67619
under those agreements. Within sixty days after receiving such a 67620
petition, the director shall determine whether the area has the67621
characteristics set forth in division (A)(1) of section 5709.61 of 67622
the Revised Code, and shall forward the findings to the67623
legislative authority of the municipal corporation. If the67624
director certifies the area as having those characteristics, and67625
thereby certifies it as a zone, the legislative authority may67626
enter into an agreement with an enterprise under division (C) of67627
this section.67628

       (B) Any enterprise that wishes to enter into an agreement67629
with a municipal corporation under division (C) of this section67630
shall submit a proposal to the legislative authority of the67631
municipal corporation on a form prescribed by the director of67632
development, together with the application fee established under67633
section 5709.68 of the Revised Code. The form shall require the67634
following information:67635

       (1) An estimate of the number of new employees whom the67636
enterprise intends to hire, or of the number of employees whom the 67637
enterprise intends to retain, within the zone at a facility that 67638
is a project site, and an estimate of the amount of payroll of the 67639
enterprise attributable to these employees;67640

       (2) An estimate of the amount to be invested by the67641
enterprise to establish, expand, renovate, or occupy a facility,67642
including investment in new buildings, additions or improvements67643
to existing buildings, machinery, equipment, furniture, fixtures,67644
and inventory;67645

       (3) A listing of the enterprise's current investment, if any, 67646
in a facility as of the date of the proposal's submission.67647

       The enterprise shall review and update the listings required 67648
under this division to reflect material changes, and any agreement 67649
entered into under division (C) of this section shall set forth 67650
final estimates and listings as of the time the agreement is 67651
entered into. The legislative authority may, on a separate form 67652
and at any time, require any additional information necessary to 67653
determine whether an enterprise is in compliance with an agreement 67654
and to collect the information required to be reported under 67655
section 5709.68 of the Revised Code.67656

       (C) Upon receipt and investigation of a proposal under67657
division (B) of this section, if the legislative authority finds67658
that the enterprise submitting the proposal is qualified by67659
financial responsibility and business experience to create and67660
preserve employment opportunities in the zone and improve the67661
economic climate of the municipal corporation, the legislative67662
authority, on or before June 30, 2004October 15, 2009, may do one67663
of the following:67664

       (1) Enter into an agreement with the enterprise under which 67665
the enterprise agrees to establish, expand, renovate, or occupy a 67666
facility and hire new employees, or preserve employment67667
opportunities for existing employees, in return for one or more of 67668
the following incentives:67669

       (a) Exemption for a specified number of years, not to exceed 67670
ten, of a specified portion, up to seventy-five per cent, of the 67671
assessed value of tangible personal property first used in67672
business at the project site as a result of the agreement. An67673
exemption granted pursuant to this division applies to inventory67674
required to be listed pursuant to sections 5711.15 and 5711.16 of67675
the Revised Code, except that, in the instance of an expansion or67676
other situations in which an enterprise was in business at the67677
facility prior to the establishment of the zone, the inventory67678
that is exempt is that amount or value of inventory in excess of67679
the amount or value of inventory required to be listed in the67680
personal property tax return of the enterprise in the return for67681
the tax year in which the agreement is entered into.67682

       (b) Exemption for a specified number of years, not to exceed 67683
ten, of a specified portion, up to seventy-five per cent, of the 67684
increase in the assessed valuation of real property constituting 67685
the project site subsequent to formal approval of the agreement by 67686
the legislative authority;67687

       (c) Provision for a specified number of years, not to exceed 67688
ten, of any optional services or assistance that the municipal 67689
corporation is authorized to provide with regard to the project 67690
site.67691

       (2) Enter into an agreement under which the enterprise agrees 67692
to remediate an environmentally contaminated facility, to spend an67693
amount equal to at least two hundred fifty per cent of the true67694
value in money of the real property of the facility prior to67695
remediation as determined for the purposes of property taxation to 67696
establish, expand, renovate, or occupy the remediated facility, 67697
and to hire new employees or preserve employment opportunities for 67698
existing employees at the remediated facility, in return for one 67699
or more of the following incentives:67700

       (a) Exemption for a specified number of years, not to exceed 67701
ten, of a specified portion, not to exceed fifty per cent, of the 67702
assessed valuation of the real property of the facility prior to 67703
remediation;67704

       (b) Exemption for a specified number of years, not to exceed 67705
ten, of a specified portion, not to exceed one hundred per cent, 67706
of the increase in the assessed valuation of the real property of 67707
the facility during or after remediation;67708

       (c) The incentive under division (C)(1)(a) of this section, 67709
except that the percentage of the assessed value of such property 67710
exempted from taxation shall not exceed one hundred per cent;67711

       (d) The incentive under division (C)(1)(c) of this section.67712

       (3) Enter into an agreement with an enterprise that plans to 67713
purchase and operate a large manufacturing facility that has67714
ceased operation or announced its intention to cease operation, in 67715
return for exemption for a specified number of years, not to67716
exceed ten, of a specified portion, up to one hundred per cent, of 67717
the assessed value of tangible personal property used in business 67718
at the project site as a result of the agreement, or of the 67719
assessed valuation of real property constituting the project site, 67720
or both.67721

       (D)(1) Notwithstanding divisions (C)(1)(a) and (b) of this67722
section, the portion of the assessed value of tangible personal67723
property or of the increase in the assessed valuation of real67724
property exempted from taxation under those divisions may exceed67725
seventy-five per cent in any year for which that portion is67726
exempted if the average percentage exempted for all years in which 67727
the agreement is in effect does not exceed sixty per cent, or if 67728
the board of education of the city, local, or exempted village 67729
school district within the territory of which the property is or 67730
will be located approves a percentage in excess of seventy-five 67731
per cent. For the purpose of obtaining such approval, the 67732
legislative authority shall deliver to the board of education a 67733
notice not later than forty-five days prior to approving the 67734
agreement, excluding Saturdays, Sundays, and legal holidays as 67735
defined in section 1.14 of the Revised Code. The notice shall 67736
state the percentage to be exempted, an estimate of the true value 67737
of the property to be exempted, and the number of years the 67738
property is to be exempted. The board of education, by resolution 67739
adopted by a majority of the board, shall approve or disapprove 67740
the agreement and certify a copy of the resolution to the 67741
legislative authority not later than fourteen days prior to the 67742
date stipulated by the legislative authority as the date upon 67743
which approval of the agreement is to be formally considered by 67744
the legislative authority. The board of education may include in 67745
the resolution conditions under which the board would approve the 67746
agreement, including the execution of an agreement to compensate 67747
the school district under division (B) of section 5709.82 of the 67748
Revised Code. The legislative authority may approve the agreement 67749
at any time after the board of education certifies its resolution 67750
approving the agreement to the legislative authority, or, if the 67751
board approves the agreement conditionally, at any time after the 67752
conditions are agreed to by the board and the legislative 67753
authority.67754

       If a board of education has adopted a resolution waiving its 67755
right to approve agreements and the resolution remains in effect, 67756
approval of an agreement by the board is not required under this 67757
division. If a board of education has adopted a resolution 67758
allowing a legislative authority to deliver the notice required 67759
under this division fewer than forty-five business days prior to 67760
the legislative authority's approval of the agreement, the 67761
legislative authority shall deliver the notice to the board not 67762
later than the number of days prior to such approval as prescribed 67763
by the board in its resolution. If a board of education adopts a67764
resolution waiving its right to approve agreements or shortening67765
the notification period, the board shall certify a copy of the67766
resolution to the legislative authority. If the board of education 67767
rescinds such a resolution, it shall certify notice of the 67768
rescission to the legislative authority.67769

       (2) The legislative authority shall comply with section67770
5709.83 of the Revised Code unless the board of education has 67771
adopted a resolution under that section waiving its right to 67772
receive such notice.67773

       (E) This division applies to zones certified by the director 67774
of development under this section prior to July 22, 1994.67775

       On or before June 30, 2004October 15, 2009, the legislative 67776
authority that designated a zone to which this division applies 67777
may enter into an agreement with an enterprise if the legislative 67778
authority makes the finding required under that division and 67779
determines that the enterprise satisfies one of the criteria 67780
described in divisions (E)(1) to (5) of this section:67781

       (1) The enterprise currently has no operations in this state 67782
and, subject to approval of the agreement, intends to establish 67783
operations in the zone;67784

       (2) The enterprise currently has operations in this state67785
and, subject to approval of the agreement, intends to establish67786
operations at a new location in the zone that would not result in67787
a reduction in the number of employee positions at any of the67788
enterprise's other locations in this state;67789

       (3) The enterprise, subject to approval of the agreement,67790
intends to relocate operations, currently located in another67791
state, to the zone;67792

       (4) The enterprise, subject to approval of the agreement,67793
intends to expand operations at an existing site in the zone that67794
the enterprise currently operates;67795

       (5) The enterprise, subject to approval of the agreement,67796
intends to relocate operations, currently located in this state,67797
to the zone, and the director of development has issued a waiver67798
for the enterprise under division (B) of section 5709.633 of the67799
Revised Code.67800

       The agreement shall require the enterprise to agree to67801
establish, expand, renovate, or occupy a facility in the zone and67802
hire new employees, or preserve employment opportunities for67803
existing employees, in return for one or more of the incentives67804
described in division (C) of this section.67805

       (F) All agreements entered into under this section shall be 67806
in the form prescribed under section 5709.631 of the Revised Code. 67807
After an agreement is entered into under this division, if the 67808
legislative authority revokes its designation of a zone, or if the 67809
director of development revokes the zone's certification, any 67810
entitlements granted under the agreement shall continue for the 67811
number of years specified in the agreement.67812

       (G) Except as otherwise provided in this division, an67813
agreement entered into under this section shall require that the67814
enterprise pay an annual fee equal to the greater of one per cent67815
of the dollar value of incentives offered under the agreement or67816
five hundred dollars; provided, however, that if the value of the67817
incentives exceeds two hundred fifty thousand dollars, the fee67818
shall not exceed two thousand five hundred dollars. The fee shall 67819
be payable to the legislative authority once per year for each 67820
year the agreement is effective on the days and in the form67821
specified in the agreement. Fees paid shall be deposited in a67822
special fund created for such purpose by the legislative authority 67823
and shall be used by the legislative authority exclusively for the 67824
purpose of complying with section 5709.68 of the Revised Code and 67825
by the tax incentive review council created under section 5709.85 67826
of the Revised Code exclusively for the purposes of performing the 67827
duties prescribed under that section. The legislative authority 67828
may waive or reduce the amount of the fee charged against an 67829
enterprise, but such a waiver or reduction does not affect the 67830
obligations of the legislative authority or the tax incentive 67831
review council to comply with section 5709.68 or 5709.85 of the 67832
Revised Code.67833

       (H) When an agreement is entered into pursuant to this67834
section, the legislative authority authorizing the agreement shall 67835
forward a copy of the agreement to the director of development and 67836
to the tax commissioner within fifteen days after the agreement is 67837
entered into. If any agreement includes terms not provided for in 67838
section 5709.631 of the Revised Code affecting the revenue of a 67839
city, local, or exempted village school district or causing 67840
revenue to be foregone by the district, including any compensation 67841
to be paid to the school district pursuant to section 5709.82 of 67842
the Revised Code, those terms also shall be forwarded in writing 67843
to the director of development along with the copy of the67844
agreement forwarded under this division.67845

       (I) After an agreement is entered into, the enterprise shall 67846
file with each personal property tax return required to be filed, 67847
or annual report required to be filed under section 5727.08 of the67848
Revised Code, while the agreement is in effect, an informational 67849
return, on a form prescribed by the tax commissioner for that 67850
purpose, setting forth separately the property, and related costs 67851
and values, exempted from taxation under the agreement.67852

       (J) Enterprises may agree to give preference to residents of 67853
the zone within which the agreement applies relative to residents 67854
of this state who do not reside in the zone when hiring new 67855
employees under the agreement.67856

       (K) An agreement entered into under this section may include 67857
a provision requiring the enterprise to create one or more 67858
temporary internship positions for students enrolled in a course 67859
of study at a school or other educational institution in the 67860
vicinity, and to create a scholarship or provide another form of 67861
educational financial assistance for students holding such a67862
position in exchange for the student's commitment to work for the67863
enterprise at the completion of the internship.67864

       Sec. 5709.63.  (A) With the consent of the legislative67865
authority of each affected municipal corporation or of a board of67866
township trustees, a board of county commissioners may, in the67867
manner set forth in section 5709.62 of the Revised Code, designate 67868
one or more areas in one or more municipal corporations or in 67869
unincorporated areas of the county as proposed enterprise zones. A 67870
board of county commissioners may designate no more than one area 67871
within a township, or within adjacent townships, as a proposed 67872
enterprise zone. The board shall petition the director of 67873
development for certification of the area as having the 67874
characteristics set forth in division (A)(1) or (2) of section 67875
5709.61 of the Revised Code as amended by Substitute Senate Bill 67876
No. 19 of the 120th general assembly. Except as otherwise provided 67877
in division (D) of this section, on and after July 1, 1994, boards 67878
of county commissioners shall not enter into agreements under this 67879
section unless the board has petitioned the director and the 67880
director has certified the zone under this section as amended by 67881
that act; however, all agreements entered into under this section 67882
as it existed prior to July 1, 1994, and the incentives granted67883
under those agreements shall remain in effect for the period 67884
agreed to under those agreements. The director shall make the67885
determination in the manner provided under section 5709.62 of the67886
Revised Code. Any enterprise wishing to enter into an agreement67887
with the board under division (B) or (D) of this section shall 67888
submit a proposal to the board on the form and accompanied by the 67889
application fee prescribed under division (B) of section 5709.62 67890
of the Revised Code. The enterprise shall review and update the67891
estimates and listings required by the form in the manner required 67892
under that division. The board may, on a separate form and at any 67893
time, require any additional information necessary to determine 67894
whether an enterprise is in compliance with an agreement and to 67895
collect the information required to be reported under section67896
5709.68 of the Revised Code.67897

       (B) If the board of county commissioners finds that an67898
enterprise submitting a proposal is qualified by financial67899
responsibility and business experience to create and preserve67900
employment opportunities in the zone and to improve the economic67901
climate of the municipal corporation or municipal corporations or67902
the unincorporated areas in which the zone is located and to which 67903
the proposal applies, the board, on or before June 30, 200467904
October 15, 2009, and with the consent of the legislative 67905
authority of each affected municipal corporation or of the board 67906
of township trustees may do either of the following:67907

       (1) Enter into an agreement with the enterprise under which 67908
the enterprise agrees to establish, expand, renovate, or occupy a 67909
facility in the zone and hire new employees, or preserve67910
employment opportunities for existing employees, in return for the 67911
following incentives:67912

       (a) When the facility is located in a municipal corporation, 67913
the board may enter into an agreement for one or more of the 67914
incentives provided in division (C) of section 5709.62 of the 67915
Revised Code, subject to division (D) of that section;67916

       (b) When the facility is located in an unincorporated area, 67917
the board may enter into an agreement for one or more of the 67918
following incentives:67919

       (i) Exemption for a specified number of years, not to exceed 67920
ten, of a specified portion, up to sixty per cent, of the assessed 67921
value of tangible personal property first used in business at a 67922
project site as a result of the agreement. An exemption granted 67923
pursuant to this division applies to inventory required to be 67924
listed pursuant to sections 5711.15 and 5711.16 of the Revised 67925
Code, except, in the instance of an expansion or other situations 67926
in which an enterprise was in business at the facility prior to 67927
the establishment of the zone, the inventory that is exempt is 67928
that amount or value of inventory in excess of the amount or value 67929
of inventory required to be listed in the personal property tax67930
return of the enterprise in the return for the tax year in which67931
the agreement is entered into.67932

       (ii) Exemption for a specified number of years, not to exceed 67933
ten, of a specified portion, up to sixty per cent, of the increase 67934
in the assessed valuation of real property constituting the67935
project site subsequent to formal approval of the agreement by the 67936
board;67937

       (iii) Provision for a specified number of years, not to67938
exceed ten, of any optional services or assistance the board is67939
authorized to provide with regard to the project site;67940

       (iv) The incentive described in division (C)(2) of section 67941
5709.62 of the Revised Code.67942

       (2) Enter into an agreement with an enterprise that plans to 67943
purchase and operate a large manufacturing facility that has67944
ceased operation or has announced its intention to cease67945
operation, in return for exemption for a specified number of67946
years, not to exceed ten, of a specified portion, up to one67947
hundred per cent, of tangible personal property used in business67948
at the project site as a result of the agreement, or of real67949
property constituting the project site, or both.67950

       (C)(1) Notwithstanding divisions (B)(1)(b)(i) and (ii) of 67951
this section, the portion of the assessed value of tangible 67952
personal property or of the increase in the assessed valuation of 67953
real property exempted from taxation under those divisions may 67954
exceed sixty per cent in any year for which that portion is67955
exempted if the average percentage exempted for all years in which 67956
the agreement is in effect does not exceed fifty per cent, or if 67957
the board of education of the city, local, or exempted village 67958
school district within the territory of which the property is or 67959
will be located approves a percentage in excess of sixty per cent. 67960
For the purpose of obtaining such approval, the board of 67961
commissioners shall deliver to the board of education a notice not 67962
later than forty-five days prior to approving the agreement, 67963
excluding Saturdays, Sundays, and legal holidays as defined in67964
section 1.14 of the Revised Code. The notice shall state the67965
percentage to be exempted, an estimate of the true value of the 67966
property to be exempted, and the number of years the property is 67967
to be exempted. The board of education, by resolution adopted by a 67968
majority of the board, shall approve or disapprove the agreement 67969
and certify a copy of the resolution to the board of commissioners 67970
not later than fourteen days prior to the date stipulated by the 67971
board of commissioners as the date upon which approval of the 67972
agreement is to be formally considered by the board of 67973
commissioners. The board of education may include in the 67974
resolution conditions under which the board would approve the 67975
agreement, including the execution of an agreement to compensate67976
the school district under division (B) of section 5709.82 of the 67977
Revised Code. The board of county commissioners may approve the 67978
agreement at any time after the board of education certifies its 67979
resolution approving the agreement to the board of county 67980
commissioners, or, if the board of education approves the 67981
agreement conditionally, at any time after the conditions are 67982
agreed to by the board of education and the board of county 67983
commissioners.67984

       If a board of education has adopted a resolution waiving its 67985
right to approve agreements and the resolution remains in effect, 67986
approval of an agreement by the board of education is not required 67987
under division (C) of this section. If a board of education has 67988
adopted a resolution allowing a board of county commissioners to67989
deliver the notice required under this division fewer than 67990
forty-five business days prior to approval of the agreement by the 67991
board of county commissioners, the board of county commissioners 67992
shall deliver the notice to the board of education not later than67993
the number of days prior to such approval as prescribed by the67994
board of education in its resolution. If a board of education 67995
adopts a resolution waiving its right to approve agreements or 67996
shortening the notification period, the board of education shall 67997
certify a copy of the resolution to the board of county 67998
commissioners. If the board of education rescinds such a 67999
resolution, it shall certify notice of the rescission to the board 68000
of county commissioners.68001

       (2) The board of county commissioners shall comply with 68002
section 5709.83 of the Revised Code unless the board of education 68003
has adopted a resolution under that section waiving its right to 68004
receive such notice.68005

       (D) This division applies to zones certified by the director 68006
of development under this section prior to July 22, 1994.68007

       On or before June 30, 2004October 15, 2009, and with the 68008
consent of the legislative authority of each affected municipal 68009
corporation or board of township trustees of each affected 68010
township, the board of commissioners that designated a zone to 68011
which this division applies may enter into an agreement with an 68012
enterprise if the board makes the finding required under that 68013
division and determines that the enterprise satisfies one of the 68014
criteria described in divisions (D)(1) to (5) of this section:68015

       (1) The enterprise currently has no operations in this state 68016
and, subject to approval of the agreement, intends to establish 68017
operations in the zone;68018

       (2) The enterprise currently has operations in this state 68019
and, subject to approval of the agreement, intends to establish 68020
operations at a new location in the zone that would not result in 68021
a reduction in the number of employee positions at any of the 68022
enterprise's other locations in this state;68023

       (3) The enterprise, subject to approval of the agreement, 68024
intends to relocate operations, currently located in another 68025
state, to the zone;68026

       (4) The enterprise, subject to approval of the agreement, 68027
intends to expand operations at an existing site in the zone that 68028
the enterprise currently operates;68029

       (5) The enterprise, subject to approval of the agreement, 68030
intends to relocate operations, currently located in this state, 68031
to the zone, and the director of development has issued a waiver 68032
for the enterprise under division (B) of section 5709.633 of the 68033
Revised Code.68034

       The agreement shall require the enterprise to agree to 68035
establish, expand, renovate, or occupy a facility in the zone and 68036
hire new employees, or preserve employment opportunities for 68037
existing employees, in return for one or more of the incentives 68038
described in division (B) of this section.68039

       (E) All agreements entered into under this section shall be 68040
in the form prescribed under section 5709.631 of the Revised Code. 68041
After an agreement under this section is entered into, if the 68042
board of county commissioners revokes its designation of the zone, 68043
or if the director of development revokes the zone's 68044
certification, any entitlements granted under the agreement shall68045
continue for the number of years specified in the agreement.68046

       (F) Except as otherwise provided in this paragraph, an 68047
agreement entered into under this section shall require that the 68048
enterprise pay an annual fee equal to the greater of one per cent 68049
of the dollar value of incentives offered under the agreement or 68050
five hundred dollars; provided, however, that if the value of the 68051
incentives exceeds two hundred fifty thousand dollars, the fee 68052
shall not exceed two thousand five hundred dollars. The fee shall 68053
be payable to the board of commissioners once per year for each 68054
year the agreement is effective on the days and in the form 68055
specified in the agreement. Fees paid shall be deposited in a 68056
special fund created for such purpose by the board and shall be68057
used by the board exclusively for the purpose of complying with 68058
section 5709.68 of the Revised Code and by the tax incentive 68059
review council created under section 5709.85 of the Revised Code 68060
exclusively for the purposes of performing the duties prescribed 68061
under that section. The board may waive or reduce the amount of 68062
the fee charged against an enterprise, but such waiver or68063
reduction does not affect the obligations of the board or the tax 68064
incentive review council to comply with section 5709.68 or 5709.85 68065
of the Revised Code, respectively.68066

       (G) With the approval of the legislative authority of a 68067
municipal corporation or the board of township trustees of a 68068
township in which a zone is designated under division (A) of this 68069
section, the board of county commissioners may delegate to that 68070
legislative authority or board any powers and duties of the board 68071
to negotiate and administer agreements with regard to that zone 68072
under this section.68073

       (H) When an agreement is entered into pursuant to this 68074
section, the legislative authority authorizing the agreement shall 68075
forward a copy of the agreement to the director of development and 68076
to the tax commissioner within fifteen days after the agreement is 68077
entered into. If any agreement includes terms not provided for in 68078
section 5709.631 of the Revised Code affecting the revenue of a 68079
city, local, or exempted village school district or causing 68080
revenue to be foregone by the district, including any compensation 68081
to be paid to the school district pursuant to section 5709.82 of 68082
the Revised Code, those terms also shall be forwarded in writing 68083
to the director of development along with the copy of the68084
agreement forwarded under this division.68085

       (I) After an agreement is entered into, the enterprise shall 68086
file with each personal property tax return required to be filed, 68087
or annual report that is required to be filed under section 68088
5727.08 of the Revised Code, while the agreement is in effect, an 68089
informational return, on a form prescribed by the tax commissioner68090
for that purpose, setting forth separately the property, and 68091
related costs and values, exempted from taxation under the 68092
agreement.68093

       (J) Enterprises may agree to give preference to residents of 68094
the zone within which the agreement applies relative to residents 68095
of this state who do not reside in the zone when hiring new 68096
employees under the agreement.68097

       (K) An agreement entered into under this section may include 68098
a provision requiring the enterprise to create one or more 68099
temporary internship positions for students enrolled in a course 68100
of study at a school or other educational institution in the 68101
vicinity, and to create a scholarship or provide another form of 68102
educational financial assistance for students holding such a 68103
position in exchange for the student's commitment to work for the 68104
enterprise at the completion of the internship.68105

       Sec. 5709.632.  (A)(1) The legislative authority of a68106
municipal corporation defined by the United States office of68107
management and budget as a central city of a metropolitan68108
statistical area or designated as an urban cluster in a rural 68109
statistical area may, in the manner set forth in section 5709.6268110
of the Revised Code, designate one or more areas in the municipal68111
corporation as a proposed enterprise zone.68112

       (2) With the consent of the legislative authority of each68113
affected municipal corporation or of a board of township trustees, 68114
a board of county commissioners may, in the manner set forth in 68115
section 5709.62 of the Revised Code, designate one or more areas 68116
in one or more municipal corporations or in unincorporated areas 68117
of the county as proposed urban jobs and enterprise zones, except 68118
that a board of county commissioners may designate no more than 68119
one area within a township, or within adjacent townships, as a 68120
proposed urban jobs and enterprise zone.68121

       (3)(a) The legislative authority or board of county68122
commissioners may petition the director of development for68123
certification of the area as having the characteristics set forth68124
in division (A)(3) of section 5709.61 of the Revised Code. Within 68125
sixty days after receiving such a petition, the director shall 68126
determine whether the area has the characteristics set forth in 68127
that division and forward the findings to the legislative 68128
authority or board of county commissioners. If the director 68129
certifies the area as having those characteristics and thereby 68130
certifies it as a zone, the legislative authority or board may 68131
enter into agreements with enterprises under division (B) of this 68132
section. Any enterprise wishing to enter into an agreement with a 68133
legislative authority or board of commissioners under this section 68134
and satisfying one of the criteria described in divisions (B)(1) 68135
to (5) of this section shall submit a proposal to the legislative 68136
authority or board on the form prescribed under division (B) of 68137
section 5709.62 of the Revised Code and shall review and update 68138
the estimates and listings required by the form in the manner 68139
required under that division. The legislative authority or board 68140
may, on a separate form and at any time, require any additional 68141
information necessary to determine whether an enterprise is in 68142
compliance with an agreement and to collect the information 68143
required to be reported under section 5709.68 of the Revised Code.68144

       (b) The legislative authority of a city designated as an 68145
urban cluster in a rural statistical area that has, pursuant to 68146
this section, as amended by H.B. 95 of the 125th general assembly, 68147
designated one or more areas in the city as a proposed enterprise 68148
zone, shall not enter into an agreement under this section unless 68149
it has petitioned the director and the director has certified the 68150
proposed enterprise zone under division (A)(3)(a) of this section.68151

       (B) Prior to entering into an agreement with an enterprise, 68152
the legislative authority or board of county commissioners shall 68153
determine whether the enterprise submitting the proposal is 68154
qualified by financial responsibility and business experience to 68155
create and preserve employment opportunities in the zone and to 68156
improve the economic climate of the municipal corporation or 68157
municipal corporations or the unincorporated areas in which the 68158
zone is located and to which the proposal applies, and whether the 68159
enterprise satisfies one of the following criteria:68160

       (1) The enterprise currently has no operations in this state 68161
and, subject to approval of the agreement, intends to establish 68162
operations in the zone;68163

       (2) The enterprise currently has operations in this state68164
and, subject to approval of the agreement, intends to establish68165
operations at a new location in the zone that would not result in68166
a reduction in the number of employee positions at any of the68167
enterprise's other locations in this state;68168

       (3) The enterprise, subject to approval of the agreement,68169
intends to relocate operations, currently located in another68170
state, to the zone;68171

       (4) The enterprise, subject to approval of the agreement,68172
intends to expand operations at an existing site in the zone that68173
the enterprise currently operates;68174

       (5) The enterprise, subject to approval of the agreement,68175
intends to relocate operations, currently located in this state,68176
to the zone, and the director of development has issued a waiver68177
for the enterprise under division (B) of section 5709.633 of the68178
Revised Code.68179

       (C) If the legislative authority or board determines that the 68180
enterprise is so qualified and satisfies one of the criteria68181
described in divisions (B)(1) to (5) of this section, the68182
legislative authority or board may, after complying with section68183
5709.83 of the Revised Code and on or before June 30, 2004October 68184
15, 2009, and, in the case of a board of commissioners, with the 68185
consent of the legislative authority of each affected municipal 68186
corporation or of the board of township trustees, enter into an 68187
agreement with the enterprise under which the enterprise agrees to 68188
establish, expand, renovate, or occupy a facility in the zone and 68189
hire new employees, or preserve employment opportunities for 68190
existing employees, in return for the following incentives:68191

       (1) When the facility is located in a municipal corporation, 68192
a legislative authority or board of commissioners may enter into 68193
an agreement for one or more of the incentives provided in 68194
division (C) of section 5709.62 of the Revised Code, subject to 68195
division (D) of that section;68196

       (2) When the facility is located in an unincorporated area, a 68197
board of commissioners may enter into an agreement for one or more 68198
of the incentives provided in divisions (B)(1)(b), (B)(2), and 68199
(B)(3) of section 5709.63 of the Revised Code, subject to division 68200
(C) of that section.68201

       (D) All agreements entered into under this section shall be 68202
in the form prescribed under section 5709.631 of the Revised Code. 68203
After an agreement under this section is entered into, if the 68204
legislative authority or board of county commissioners revokes its 68205
designation of the zone, or if the director of development revokes 68206
the zone's certification, any entitlements granted under the 68207
agreement shall continue for the number of years specified in the 68208
agreement.68209

       (E) Except as otherwise provided in this division, an68210
agreement entered into under this section shall require that the68211
enterprise pay an annual fee equal to the greater of one per cent68212
of the dollar value of incentives offered under the agreement or68213
five hundred dollars; provided, however, that if the value of the68214
incentives exceeds two hundred fifty thousand dollars, the fee68215
shall not exceed two thousand five hundred dollars. The fee shall 68216
be payable to the legislative authority or board of commissioners 68217
once per year for each year the agreement is effective on the days 68218
and in the form specified in the agreement. Fees paid shall be 68219
deposited in a special fund created for such purpose by the 68220
legislative authority or board and shall be used by the 68221
legislative authority or board exclusively for the purpose of 68222
complying with section 5709.68 of the Revised Code and by the tax 68223
incentive review council created under section 5709.85 of the68224
Revised Code exclusively for the purposes of performing the duties 68225
prescribed under that section. The legislative authority or board 68226
may waive or reduce the amount of the fee charged against an 68227
enterprise, but such waiver or reduction does not affect the 68228
obligations of the legislative authority or board or the tax 68229
incentive review council to comply with section 5709.68 or 5709.85 68230
of the Revised Code, respectively.68231

       (F) With the approval of the legislative authority of a68232
municipal corporation or the board of township trustees of a68233
township in which a zone is designated under division (A)(2) of68234
this section, the board of county commissioners may delegate to68235
that legislative authority or board any powers and duties of the68236
board to negotiate and administer agreements with regard to that68237
zone under this section.68238

       (G) When an agreement is entered into pursuant to this68239
section, the legislative authority or board of commissioners68240
authorizing the agreement shall forward a copy of the agreement to 68241
the director of development and to the tax commissioner within68242
fifteen days after the agreement is entered into. If any agreement 68243
includes terms not provided for in section 5709.631 of the Revised 68244
Code affecting the revenue of a city, local, or exempted village 68245
school district or causing revenue to be foregone by the district,68246
including any compensation to be paid to the school district 68247
pursuant to section 5709.82 of the Revised Code, those terms also 68248
shall be forwarded in writing to the director of development along 68249
with the copy of the agreement forwarded under this division.68250

       (H) After an agreement is entered into, the enterprise shall 68251
file with each personal property tax return required to be filed 68252
while the agreement is in effect, an informational return, on a 68253
form prescribed by the tax commissioner for that purpose, setting 68254
forth separately the property, and related costs and values, 68255
exempted from taxation under the agreement.68256

       (I) An agreement entered into under this section may include 68257
a provision requiring the enterprise to create one or more 68258
temporary internship positions for students enrolled in a course 68259
of study at a school or other educational institution in the 68260
vicinity, and to create a scholarship or provide another form of 68261
educational financial assistance for students holding such a68262
position in exchange for the student's commitment to work for the68263
enterprise at the completion of the internship.68264

       Sec. 5709.64.  (A) If an enterprise has been granted an68265
incentive for the current calendar year under an agreement entered 68266
pursuant to section 5709.62, 5709.63, or 5709.632 of the Revised68267
Code, it may apply, on or before the thirtieth day of April of68268
that year, to the director of development, on a form prescribed by 68269
the director, for a tax incentive qualification certificate. The68270
enterprise qualifies for an initial certificate if, on or before68271
the last day of the calendar year immediately preceding that in68272
which application is made, it satisfies all of the following68273
requirements:68274

       (1) The enterprise has established, expanded, renovated, or 68275
occupied a facility pursuant to the agreement under section68276
5709.62, 5709.63, or 5709.632 of the Revised Code.68277

       (2) The enterprise has hired new employees to fill nonretail 68278
positions at the facility, at least twenty-five per cent of whom 68279
at the time they were employed were at least one of the following:68280

       (a) Unemployed persons who had resided at least six months in 68281
the county in which the enterprise's project site is located;68282

       (b) JPTA eligible employees who had resided at least six68283
months in the county in which the enterprise's project site is68284
located;68285

       (c) Participants of the Ohio works first program under 68286
Chapter 5107. of the Revised Code or the prevention, retention, 68287
and contingency program under Chapter 5108. of the Revised Code or 68288
recipients of general assistance under former Chapter 5113. of the 68289
Revised Code, disabilityfinancial assistance under Chapter 5115. 68290
of the Revised Code, or unemployment compensation benefits who had 68291
resided at least six months in the county in which the 68292
enterprise's project site is located;68293

       (d) Handicapped persons, as defined under division (A) of68294
section 3304.11 of the Revised Code, who had resided at least six68295
months in the county in which the enterprise's project site is68296
located;68297

       (e) Residents for at least one year of a zone located in the 68298
county in which the enterprise's project site is located.68299

       The director of development shall, by rule, establish68300
criteria for determining what constitutes a nonretail position at68301
a facility.68302

       (3) The average number of positions attributable to the68303
enterprise in the municipal corporation during the calendar year68304
immediately preceding the calendar year in which application is68305
made exceeds the maximum number of positions attributable to the68306
enterprise in the municipal corporation during the calendar year68307
immediately preceding the first year the enterprise satisfies the68308
requirements set forth in divisions (A)(1) and (2) of this68309
section. If the enterprise is engaged in a business which, because 68310
of its seasonal nature, customarily enables the enterprise to 68311
operate at full capacity only during regularly recurring periods 68312
of the year, the average number of positions attributable to the 68313
enterprise in the municipal corporation during each period of the 68314
calendar year immediately preceding the calendar year in which 68315
application is made must exceed only the maximum number of 68316
positions attributable to the enterprise in each corresponding 68317
period of the calendar year immediately preceding the first year 68318
the enterprise satisfies the requirements of divisions (A)(1) and 68319
(2) of this section. The director of development shall, by rule, 68320
prescribe methods for determining whether an enterprise is engaged 68321
in a seasonal business and for determining the length of the 68322
corresponding periods to be compared.68323

       (4) The enterprise has not closed or reduced employment at68324
any place of business in the state for the primary purpose of68325
establishing, expanding, renovating, or occupying a facility. The 68326
legislative authority of any municipal corporation or the board of 68327
county commissioners of any county that concludes that an 68328
enterprise has closed or reduced employment at a place of business 68329
in that municipal corporation or county for the primary purpose of 68330
establishing, expanding, renovating, or occupying a facility in a 68331
zone may appeal to the director to determine whether the 68332
enterprise has done so. Upon receiving such an appeal, the 68333
director shall investigate the allegations and make such a 68334
determination before issuing an initial or renewal tax incentive 68335
qualification certificate under this section.68336

       Within sixty days after receiving an application under this68337
division, the director shall review, investigate, and verify the68338
application and determine whether the enterprise qualifies for a68339
certificate. The application shall include an affidavit executed68340
by the applicant verifying that the enterprise satisfies the68341
requirements of division (A)(2) of this section, and shall contain 68342
such information and documents as the director requires, by rule, 68343
to ascertain whether the enterprise qualifies for a certificate. 68344
If the director finds the enterprise qualified, the director shall 68345
issue a tax incentive qualification certificate, which shall bear 68346
as its date of issuance the thirtieth day of June of the year of 68347
application, and shall state that the applicant is entitled to 68348
receive, for the taxable year that includes the certificate's date 68349
of issuance, the tax incentives provided under section 5709.65 of 68350
the Revised Code with regard to the facility to which the 68351
certificate applies. If an enterprise is issued an initial 68352
certificate, it may apply, on or before the thirtieth day of April 68353
of each succeeding calendar year for which it has been granted an 68354
incentive under an agreement entered pursuant to section 5709.62, 68355
5709.63, or 5709.632 of the Revised Code, for a renewal68356
certificate. Subsequent to its initial certification, the68357
enterprise qualifies for up to three successive renewal68358
certificates if, on or before the last day of the calendar year68359
immediately preceding that in which the application is made, it68360
satisfies all the requirements of divisions (A)(1) to (4) of this68361
section, and neither the zone's designation nor the zone's68362
certification has been revoked prior to the fifteenth day of June68363
of the year in which the application is made. The application68364
shall include an affidavit executed by the applicant verifying68365
that the enterprise satisfies the requirements of division (A)(2)68366
of this section. An enterprise with ten or more supervisory68367
personnel at the facility to which a certificate applies qualifies 68368
for any subsequent renewal certificates only if it meets all of 68369
the foregoing requirements and, in addition, at least ten per cent 68370
of those supervisory personnel are employees who, when first hired 68371
by the enterprise, satisfied at least one of the criteria 68372
specified in divisions (A)(2)(a) to (e) of this section. If the 68373
enterprise qualifies, a renewal certificate shall be issued 68374
bearing as its date of issuance the thirtieth day of June of the 68375
year of application. The director shall send copies of the initial 68376
certificate, and each renewal certificate, by certified mail, to 68377
the enterprise, the tax commissioner, the board of county 68378
commissioners, and the chief executive of the municipal 68379
corporation in which the facility to which the certificate applies 68380
is located.68381

       (B) If the director determines that an enterprise is not68382
qualified for an initial or renewal tax incentive qualification68383
certificate, the director shall send notice of this determination,68384
specifying the reasons for it, by certified mail, to the68385
applicant, the tax commissioner, the board of county68386
commissioners, and the chief executive of the municipal68387
corporation in which the facility to which the certificate would68388
have applied is located. Within thirty days after receiving such a 68389
notice, an enterprise may request, in writing, a hearing before68390
the director for the purpose of reviewing the application and the68391
reasons for the determination. Within sixty days after receiving a 68392
request for a hearing, the director shall afford one and, within 68393
thirty days after the hearing, shall issue a redetermination of 68394
the enterprise's qualification for a certificate. If the 68395
enterprise is found to be qualified, the director shall proceed in 68396
the manner provided under division (A) of this section. If the 68397
enterprise is found to be unqualified, the director shall send 68398
notice of this finding, by certified mail, to the applicant, the 68399
tax commissioner, the board of county commissioners, and the chief 68400
executive of the municipal corporation in which the facility to 68401
which the certificate would have applied is located. The 68402
director's redetermination that an enterprise is unqualified may 68403
be appealed to the board of tax appeals in the manner provided 68404
under section 5717.02 of the Revised Code.68405

       Sec. 5711.02.  Except as otherwise provided by section68406
5711.13 of the Revised Code, each year, beginning in tax year 68407
2004, each taxpayer having taxable personal property with an 68408
aggregate taxable value in excess of ten thousand dollars shall 68409
make a return, annually, to the county auditor of each county in 68410
which any taxable property, which the taxpayer must return, is 68411
required by this chapter to be listed and. The taxpayer shall 68412
truly and correctly list thereinon the return all taxable 68413
property so required to be listed, including property exempt under 68414
division (C)(3) of section 5709.01 of the Revised Code. Such 68415
returns shall be made on the blanks prescribed by the tax 68416
commissioner, which the county auditor shall supply at histhe 68417
auditor's office along with blanks of the kind required for the 68418
county supplemental return required by section 5711.131 of the 68419
Revised Code for the use of taxpayers. The county auditor shall68420
mail or distribute such blanks prior to the fifteenth day of68421
February to all persons known to himthe auditor to be taxpayers68422
and to all persons to whom the commissioner may direct blanks of 68423
either type to be mailed or distributed, and he. The county 68424
auditor may place listing and county supplemental blanks at 68425
convenient places in histhe county. The failure of a taxpayer to 68426
receive or procure blanks shall not excuse himthe taxpayer from 68427
making any return or county supplemental return. The individual 68428
required to make the return shall furnish all statements and 68429
documents, give all information required, answer all questions 68430
asked on the required blanks, and subscribe to the truth and 68431
correctness of all matters contained therein.68432

       Sec. 5711.13. ABeginning in tax year 2004, each taxpayer 68433
having taxable property with an aggregate taxable value in excess 68434
of ten thousand dollars and required to be listed in more than one 68435
county shall make a combined return to the tax commissioner 68436
listing all its taxable property in this state, in conformity with 68437
sections 5711.01 to 5711.36 of the Revised Code, including 68438
property exempt under division (C)(3) of section 5709.01 of the 68439
Revised Code, but itthe taxpayer shall not assign its property of 68440
the kinds mentioned in section 5709.02 of the Revised Code to any 68441
particular taxing district or county. The tax commissioner shall 68442
assess the personal property of such taxpayer in the several 68443
taxing districts in which it is required byto be assessed under68444
sections 5711.01 to 5711.36 of the Revised Code, to be assessed,68445
and shall issue assessment certificates therefor to the proper68446
county auditors at the time and in the manner required by section68447
5711.25 of the Revised Code. All other property of such taxpayer68448
required to be so listed shall be entered on the intangible68449
property tax list in the office of the treasurer of state, and68450
taxedshall be subject to taxation under section 5707.03 of the 68451
Revised Code. The commissioner shall assess all other property of 68452
each such taxpayer and, on or before the second Monday of August 68453
annually, shall certify the total value or amount of each kind 68454
thereof to the treasurer of state, who shall enter the value or 68455
amount on the intangible property tax list in histhe treasurer of 68456
state's office in the manner provided in sections 5725.01 to 68457
5725.26 of the Revised Code. Sections 5711.01 to 5711.36 of the 68458
Revised Code shall apply to and govern such taxpayer, its proper 68459
officers and representatives, the commissioner, and the county 68460
auditor as to all proceedings in the assessment of the property of 68461
such taxpayer.68462

       Sec. 5711.22.  (A) Deposits not taxed at the source shall be 68463
listed and assessed at their amount in dollars on the day they are 68464
required to be listed. Moneys shall be listed and assessed at the 68465
amount thereof in dollars on hand on the day that they are68466
required to be listed. In listing investments, the amount of the68467
income yield of each for the calendar year next preceding the date 68468
of listing shall, except as otherwise provided in this chapter, be 68469
stated in dollars and cents and the assessment thereof shall be at 68470
the amount of such income yield; but any property defined as 68471
investments in either division (A) or (B) of section 5701.06 of 68472
the Revised Code that has not been outstanding for the full 68473
calendar year next preceding the date of listing, except shares of 68474
stock of like kind as other shares of the same corporation 68475
outstanding for the full calendar year next preceding the date of 68476
listing, or which has yielded no income during such calendar year 68477
shall be listed and assessed as unproductive investments, at their 68478
true value in money on the day that such investments are required 68479
to be listed.68480

       Credits and other taxable intangibles shall be listed and68481
assessed at their true value in money on the day as of which the68482
same are required to be listed.68483

       Shares of stock of a bank holding company, as defined in68484
Title 12 U.S.C.A., section 1841, that are required to be listed68485
for taxation under this division and upon which dividends were68486
paid during the year of their issuance, which dividends are68487
subject to taxation under the provisions of Chapter 5747. of the68488
Revised Code, shall be exempt from the intangibles tax for the68489
year immediately succeeding their issuance. If such shares bear68490
dividends the first calendar year after their issuance, which68491
dividends are subject to taxation under the provisions of Chapter68492
5747. of the Revised Code, it shall be deemed that the 68493
nondelinquent intangible property tax pursuant to division (A) of 68494
section 5707.04 of the Revised Code was paid on those dividends 68495
paid that first calendar year after the issuance of the shares.68496

       (B)(1) Boilers, machinery, equipment, and personal property 68497
the true value of which is determined under division (B) of 68498
section 5711.21 of the Revised Code shall be listed and assessed 68499
at an amount equal to the sum of the products determined under 68500
divisions (B)(1)(a), (b), and (c) of this section.68501

       (a) Multiply the portion of the true value determined under 68502
division (B)(1) of section 5711.21 of the Revised Code by the 68503
assessment rate in division (F) of this section;68504

       (b) Multiply the portion of the true value determined under 68505
division (B)(2) of section 5711.21 of the Revised Code by the 68506
assessment rate in section 5727.111 of the Revised Code that is 68507
applicable to the production equipment of an electric company;68508

       (c) Multiply the portion of the true value determined under 68509
division (B)(3) of section 5711.21 of the Revised Code by the 68510
assessment rate in section 5727.111 of the Revised Code that is 68511
applicable to the property of an electric company that is not68512
production equipment.68513

       (2) Personal property leased to a public utility or68514
interexchange telecommunications company as defined in section68515
5727.01 of the Revised Code and used directly in the rendition of68516
a public utility service as defined in division (P) of section68517
5739.01 of the Revised Code shall be listed and assessed at the68518
same percentage of true value in money that such property is68519
required to be assessed by section 5727.111 of the Revised Code if 68520
owned by the public utility or interexchange telecommunications 68521
company.68522

       (C)(1) Merchandise or an agricultural product shipped from 68523
outside this state and held in this state in a warehouse or a 68524
place of storage without further manufacturing or processing and 68525
for storage only and for shipment outside this state, but that is 68526
taxable because it does not qualify as "not used in business in 68527
this state" under division (B)(1) or (2) of section 5701.08 of the 68528
Revised Code, shall be listed and assessed at a rate of 68529
twenty-five one-hundredths of its true value in money until 68530
reduced in accordance with the following schedule:68531

       (a) For any year, subtract five one-hundredths from the rate 68532
at which such property was required to be listed and assessed in 68533
the preceding year, if the total statewide collection of all real 68534
and tangible personal property taxes for the second preceding year 68535
exceeded the total statewide collection of all real and tangible 68536
personal property taxes for the third preceding year by more than68537
the greater of four per cent or the rate of increase from the 68538
third to the second preceding years in the average consumer price 68539
index (all urban consumers, all items) prepared by the bureau of 68540
labor statistics of the United States department of labor;68541

       (b) If no reduction in the assessment rate is made for a 68542
year, the rate is the same as for the preceding year.68543

       (2) Each year until the year the assessment rate equals zero, 68544
the tax commissioner shall determine the assessment rate required 68545
under this division and shall notify all county auditors of that 68546
rate.68547

       (3) Notwithstanding provisions to the contrary in division 68548
(B) of section 5701.08 of the Revised Code, during and after the 68549
year for which the assessment rate as calculated under this 68550
division equals zero, any merchandise or agricultural product 68551
shipped from outside this state and held in this state in any 68552
warehouse or place of storage, whether public or private, without68553
further manufacturing or processing and for storage only and for 68554
shipment outside this state to any person for any purpose is not 68555
used in business in this state for property tax purposes.68556

       (D)(1) Merchandise or an agricultural product owned by a68557
qualified out-of-state person shipped from outside this state and 68558
held in this state in a public warehouse without further68559
manufacturing or processing and for temporary storage only and for 68560
shipment inside this state, but that is taxable because it does 68561
not qualify as "not used in business in this state" under division 68562
(B)(1) or (2) of section 5701.08 of the Revised Code, shall be 68563
listed and assessed at a rate of twenty-five one-hundredths of its 68564
true value in money until reduced in accordance with the following68565
schedule:68566

       (a) For any year, subtract five one-hundredths from the rate 68567
at which such property was required to be listed and assessed in 68568
the preceding year, if the total statewide collection of all real 68569
and tangible personal property taxes for the second preceding year 68570
exceeded the total statewide collection of all real and tangible 68571
personal property taxes for the third preceding year by more than 68572
the greater of four per cent or the rate of increase from the 68573
third to the second preceding years in the average consumer price 68574
index (all urban consumers, all items) prepared by the bureau of 68575
labor statistics of the United States department of labor;68576

       (b) If no reduction in the assessment rate is made for a 68577
year, the rate is the same as for the preceding year.68578

       (2) Each year until the year the assessment rate equals zero, 68579
the tax commissioner shall determine the assessment rate required 68580
under this division and shall notify all county auditors of that 68581
rate.68582

       (3) Notwithstanding provisions to the contrary in division 68583
(B) of section 5701.08 of the Revised Code, during and after the 68584
year for which the assessment rate as calculated under this 68585
division equals zero, any merchandise or agricultural product 68586
described in division (D)(1) of this section is not used in 68587
business in this state for property tax purposes.68588

       (4) As used in division (D) of this section:68589

       (a) "Qualified out-of-state person" means a person that does 68590
not own, lease, or use property, other than merchandise or an 68591
agricultural product described in this division, in this state, 68592
and does not have employees, agents, or representatives in this 68593
state;68594

       (b) "Public warehouse" means a warehouse in this state that 68595
is not subject to the control of or under the supervision of the 68596
owner of the merchandise or agricultural product stored in it, or 68597
staffed by the owner's employees, and from which the property is 68598
to be shipped inside this state.68599

       (E) Personal property valued pursuant to section 5711.15 of 68600
the Revised Code and personal property required to be listed on 68601
the average basis by division (A) of section 5711.16 of the 68602
Revised Code, except property described in division (C) or (D) of 68603
this section, business fixtures, and furniture not held for sale 68604
in the course of business, shall be listed and assessed at the 68605
rate of twenty-five per cent of its true value in money until68606
reduced to zero in accordance with the following schedule:68607

       (1) Beginning in tax year 2002 and for each of tax years 68608
2003,and 2004, 2005, and 2006, subtract one percentage point from 68609
the rate at which the property was required to be listed and 68610
assessed in the preceding year, if the total statewide collection 68611
of tangible personal property taxes for the second preceding year 68612
exceeded the total statewide collection of tangible personal 68613
property taxes for the third preceding year. If no reduction in 68614
the assessment rate is made for a year, the rate is the same as 68615
for the preceding year. For purposes of this division, total 68616
statewide collection of tangible personal property taxes excludes 68617
taxes collected from public utilities and interexchange 68618
telecommunications companies on property that is determined to be 68619
taxable pursuant to section 5727.06 of the Revised Code.68620

       (2) In tax year 2007, the assessment rate shall be the lesser 68621
of twenty-four per cent or one percentage point less than the rate 68622
at which property was required to be listed and assessed the68623
preceding year. Each tax year thereafteryears 2005 and 2006, the 68624
assessment rate shall be reduced by onetwo percentage point until 68625
it equals zero per cent not later than tax year 2031points, if 68626
the total statewide collection of tangible personal property taxes 68627
for the second preceding year exceeded the total statewide 68628
collection of tangible personal property taxes for the third 68629
preceding year. If no reduction in the assessment rate is made for 68630
a year, the rate is the same as for the preceding year.68631

       (3) For tax year 2007 and each tax year thereafter, the 68632
assessment rate shall be reduced by two percentage points. During 68633
and after the tax year that the assessment rate equals zero, the 68634
property described in division (E) of this section shall not be 68635
listed for taxation.68636

       Each year until the year the assessment rate equals zero, the 68637
tax commissioner shall determine the assessment rate required 68638
under this division and shall notify all county auditors of that 68639
rate.68640

       For purposes of division (E) of this section, "total 68641
statewide collection of tangible person property taxes" excludes 68642
taxes collected from public utilities and interexchange 68643
telecommunications companies on property that is determined to be 68644
taxable pursuant to section 5727.06 of the Revised Code.68645

       (F) Unless otherwise provided by law, all other personal68646
property used in business that has not been legally regarded as an 68647
improvement on land and considered in arriving at the value of the 68648
real property assessed for taxation shall be listed and assessed 68649
at the rate of twenty-five per cent of its true value in money.68650

       Sec. 5711.27.  No taxpayer shall fail to make a return within 68651
the time prescribed by law, or as extended pursuant to section 68652
5711.04 of the Revised Code, nor fail to list in a return or 68653
disclose on an accompanying balance sheet or in other information 68654
filed with the return any item of taxable property which hethe 68655
taxpayer is required byto list in the return under sections 68656
5711.01 to 5711.36 of the Revised Code, to list therein.68657

       If any taxpayer does so fail the following shall apply:68658

       (A) In the case of a taxpayer who fails to make a timely68659
return, the assessor shall add to the taxpayer's assessment as a68660
penalty, one-half of the taxpayer's taxable value that is exempt68661
from taxation under division (C)(3) of section 5709.01 of the68662
Revised Code. If the taxpayer's taxable value that is exempt from 68663
taxation under division (C)(3) of section 5709.01 of the Revised 68664
Code is located in more than one taxing district, the penalty 68665
assessment shall be applied among taxing districts as if only five 68666
thousand dollars, or one-half of the taxpayer's taxable valuation, 68667
whichever is less, had been exempt from taxation under such 68668
division.68669

       (B) In the case of a taxpayer who fails to make a timely68670
return, or fails to list or disclose any item hethe taxpayer is68671
required to return, the assessor shall add to the assessment of 68672
each class or item of taxable property which the taxpayer failed 68673
to return, list, or disclose and to any amount added under 68674
division (A) of this section, a penalty of up to fifty per cent 68675
thereofof the assessment; but if such taxpayer makes, within 68676
sixty days after the expiration of the time prescribed by such 68677
sections, a return or an amended or supplementary return and lists 68678
therein or discloses on an accompanying balance sheet or in other 68679
information filed with the return all items of taxable property 68680
which hethe taxpayer is required by such sections to list, and in 68681
all cases in which the taxpayer's only default is histhe failure 68682
to pay the amounts specified in section 5719.02 of the Revised 68683
Code within the time therein specified, such penalty shall be five 68684
per cent of the assessment, and, if the assessment certificate has 68685
been issued, an amended assessment certificate shall be issued and 68686
substituted therefor.68687

       Either or both of the penaltiesThe penalty provided in this 68688
section may be abated in whole or in part by the assessor when it 68689
is shown that such failure is due to reasonable cause. The penalty68690
assessment shall be entered on the proper tax list and duplicate,68691
and taxes shall be levied thereon the same as on the assessment68692
itself.68693

       If any taxpayer does so fail with respect to a return68694
required to be filed for tax year 1982 or any prior year, the68695
assessor shall add to the assessment of each class or item of68696
taxable property which the taxpayer failed to return, list or68697
disclose in addition to the penalties provided by law, an68698
additional charge at the rate of one-half of one per cent per68699
month from the date such property should have been returned or68700
disclosed until the same is assessed, provided that said68701
additional charge shall not be added to an assessment for any68702
period of time in excess of ten years previous to the date of the68703
assessment.68704

       A fiduciary against whom a penalty assessment is made shall68705
be personally liable for the amount of taxes levied in respect to68706
such penalty assessment and any additional charge, and in case of68707
fraud or intent to evade taxes, such fiduciary shall have no right 68708
of reimbursement against the property held by himthe fiduciary as 68709
such fiduciary nor against the person for whose benefit the same 68710
is held.68711

       Sec. 5711.33.  (A)(1) When a county treasurer receives a68712
certificate from a county auditor pursuant to division (A) of68713
section 5711.32 of the Revised Code charging the treasurer with 68714
the collection of an amount of taxes due as the result of a68715
deficiency assessment, the treasurer shall immediately prepare and 68716
mail a tax bill to the taxpayer owing such tax. The tax bill shall 68717
contain the name of the taxpayer; the taxable value, tax rate, and 68718
taxes charged for each year being assessed; the total amount of 68719
taxes due; the final date payment may be made without additional 68720
penalty; and any other information the treasurer considers 68721
pertinent or necessary. Taxes due and payable as a result of a 68722
deficiency assessment, less any amount specifically excepted from 68723
collection under division (B) of section 5711.32 of the Revised 68724
Code, shall be paid with interest thereon as prescribed by section 68725
5719.041 of the Revised Code on or before the sixtieth day 68726
following the date of issuance of the certificate by the county 68727
auditor. The balance of taxes found due and payable after a final 68728
determination by the tax commissioner or a final judgment of the 68729
board of tax appeals or any court to which such final judgment may 68730
be appealed, shall be paid with interest thereon as prescribed by 68731
section 5719.041 of the Revised Code on or before the sixtieth day 68732
following the date of certification by the auditor to the 68733
treasurer pursuant to division (C) of section 5711.32 of the 68734
Revised Code of such final determination or judgment. Such final 68735
dates for payment shall be determined and exhibited on the tax 68736
bill by the treasurer.68737

       (2) If, on or before the sixtieth day following the date of a 68738
certification of a deficiency assessment under division (A) of68739
section 5711.32 of the Revised Code or of a certification of a68740
final determination or judgment under division (C) of section68741
5711.32 of the Revised Code, the taxpayer pays the full amount of68742
taxes and interest due at the time of the receipt of certification 68743
with respect to that assessment, determination, or judgment, no 68744
interest shall accrue or be charged with respect to that 68745
assessment, determination, or judgment for the period that begins 68746
on the first day of the month in which the certification is made 68747
and that ends on the last day of the month preceding the month in 68748
which such sixtieth day occurs.68749

       (B) When the taxes charged, as mentioned in division (A) of 68750
this section, are not paid within the time prescribed by such68751
division, a penalty of ten per cent of the amount due and unpaid68752
and interest for the period described in division (A)(2) of this68753
section shall accrue at the time the treasurer closes the68754
treasurer's office for business on the last day so prescribed, but 68755
if the taxes are paid within ten days subsequent to the last day 68756
prescribed, the treasurer shall waive the collection of and the 68757
auditor shall remit one-half of the penalty. The treasurer shall 68758
not thereafter accept less than the full amount of taxes and 68759
penalty except as otherwise authorized by law. Such penalty shall 68760
be distributed in the same manner and at the same time as the tax68761
upon which it has accrued. The whole amount collected shall be68762
included in the next succeeding settlement of appropriate taxes.68763

       (C) When the taxes charged, as mentioned in division (A) of 68764
this section, remain unpaid after the final date for payment68765
prescribed by such division, such charges shall be deemed to be68766
delinquent taxes. The county auditor shall cause such charges,68767
including the penalty that has accrued pursuant to this section, 68768
to be added to the delinquent tax duplicate in accordance with68769
section 5719.04 of the Revised Code.68770

       (D) The county auditor, upon consultation with the county68771
treasurer, shall remit a penalty imposed under division (B) of68772
this section or division (C) of section 5719.03 of the Revised68773
Code for the late payment of taxes when:68774

       (1) The taxpayer could not make timely payment of the tax68775
because of the negligence or error of the county auditor or county68776
treasurer in the performance of a statutory duty relating to the 68777
levy or collection of such tax.68778

       (2) In cases other than those described in division (D)(1) of 68779
this section, the taxpayer failed to receive a tax bill or a68780
correct tax bill, and the taxpayer made a good faith effort to68781
obtain such bill within thirty days after the last day for payment 68782
of the tax.68783

       (3) The tax was not timely paid because of the death or68784
serious injury of the taxpayer, or the taxpayer's confinement in a 68785
hospital within sixty days preceding the last day for payment of 68786
the tax if, in any case, the tax was subsequently paid within68787
sixty days after the last day for payment of such tax.68788

       (4) The taxpayer demonstrates to the satisfaction of the68789
auditor that the full payment was properly deposited in the mail68790
in sufficient time for the envelope to be postmarked by the United 68791
States postal service on or before the last day for payment of 68792
such tax. A private meter postmark on an envelope is not a valid 68793
postmark for purposes of establishing the date of payment of such 68794
tax.68795

       (5) In cases other than those described in divisions (D)(1) 68796
to (4) of this section, the taxpayer's failure to make timely 68797
payment of the tax is due to reasonable cause and not willful 68798
neglect.68799

       (E) The taxpayer, upon application within sixty days after 68800
the mailing of the county auditor's decision, may request the tax68801
commissioner to review the denial of the remission of a penalty by 68802
the county auditor. The application may be filed in person or by 68803
certified mail. If the application is filed by certified mail, the 68804
date of the United States postmark placed on the sender's receipt 68805
by the postal service shall be treated as the date of filing. The 68806
commissioner shall consider the application, determine whether the 68807
penalty should be remitted, and certify the determination to the 68808
taxpayer and to the county treasurer and county auditor, who shall 68809
correct the tax list and duplicate accordingly. The commissioner 68810
shallmay issue orders and instructions for the uniform68811
implementation of this section by all county auditors and county68812
treasurers, and such orders and instructions shall be followed by 68813
such officers.68814

       Sec. 5713.07.  The county auditor, at the time of making the 68815
assessment of real property subject to taxation, shall enter in a 68816
separate list pertinent descriptions of all burying grounds,68817
public schoolhouses, houses used exclusively for public worship,68818
institutions of purely public charity, real property used68819
exclusively for a home for the aged, as defined in section 5701.13 68820
of the Revised Code, and public buildings and property used 68821
exclusively for any public purpose, and any other property, with 68822
the lot or tract of land on which such house, institution, or68823
public building, or other property is situated, and which are 68824
exempthave been exempted from taxation by either the tax 68825
commissioner under section 5715.27 of the Revised Code or by the 68826
housing officer under section 3735.67 of the Revised Code. HeThe 68827
auditor shall value such houses, buildings, property, and lots and 68828
tracts of land at their taxable value in the same manner as hethe 68829
auditor is required to value other real property, designating in 68830
each case the township, municipal corporation, and number of the 68831
school district, or the name or designation of the school, 68832
religious society, or institution to which each house, lot, or 68833
tract belongs. If such property is held and used for other public 68834
purposes, hethe auditor shall state by whom or how it is held.68835

       Sec. 5713.08.  (A) The county auditor shall make a list of68836
all real and personal property in the auditor's county, including 68837
money, credits, and investments in bonds, stocks, or otherwise, 68838
which is exempted from taxation. Such list shall show the name of 68839
the owner, the value of the property exempted, and a statement in68840
brief form of the ground on which such exemption has been granted. 68841
It shall be corrected annually by adding thereto the items of 68842
property which have been exempted during the year, and by striking 68843
therefrom the items which in the opinion of the auditor have lost 68844
their right of exemption and which have been reentered on the 68845
taxable list. No additions shall be made to such exempt lists and 68846
no additional items of property shall be exempted from taxation 68847
without the consent of the tax commissioner as is provided for in 68848
section 5715.27 of the Revised Code, but whenor without the 68849
consent of the housing officer under section 3735.67 of the 68850
Revised Code. When any personal property or endowment fund of an68851
institution has once been held by the commissioner to be properly68852
exempt from taxation, it is not necessary to obtain the68853
commissioner's consent to the exemption of additional property or68854
investments of the same kind belonging to the same institution,68855
but such property shall appear on the abstract filed annually with 68856
the commissioner. The commissioner may revise at any time the list 68857
in every county so that no property is improperly or illegally 68858
exempted from taxation. The auditor shall follow the orders of the 68859
commissioner given under this section. An abstract of such list 68860
shall be filed annually with the commissioner, on a form approved 68861
by the commissioner, and a copy thereof shall be kept on file in68862
the office of each auditor for public inspection.68863

       The commissioner shall not consider an application for68864
exemption of property unless the application has attached thereto68865
a certificate executed by the county treasurer certifying one of 68866
the following:68867

       (1) That all taxes, assessments, interest, and penalties68868
levied and assessed against the property sought to be exempted68869
have been paid in full to the date upon which the application for68870
exemption is filed, except for such taxes, interest, and penalties 68871
that may be remitted under division (B) of this section;68872

       (2) That the applicant has entered into a valid delinquent 68873
tax contract with the county treasurer pursuant to division (A) of68874
section 323.31 of the Revised Code to pay all of the delinquent68875
taxes, assessments, interest, and penalties charged against the68876
property, except for such taxes, interest, and penalties that may68877
be remitted under division (B) of this section. If the auditor68878
receives notice under section 323.31 of the Revised Code that such 68879
a written delinquent tax contract has become void, the auditor 68880
shall strike such property from the list of exempted property and 68881
reenter such property on the taxable list. If property is removed 68882
from the exempt list because a written delinquent tax contract has 68883
become void, current taxes shall first be extended against that 68884
property on the general tax list and duplicate of real and public 68885
utility property for the tax year in which the auditor receives 68886
the notice required by division (A) of section 323.31 of the 68887
Revised Code that the delinquent tax contract has become void or, 68888
if that notice is not timely made, for the tax year in which falls 68889
the latest date by which the treasurer is required by such section 68890
to give such notice. A county auditor shall not remove from any 68891
tax list and duplicate the amount of any unpaid delinquent taxes, 68892
assessments, interest, or penalties owed on property that is 68893
placed on the exempt list pursuant to this division.68894

       (3) That a tax certificate has been issued under section 68895
5721.32 or 5721.33 of the Revised Code with respect to the 68896
property that is the subject of the application, and the tax 68897
certificate is outstanding.68898

       (B) Any taxes, interest, and penalties which have become a68899
lien after the property was first used for the exempt purpose, but 68900
in no case prior to the date of acquisition of the title to the 68901
property by the applicant, may be remitted by the commissioner, 68902
except as is provided in division (A) of section 5713.081 of the 68903
Revised Code.68904

       (C) Real property acquired by the state in fee simple is68905
exempt from taxation from the date of acquisition of title or date 68906
of possession, whichever is the earlier date, provided that all 68907
taxes, interest, and penalties as provided in the apportionment 68908
provisions of section 319.20 of the Revised Code have been paid to 68909
the date of acquisition of title or date of possession by the 68910
state, whichever is earlier. The proportionate amount of taxes 68911
that are a lien but not yet determined, assessed, and levied for 68912
the year in which the property is acquired, shall be remitted by 68913
the county auditor for the balance of the year from date of 68914
acquisition of title or date of possession, whichever is earlier. 68915
This section shall not be construed to authorize the exemption of 68916
such property from taxation or the remission of taxes, interest, 68917
and penalties thereon until all private use has terminated.68918

       Sec. 5713.081. (A) No application for real property tax68919
exemption and tax remission shall be filed with, or considered by, 68920
the tax commissioner in which tax remission is requested for more 68921
than three tax years, and the commissioner shall not remit more 68922
than three years' delinquent taxes, penalties, and interest.68923

       (B) All taxes, penalties, and interest, that have been68924
delinquent for more than three years, appearing on the general tax 68925
list and duplicate of real property which have been levied and 68926
assessed against parcels of real property owned by the state, any 68927
political subdivision, or any other entity whose ownership of real 68928
property would constitute public ownership, shall be collected by 68929
the county auditor of the county where the real property is 68930
located. Such officialauditor shall deduct from each distribution 68931
made by himthe auditor, the amount necessary to pay the tax68932
delinquency from any revenues or funds to the credit of the state, 68933
any political subdivision, or any other entity whose ownership of 68934
real property would constitute public ownership thereof, passing 68935
under histhe auditor's control, or which come into histhe 68936
auditor's possession, and such deductions shall be made on a 68937
continuing basis until all delinquent taxes, penalties, and 68938
interest noted in this section have been paid.68939

       (C) As used in division (B) of this section, "political 68940
subdivision" includes townships, municipalities, counties, school 68941
districts, boards of education, all state and municipal 68942
universities, park boards, and any other entity whose ownership of 68943
real property would constitute public ownership.68944

       Sec. 5713.082.  (A) Whenever the county auditor reenters an 68945
item of property to the tax list as provided in section 5713.08 of 68946
the Revised Code and there has been no conveyance of the property 68947
between separate entities, the auditor shall send notice by 68948
certified mail to the owner of the property that it is now subject 68949
to property taxation as a result of such action. The auditor shall 68950
send the notice at the same time hethe auditor certifies the real 68951
property tax duplicate to the county treasurer. The notice shall 68952
describe the property and indicate that the owner may reapply for 68953
tax exemption by filing an application for exemption as provided 68954
in section 5715.27 of the Revised Code, and that failure to file 68955
such an application within the proper time period will result in 68956
the owner having to pay the taxes even if the property continued 68957
to be used for an exempt purpose.68958

       (B) If the auditor failed to send the notice required by this 68959
section, and if the owner of the property subsequently files an 68960
application for tax exemption for the property for the current tax 68961
year, the tax commissioner may grant exemption to the property, 68962
and hethe commissioner shall remit all unpaid taxes and penalties 68963
for each prior year since the property was reentered on the tax 68964
list notwithstanding the provisions of division (A) of section 68965
5713.081 of the Revised Code.68966

       Sec. 5713.30.  As used in sections 5713.31 to 5713.37 and68967
5715.01 of the Revised Code:68968

       (A) "Land devoted exclusively to agricultural use" means:68969

       (1) Tracts, lots, or parcels of land totaling not less than 68970
ten acres that, during the three calendar years prior to the year 68971
in which application is filed under section 5713.31 of the Revised 68972
Code, and through the last day of May of such year, were devoted 68973
exclusively to commercial animal or poultry husbandry,68974
aquaculture, apiculture, the production for a commercial purpose68975
of timber, field crops, tobacco, fruits, vegetables, nursery68976
stock, ornamental trees, sod, or flowers, or the growth of timber68977
for a noncommercial purpose, if the land on which the timber is68978
grown is contiguous to or part of a parcel of land under common68979
ownership that is otherwise devoted exclusively to agricultural68980
use, or were devoted to and qualified for payments or other68981
compensation under a land retirement or conservation program under 68982
an agreement with an agency of the federal government;68983

       (2) Tracts, lots, or parcels of land totaling less than ten 68984
acres that, during the three calendar years prior to the year in 68985
which application is filed under section 5713.31 of the Revised 68986
Code and through the last day of May of such year, were devoted 68987
exclusively to commercial animal or poultry husbandry,68988
aquaculture, apiculture, the production for a commercial purpose68989
of field crops, tobacco, fruits, vegetables, timber, nursery68990
stock, ornamental trees, sod, or flowers where such activities68991
produced an average yearly gross income of at least twenty-five68992
hundred dollars during such three-year period or where there is68993
evidence of an anticipated gross income of such amount from such68994
activities during the tax year in which application is made, or68995
were devoted to and qualified for payments or other compensation68996
under a land retirement or conservation program under an agreement 68997
with an agency of the federal government;68998

       (3) A tract, lot, or parcel of land taxed under sections68999
5713.22 to 5713.26 of the Revised Code is not land devoted69000
exclusively to agricultural use;69001

       (4) Tracts, lots, or parcels of land, or portions thereof69002
whichthat, during the previous three consecutive calendar years 69003
have been designated as land devoted exclusively to agricultural 69004
use, but such land has been lying idle or fallow for up to one 69005
year and no action has occurred to such land that is either69006
inconsistent with the return of it to agricultural production or69007
converts the land devoted exclusively to agricultural use as69008
defined in this section. Such land shall remain designated as land 69009
devoted exclusively to agricultural use provided that beyond one 69010
year, but less than three years, the landowner proves good cause 69011
as determined by the board of revision.69012

       "Land devoted exclusively to agricultural use" includes 69013
tracts, lots, or parcels of land or portions thereof that are used 69014
for conservation practices, provided that the tracts, lots, or 69015
parcels of land or portions thereof comprise twenty-five per cent 69016
or less of the total of the tracts, lots, or parcels of land that 69017
satisfy the criteria established in division (A)(1), (2), or (4) 69018
of this section together with the tracts, lots, or parcels of land 69019
or portions thereof that are used for conservation practices.69020

       (B) "Conversion of land devoted exclusively to agricultural 69021
use" means any of the following:69022

       (1) The failure of the owner of land devoted exclusively to 69023
agricultural use during the next preceding calendar year to file a 69024
renewal application under section 5713.31 of the Revised Code 69025
without good cause as determined by the board of revision;69026

       (2) The failure of the new owner of such land to file an69027
initial application under that section without good cause as69028
determined by the board of revision;69029

       (3) The failure of such land or portion thereof to qualify as 69030
land devoted exclusively to agricultural use for the current69031
calendar year as requested by an application filed under such69032
section;69033

       (4) The failure of the owner of the land described in69034
division (A)(4) of this section to act on such land in a manner69035
that is consistent with the return of the land to agricultural69036
production after three years.69037

       (C) "Tax savings" means the difference between the dollar69038
amount of real property taxes levied in any year on land valued69039
and assessed in accordance with its current agricultural use value 69040
and the dollar amount of real property taxes whichthat would have 69041
been levied upon such land if it had been valued and assessed for 69042
such year in accordance with Section 2 of Article XII, Ohio 69043
Constitution.69044

       (D) "Owner" includes, but is not limited to, any person69045
owning a fee simple, fee tail, or life estate, or a buyer on a 69046
land installment contract.69047

       (E) "Conservation practices" are practices used to abate soil 69048
erosion as required in the management of the farming operation, 69049
and include, but are not limited to, the installation, 69050
construction, development, planting, or use of grass waterways, 69051
terraces, diversions, filter strips, field borders, windbreaks, 69052
riparian buffers, wetlands, ponds, and cover crops for that 69053
purpose.69054

        (F) "Wetlands" has the same meaning as in section 6111.02 of 69055
the Revised Code.69056

       Sec. 5715.27.  (A) TheExcept as provided in section 3735.67 69057
of the Revised Code, the owner of any property may file an69058
application with the tax commissioner, on forms prescribed by the69059
commissioner, requesting that such property be exempted from69060
taxation and that unpaid taxes and penalties be remitted as69061
provided in division (B) of section 5713.08 of the Revised Code.69062

       (B) The board of education of any school district may request 69063
the tax commissioner to provide it with notification of69064
applications for exemption from taxation for property located69065
within that district. If so requested, the commissioner shall send 69066
to the board for the quarters ending on the last day of March, 69067
June, September, and December of each year, reports that contain 69068
sufficient information to enable the board to identify each 69069
property that is the subject of an exemption application,69070
including, but not limited to, the name of the property owner or69071
applicant, the address of the property, and the auditor's parcel69072
number. The commissioner shall mail the reports on or about the69073
fifteenth day of the month following the end of the quarter.69074

       (C) A board of education that has requested notification69075
under division (B) of this section may, with respect to any69076
application for exemption of property located in the district and69077
included in the commissioner's most recent report provided under69078
that division, file a statement with the commissioner and with the 69079
applicant indicating its intent to submit evidence and participate 69080
in any hearing on the application. The statements shall be filed 69081
prior to the first day of the third month following the end of the 69082
quarter in which that application was docketed by the 69083
commissioner. A statement filed in compliance with this division 69084
entitles the district to submit evidence and to participate in any 69085
hearing on the property and makes the district a party for 69086
purposes of sections 5717.02 to 5717.04 of the Revised Code in any 69087
appeal of the commissioner's decision to the board of tax appeals.69088

       (D) The commissioner shall not hold a hearing on or grant or 69089
deny an application for exemption of property in a school district 69090
whose board of education has requested notification under division 69091
(B) of this section until the end of the period within which the 69092
board may submit a statement with respect to that application 69093
under division (C) of this section. The commissioner may act upon 69094
an application at any time prior to that date upon receipt of a 69095
written waiver from each such board of education, or, in the case 69096
of exemptions authorized by section 725.02, 1728.10, 3735.67,69097
5709.41, 5709.62, or 5709.63 of the Revised Code, upon the request 69098
of the property owner. Failure of a board of education to receive 69099
the report required in division (B) of this section shall not void 69100
an action of the commissioner with respect to any application. The 69101
commissioner may extend the time for filing a statement under 69102
division (C) of this section.69103

       (E) A complaint may also be filed with the commissioner by69104
any person, board, or officer authorized by section 5715.19 of the 69105
Revised Code to file complaints with the county board of revision 69106
against the continued exemption of any property granted exemption 69107
by the commissioner under this section.69108

       (F) An application for exemption and a complaint against69109
exemption shall be filed prior to the thirty-first day of December 69110
of the tax year for which exemption is requested or for which the 69111
liability of anythe property to taxation in that year is69112
requested. The commissioner shall consider such application or69113
complaint in accordance with procedures established by the69114
commissioner, determine whether the property is subject to 69115
taxation or exempt therefrom, and certify the commissioner's 69116
findings to the auditor, who shall correct the tax list and 69117
duplicate accordingly. If a tax certificate has been sold under 69118
section 5721.32 or 5721.33 of the Revised Code with respect to 69119
property for which an exemption has been requested, the tax 69120
commissioner shall also certify the findings to the county 69121
treasurer of the county in which the property is located.69122

       (G) Applications and complaints, and documents of any kind69123
related to applications and complaints, filed with the tax69124
commissioner under this section, are public records within the69125
meaning of section 149.43 of the Revised Code.69126

       (H) If the commissioner determines that the use of property 69127
or other facts relevant to the taxability of property that is the 69128
subject of an application for exemption or a complaint under this 69129
section has changed while the application or complaint was 69130
pending, the commissioner may make the determination under 69131
division (F) of this section separately for each tax year 69132
beginning with the year in which the application or complaint was 69133
filed or the year for which remission of unpaid taxes under 69134
division (B) of section 5713.08 of the Revised Code was requested, 69135
and including each subsequent tax year during which the 69136
application or complaint is pending before the commissioner.69137

       Sec. 5715.39. (A) The tax commissioner may remit real 69138
property taxes, manufactured home taxes, penalties, and interest 69139
found by the commissioner to have been illegally assessed. The 69140
commissioner also may remit any penalty charged against any real 69141
property or manufactured or mobile home that was the subject of an69142
application for exemption from taxation under section 5715.27 of69143
the Revised Code if the commissioner determines that the applicant 69144
requested such exemption in good faith. The commissioner shall 69145
include notice of the remission in the commissioner's 69146
certification to the county auditor required under that section.69147

       (B) The commissioner, on application by a taxpayercounty 69148
auditor, upon consultation with the county treasurer, shall remit69149
a penalty for late payment of any real property taxes or 69150
manufactured home taxes when:69151

       (A)(1) The taxpayer could not make timely payment of the tax69152
because of the negligence or error of the county auditor or county69153
treasurer in the performance of a statutory duty relating to the 69154
levy or collection of such tax.69155

       (B)(2) In cases other than those described in division 69156
(A)(B)(1) of this section, the taxpayer failed to receive a tax 69157
bill or a correct tax bill, and the taxpayer made a good faith 69158
effort to obtain such bill within thirty days after the last day 69159
for payment of the tax.69160

       (C)(3) The tax was not timely paid because of the death or69161
serious injury of the taxpayer, or the taxpayer's confinement in a 69162
hospital within sixty days preceding the last day for payment of 69163
the tax if, in any case, the tax was subsequently paid within69164
sixty days after the last day for payment of such tax.69165

       (D)(4) The taxpayer demonstrates to the satisfaction of the69166
commissioner that the full payment was properly deposited in the69167
mail in sufficient time for the envelope to be postmarked by the69168
United States postal service on or before the last day for payment 69169
of such tax. A private meter postmark on an envelope is not a 69170
valid postmark for purposes of establishing the date of payment of 69171
such tax.69172

       (C) The board of revision shall remit a penalty for late 69173
payment of any real property taxes or manufactured homes taxes if, 69174
in cases other than those described in division (B)(1) to (4) of 69175
this section, the taxpayer's failure to make timely payment of the 69176
tax is due to reasonable cause and not willful neglect.69177

        (D) The taxpayer, upon application within sixty days after 69178
the mailing of the county auditor's or board of revision's 69179
decision, may request the tax commissioner to review the denial of 69180
the remission of a penalty by the auditor or board. The 69181
application may be filed in person or by certified mail. If the 69182
application is filed by certified mail, the date of the United 69183
States postmark placed on the sender's receipt by the postal 69184
service shall be treated as the date of filing. The commissioner 69185
shall consider the application, determine whether the penalty 69186
should be remitted, and certify the determination to the taxpayer, 69187
to the county treasurer, and to the county auditor, who shall 69188
correct the tax list and duplicate accordingly. The commissioner 69189
may issue orders and instructions for the uniform implementation 69190
of this section by all county boards of revision, county auditors, 69191
and county treasurers, and such orders and instructions shall be 69192
followed by such officers and boards.69193

       (E) This section shall not provide to the taxpayer any remedy69194
with respect to any matter that the taxpayer may be authorized to 69195
complain of under section 4503.06, 5715.19, 5717.02, andor69196
5727.47 of the Revised Code.69197

       (F) Applications for remission, and documents of any kind69198
related to those applications, filed with the tax commissioner69199
under this section, are public records within the meaning of69200
section 149.43 of the Revised Code, unless otherwise excepted69201
under that section.69202

       Sec. 5717.011.  (A) As used in this chapter, "tax 69203
administrator" has the same meaning as in section 718.01 of the 69204
Revised Code.69205

       (B) Appeals from a municipal board of appeal created under 69206
section 718.11 of the Revised Code may be taken by the taxpayer or 69207
the tax administrator to the board of tax appeals or may be taken 69208
by the taxpayer or the tax administrator to a court of common 69209
pleas as otherwise provided by law. If the taxpayer or the tax 69210
administrator elects to make an appeal to the board of tax appeals 69211
or court of common pleas, the appeal shall be taken by the filing 69212
of a notice of appeal with the board of tax appeals or court of 69213
common pleas, the municipal board of appeal, and the opposing 69214
party. The notice of appeal shall be filed within sixty days after 69215
the day the appellant receives notice of the decision issued under 69216
section 718.11 of the Revised Code. The notice of appeal may be 69217
filed in person or by certified mail, express mail, or authorized 69218
delivery service as provided in section 5703.056 of the Revised 69219
Code. If the notice of appeal is filed by certified mail, express 69220
mail, or authorized delivery service as provided in section 69221
5703.056 of the Revised Code, the date of the United States 69222
postmark placed on the sender's receipt by the postal service or 69223
the date of receipt recorded by the authorized delivery service 69224
shall be treated as the date of filing. The notice of appeal shall 69225
have attached thereto and incorporated therein by reference a true 69226
copy of the decision issued under section 718.11 of the Revised 69227
Code and shall specify the errors therein complained of, but 69228
failure to attach a copy of such notice and incorporate it by 69229
reference in the notice of appeal does not invalidate the appeal.69230

       (C) Upon the filing of a notice of appeal with the board of 69231
tax appeals, the municipal board of appeal shall certify to the 69232
board of tax appeals a transcript of the record of the proceedings 69233
before it, together with all evidence considered by it in 69234
connection therewith. Such appeals may be heard by the board at 69235
its office in Columbus or in the county where the appellant 69236
resides, or it may cause its examiners to conduct such hearings 69237
and to report to it their findings for affirmation or rejection. 69238
The board may order the appeal to be heard upon the record and the 69239
evidence certified to it by the administrator, but upon the 69240
application of any interested party the board shall order the 69241
hearing of additional evidence, and the board may make such 69242
investigation concerning the appeal as it considers proper.69243

       (D) If an issue being appealed under this section is 69244
addressed in a municipal corporation's ordinance or regulation, 69245
the tax administrator, upon the request of the board of tax 69246
appeals, shall provide a copy of the ordinance or regulation to 69247
the board of tax appeals.69248

       Sec. 5717.03. (A) A decision of the board of tax appeals on 69249
an appeal filed with it pursuant to section 5717.01, 5717.011, or 69250
5717.02 of the Revised Code shall be entered of record on the 69251
journal together with the date when the order is filed with the 69252
secretary for journalization.69253

       (B) In case of an appeal from a decision of a county board of69254
revision, the board of tax appeals shall determine the taxable69255
value of the property whose valuation or assessment by the county69256
board of revision is complained of, or in the event the complaint69257
and appeal is against a discriminatory valuation, shall determine69258
a valuation which shall correct such discrimination, and shall69259
determine the liability of the property for taxation, if that69260
question is in issue, and itsthe board of tax appeals's decision 69261
and the date when it was filed with the secretary for 69262
journalization shall be certified by itthe board by certified 69263
mail to all persons who were parties to the appeal before itthe 69264
board, to the person in whose name the property is listed, or 69265
sought to be listed, if such person is not a party to the appeal, 69266
to the county auditor of the county in which the property involved 69267
in the appeal is located, and to the tax commissioner.69268

       In correcting a discriminatory valuation, the board of tax69269
appeals shall increase or decrease the value of the property whose 69270
valuation or assessment by the county board of revision is69271
complained of by a per cent or amount which will cause such69272
property to be listed and valued for taxation by an equal and69273
uniform rule.69274

       (C) In the case of an appeal from a review, redetermination, 69275
or correction of a tax assessment, valuation, determination,69276
finding, computation, or order of the tax commissioner, the order69277
of the board of tax appeals and the date of the entry thereof upon 69278
its journal shall be certified by itthe board by certified mail 69279
to all persons who were parties to the appeal before itthe board, 69280
the person in whose name the property is listed or sought to be 69281
listed, if the decision determines the valuation or liability of 69282
property for taxation and if such person is not a party to the 69283
appeal, the taxpayer or other person to whom notice of the tax 69284
assessment, valuation, determination, finding, computation, or 69285
order, or correction or redetermination thereof, by the tax 69286
commissioner was by law required to be given, the director of 69287
budget and management, if the revenues affected by such decision 69288
would accrue primarily to the state treasury, and the county 69289
auditors of the counties to the undivided general tax funds of 69290
which the revenues affected by such decision would primarily 69291
accrue.69292

       (D) In the case of an appeal from a municipal board of appeal 69293
created under section 718.11 of the Revised Code, the order of the 69294
board of tax appeals and the date of the entry thereof upon the 69295
board's journal shall be certified by the board by certified mail 69296
to all persons who were parties to the appeal before the board.69297

       (E) In the case of all other appeals or applications filed 69298
with and determined by the board its, the board's order and the 69299
date when itthe order was filed by the secretary for 69300
journalization shall be certified by itthe board by certified 69301
mail to the person who is a party to such appeal or application, 69302
to such persons as the law requires, and to such other persons as 69303
the board deems proper.69304

       (F) The orders of the board may affirm, reverse, vacate,69305
modify, or remand the tax assessments, valuations, determinations, 69306
findings, computations, or orders complained of in the appeals 69307
determined by itthe board, and itsthe board's decision shall 69308
become final and conclusive for the current year unless reversed,69309
vacated, or modified as provided in section 5717.04 of the Revised 69310
Code. When an order of the board becomes final the tax69311
commissioner and all officers to whom such decision has been69312
certified shall make the changes in their tax lists or other69313
records which the decision requires.69314

       (G) If the board finds that issues not raised on the appeal 69315
are important to a determination of a controversy, itthe board69316
may remand the cause for an administrative determination and the 69317
issuance of a new tax assessment, valuation, determination, 69318
finding, computation, or order, unless the parties stipulate to 69319
the determination of such other issues without remand. An order69320
remanding the cause is a final order, which. If the order relates 69321
to any issue other than a municipal income tax matter appealed 69322
under sections 718.11 and 5717.011 of the Revised Code, the order69323
may be appealed to the court of appeals in Franklin county. If the 69324
order relates to a municipal income tax matter appealed under 69325
sections 718.11 and 5717.011 of the Revised Code, the order may be 69326
appealed to the court of appeals for the county in which the 69327
municipal corporation in which the dispute arose is primarily 69328
situated.69329

       Sec. 5719.07.  Subject to the rules prescribed by the tax 69330
commissioner, a county treasurer charged with the collection of 69331
delinquent taxes may issue a certificate of release of the lien 69332
provided for in section 5719.04 of the Revised Code if the amount 69333
secured thereby has been paid or omitted from the delinquent tax 69334
list and duplicate pursuant to section 5719.06 of the Revised69335
Code. The treasurer shall issue a certificate of partial discharge 69336
of any part of the real property subject to the lien if he finds69337
after finding that the value of the part of the property remaining 69338
subject to the lien is at least double the amount of the 69339
delinquent taxes and all prior liens upon such real property. Such 69340
certificate shall be filed and recorded with the county recorder 69341
of the county in which the notice of lien has been filed, for 69342
which recording the recorder shall charge a base fee of two 69343
dollars for services and a housing trust fund fee of two dollars 69344
pursuant to section 317.36 of the Revised Code.69345

       Sec. 5725.19. Upon the issuance of a tax credit certificate69346
by the Ohio venture capital authority under section 150.07 of the69347
Revised Code, a credit may be claimed against the tax imposed on a 69348
domestic insurance company under section 5725.18 of the Revised 69349
Code. The credit shall be claimed in the calendar year specified 69350
in the certificate issued by the authority. If the company elected 69351
a refundable credit under section 150.07 of the Revised Code, and 69352
the amount of the credit shown on the certificate exceeds the tax 69353
otherwise due under section 5725.18 of the Revised Code, the 69354
company may receive a refund equal to seventy-five per cent of 69355
such excess. If the company elected a nonrefundable credit, the 69356
amount of the credit shown on the certificate shall not exceed the 69357
aountamount of tax otherwise due. If the company elected a 69358
nonrefundable credit and the credit to which the company would 69359
otherwise be entitled under this section for any calendar year is 69360
greater than the tax otherwise due under section 5725.18 of the 69361
Revised Code, the excess shall be allowed as a credit in each of 69362
the ensuing ten calendar years, but the amount of any excess 69363
credit allowed in the ensuing calendar year shall be deducted from 69364
the balance carried forward to the next calendar year.69365

       Sec. 5727.111.  The taxable property of each public utility,69366
except a railroad company, and of each interexchange69367
telecommunications company shall be assessed at the following69368
percentages of true value:69369

       (A)(1) Except as provided in division (A)(2) of this section, 69370
fifty per cent in the case of a rural electric company;69371

       (2) For tax year 2001 and thereafter, fifty per cent in the69372
case of the taxable transmission and distribution property of a69373
rural electric company, and twenty-five per cent for all its other69374
taxable property;69375

       (B) In the case of a telephone or telegraph company,69376
twenty-five per cent for taxable property first subject to69377
taxation in this state for tax year 1995 or thereafter, and69378
eighty-eight per centthe following for all other taxable69379
property;:69380

       (1) For tax years prior to 2005, eighty-eight per cent;69381

       (2) For tax year 2005, sixty-seven per cent;69382

       (3) For tax year 2006, forty-six per cent;69383

       (4) For tax year 2007 and thereafter, twenty-five per cent.69384

       (C)(1) Except as provided in division (C)(2) of this section, 69385
eighty-eight per cent in the case of a natural gas company;69386

       (2) For tax year 2001 and thereafter, twenty-fiveTwenty-five69387
per cent in the case of a natural gas company.69388

       (D) Eighty-eight per cent in the case of a pipe-line,69389
water-works, or heating company;69390

       (E)(1) Except as provided in division (E)(2) or (3) of this69391
section, one hundred per cent in the case of the taxable69392
production equipment of an electric company and eighty-eight per69393
cent for all its other taxable property;69394

       (2) For tax year 2001 and thereafter, eighty-eight per cent69395
in the case of the taxable transmission and distribution property69396
of an electric company, and twenty-five per cent for all its other69397
taxable property;69398

       (3) Property listed and assessed under divisions (B)(1) and69399
(2) of section 5711.22 of the Revised Code and leased to an69400
electric company shall continue to be assessed at one hundred per69401
cent for production equipment and eighty-eight per cent for all69402
such other taxable property until January 1, 2002.69403

       (F) Twenty-five per cent in the case of an interexchange69404
telecommunications company;69405

       (G) Twenty-five per cent in the case of a water69406
transportation company.69407

       Sec. 5727.30.  (A) Except as provided in divisions (B) and,69408
(C), and (D) of this section, each public utility, except railroad 69409
companies, shall be subject to an annual excise tax, as provided 69410
by sections 5727.31 to 5727.62 of the Revised Code, for the 69411
privilege of owning property in this state or doing business in 69412
this state during the twelve-month period next succeeding the69413
period upon which the tax is based. The tax shall be imposed 69414
against each such public utility that, on the first day of such 69415
twelve-month period, owns property in this state or is doing 69416
business in this state, and the lien for the tax, including any 69417
penalties and interest accruing thereon, shall attach on such day 69418
to the property of the public utility in this state.69419

       (B) An electric company's or a rural electric company's gross 69420
receipts received after April 30, 2001, are not subject to the 69421
annual excise tax imposed by this section.69422

       (C) A natural gas company's gross receipts received after69423
April 30, 2000, are not subject to the annual excise tax imposed 69424
by this section.69425

       (D) A telephone company's gross receipts derived from amounts 69426
billed to customers after June 30, 2004, are not subject to the 69427
annual excise tax imposed by this section. Notwithstanding any 69428
other provision of law, gross receipts derived from amounts billed 69429
by a telephone company to customers prior to July 1, 2004, shall 69430
be included in the telephone company's annual statement filed on 69431
or before August 1, 2004, which shall be the last statement or 69432
report filed under section 5727.31 of the Revised Code by a 69433
telephone company. A telephone company shall not deduct from its 69434
gross receipts included in that last statement any receipts it was 69435
unable to collect from its customers for the period of July 1, 69436
2003, to June 30, 2004.69437

       Sec. 5727.32.  (A) For the purpose of the tax imposed by 69438
section 5727.30 of the Revised Code, the statement required by 69439
section 5727.31 of the Revised Code shall contain:69440

       (1) The name of the company;69441

       (2) The nature of the company, whether a person, association, 69442
or corporation, and under the laws of what state or country 69443
organized;69444

       (3) The location of its principal office;69445

       (4) The name and post-office address of the president,69446
secretary, auditor, treasurer, and superintendent or general69447
manager;69448

       (5) The name and post-office address of the chief officer or 69449
managing agent of the company in this state;69450

       (6) The amount of the excise taxes paid or to be paid with69451
the reports made during the current calendar year as provided by69452
section 5727.31 of the Revised Code;69453

       (7) In the case of telegraph and telephone companies:69454

       (a) The gross receipts from all sources, whether messages,69455
telephone tolls, rentals, or otherwise, for business done within69456
this state, including all sums earned or charged, whether actually 69457
received or not, for the year ending on the thirtieth day of June, 69458
and the company's proportion of gross receipts for business done 69459
by it within this state in connection with other companies, firms, 69460
corporations, persons, or associations, but excluding all of the 69461
following:69462

       (i) All of the receipts derived wholly from interstate69463
business or business done for or with the federal government;69464

       (ii) The receipts of amounts billed on behalf of other69465
entities;69466

       (iii) The receipts from sales to other telephone companies69467
for resale;69468

       (iv) The receipts from sales to providers of69469
telecommunications service for resale, receipts from incoming or 69470
outgoing wide area transmission service or wide area transmission 69471
type service, including eight hundred or eight-hundred-type 69472
service, and receipts from private communications service.69473

       As used in this division, "receipts from sales to other69474
telephone companies for resale" and "receipts from sales to69475
providers of telecommunications service for resale" include but69476
are not limited to, receipts of carrier access charges. "Carrier69477
access charges" means compensation paid to the taxpayer telephone69478
company by another telephone company or by a provider of69479
telecommunications service for the use of the taxpayer's69480
facilities to originate or terminate telephone calls or69481
telecommunications service.69482

       (b) The total gross receipts for such period from business69483
done within this state.69484

       (8) In the case of all public utilities subject to the tax 69485
imposed by section 5727.30 of the Revised Code, except telegraph69486
and telephone companies:69487

       (a) The gross receipts of the company, actually received,69488
from all sources for business done within this state for the year69489
next preceding the first day of May, including the company's69490
proportion of gross receipts for business done by it within this69491
state in connection with other companies, firms, corporations,69492
persons, or associations, but excluding allboth of the following:69493

       (i) Receipts from interstate business or business done for69494
the federal government;69495

       (ii) Receipts from sales to another public utility for69496
resale, provided such other public utility is subject to the tax69497
levied by section 5727.24 or 5727.30 of the Revised Code;69498

       (iii) Receipts from the transmission or delivery of 69499
electricity to or for a rural electric company, provided that the 69500
electricity that has been so transmitted or delivered is for 69501
resale by the rural electric company. This division does not apply 69502
to tax years 2002 and thereafter.69503

       (iv) Receipts of an electric company, derived from the 69504
provision of electricity and other services to a qualified former 69505
owner of the production facilities that generated the electricity 69506
from which those receipts were derived. This division does not 69507
apply to tax years 2002 and thereafter. As used in this division, 69508
a "qualified former owner" means a person who meets both of the 69509
following conditions:69510

       (I) On or before October 11, 1991, the person had sold to an69511
electric company part of the production facility at which the 69512
electricity is generated, and, for at least twenty years prior to 69513
that sale, the facility was used to generate electricity, but it 69514
was not owned in whole or in part during that period by an 69515
electric company.69516

       (II) At the time the electric company provided the 69517
electricity or other services for which the exclusion is claimed, 69518
the person, or a successor or assign of the person, owned not less 69519
than twenty per cent of the production facility and the rights to69520
not less than twenty per cent of the production of that facility;69521
and the person, or a successor or assign of the person, engaged69522
primarily in a business other than providing electricity to69523
others.69524

       (v) Receipts of a combined company derived from operating as 69525
a natural gas company that is subject to the tax imposed by 69526
section 5727.24 of the Revised Code.69527

       (b) The total gross receipts of the company, for the year 69528
next preceding the first day of May, in this state from business 69529
done within the state.69530

       (B) The reports required by section 5727.31 of the Revised 69531
Code shall contain:69532

       (1) The name and principal mailing address of the company;69533

       (2) The total amount of the gross receipts excise taxes69534
charged or levied as based upon its last preceding annual69535
statement filed prior to the first day of January of the year in69536
which such report is filed;69537

       (3) The amount of the excise taxes due with the report as69538
provided by section 5727.31 of the Revised Code.69539

       Sec. 5727.33.  (A) For the purpose of computing the excise69540
tax imposed by section 5727.24 or 5727.30 of the Revised Code, the69541
entire gross receipts actually received from all sources for69542
business done within this state are taxable gross receipts,69543
excluding the receipts described in divisions (B), (C), and (D), 69544
and (E) of this section. The gross receipts for the tax year of69545
each telegraph and telephone company shall be computed for the 69546
period of the first day of July prior to the tax year to the 69547
thirtieth day of June of the tax year. The gross receipts of each 69548
natural gas company, including a combined company's taxable gross 69549
receipts attributed to a natural gas company activity, shall be69550
computed in the manner required by section 5727.25 of the Revised 69551
Code. The gross receipts for the tax year of any other public 69552
utility subject to section 5727.30 of the Revised Code shall be 69553
computed for the period of the first day of May prior to the tax 69554
year to the thirtieth day of April of the tax year.69555

       (B) In ascertaining and determining the gross receipts of69556
each public utility subject to this section, the following gross69557
receipts are excluded:69558

       (1) All receipts derived wholly from interstate business;69559

       (2) All receipts derived wholly from business done for or69560
with the federal government;69561

       (3) All receipts derived wholly from the transmission or69562
delivery of electricity to or for a rural electric company,69563
provided that the electricity that has been so transmitted or69564
delivered is for resale by the rural electric company. This69565
division does not apply to tax years 2002 and thereafter.69566

       (4) All receipts from the sale of merchandise;69567

       (5)(4) All receipts from sales to other public utilities,69568
except railroad,and telegraph, and telephone companies, for 69569
resale, provided the other public utility is subject to the tax 69570
levied by section 5727.24 or 5727.30 of the Revised Code.69571

       (C) In ascertaining and determining the gross receipts of a69572
telephone company, the following gross receipts are excluded:69573

       (1) Receipts of amounts billed on behalf of other entities;69574

       (2) Receipts from sales to other telephone companies for69575
resale, as defined in division (A)(7) of section 5727.32 of the69576
Revised Code;69577

       (3) Receipts from incoming or outgoing wide area transmission69578
service or wide area transmission type service, including eight69579
hundred or eight-hundred-type service;69580

       (4) Receipts from private communications service as described69581
in division (AA)(2) of section 5739.01 of the Revised Code;69582

       (5) Receipts from sales to providers of telecommunications69583
service for resale, as defined in division (A)(7) of section69584
5727.32 of the Revised Code.69585

       (D) In ascertaining and determining the gross receipts of an69586
electric company, receipts derived from the provision of69587
electricity and other services to a qualified former owner of the69588
production facilities that generated the electricity from which69589
those receipts were derived are excluded. This division does not69590
apply to tax years 2002 and thereafter. As used in this division,69591
a "qualified former owner" means a person who meets both of the69592
following conditions:69593

       (1) On or before October 11, 1991, the person had sold to an69594
electric company part of the production facility at which the69595
electricity is generated, and, for at least twenty years prior to69596
that sale, the facility was used to generate electricity, but it69597
was not owned in whole or part during that period by an electric69598
company.69599

       (2) At the time the electric company provided the electricity 69600
or other services for which the exclusion is claimed, the person, 69601
or a successor or assign of the person, owned not less than a 69602
twenty per cent ownership of the production facility and the 69603
rights to not less than twenty per cent of the production of that 69604
facility.69605

       (E)(C) In ascertaining and determining the gross receipts of 69606
a natural gas company, receipts billed on behalf of other entities69607
are excluded. The tax imposed by section 5729.811 of the Revised69608
Code, along with transportation and billing and collection fees69609
charged to other entities, shall be included in the gross receipts69610
of a natural gas company.69611

       (F)(D) In ascertaining and determining the gross receipts of69612
a combined company subject to the tax imposed by section 5727.30 69613
of the Revised Code, all receipts derived from operating as a 69614
natural gas company that are subject to the tax imposed by section 69615
5727.24 of the Revised Code are excluded.69616

       (G)(E) Except as provided in division (H)(F) of this section, 69617
the amount ascertained by the commissioner under this section, 69618
less a deduction of twenty-five thousand dollars, shall be the 69619
taxable gross receipts of such companies for business done within69620
this state for that year.69621

       (H)(F) The amount ascertained under this section, less the69622
following deduction, shall be the taxable gross receipts of a69623
natural gas company or combined company subject to the tax imposed69624
by section 5727.24 of the Revised Code for business done within69625
this state:69626

       (1) For a natural gas company that files quarterly returns of 69627
the tax imposed by section 5727.24 of the Revised Code, six69628
thousand two hundred fifty dollars for each quarterly return;69629

       (2) For a natural gas company that files an annual return of69630
the tax imposed by section 5727.24 of the Revised Code,69631
twenty-five thousand dollars for each annual return;69632

       (3) For a combined company, twenty-five thousand dollars on69633
the annual statement filed under section 5727.31 of the Revised69634
Code. A combined company shall not be entitled to a deduction in69635
computing gross receipts subject to the tax imposed by section69636
5727.24 of the Revised Code.69637

       Sec. 5727.56.  Any public utility whose articles of69638
incorporation or license certificate to do or transact business in 69639
this state has expired or has been canceled or revoked by the69640
secretary of state, as provided by law for failure to make any69641
report or return or to pay any tax or fee, upon payment to the69642
secretary of state of any additional fees and penalties required69643
to be paid to himthe secretary of state, and upon the filing with 69644
the secretary of state of a certificate from the tax commissioner 69645
that it has complied with all the requirements of law as to 69646
franchise or excise tax reports and paid all franchise or excise 69647
taxes, fees, or penalties due thereon for every year of its 69648
delinquency, and upon the payment to the secretary of state of an 69649
additional fee of ten dollars, shall be reinstated and again 69650
entitled to exercise its rights, privileges, and franchises in 69651
this state, and the secretary of state shall cancel the entry of 69652
cancellation or expiration to exercise its rights, privileges, and 69653
franchises. If the reinstatement is not made within one year from 69654
the date of the cancellation of its articles of incorporation or 69655
date of the cancellation or expiration of its license to do 69656
business, and it appears that articles of incorporation or license 69657
certificate have been issued to a corporation of the same or 69658
similar name, the applicant for reinstatement shall be required by 69659
the secretary of state, as a condition prerequisite to such69660
reinstatement, to amend its articles by changing its name. A69661
certificate of reinstatement may be filed in the county recorder's 69662
office of any county in the state, for which the recorder shall 69663
charge and collect a base fee of three dollars for services and a 69664
housing trust fund fee of three dollars pursuant to section 317.36 69665
of the Revised Code.69666

       If a domestic public utility applying for reinstatement has69667
not previously designated an agent upon whom process may be served 69668
as required by section 1701.07 of the Revised Code, such public 69669
utility shall at the time of reinstatement and as a prerequisite 69670
thereto designate an agent in accordance with such section.69671

       Any officer, shareholder, creditor, or receiver of any such69672
public utility may at any time take all steps required by this69673
section to effect such reinstatement, and in such case the69674
designation of an agent upon whom process may be served shall not69675
be a prerequisite to the reinstatement of the public utility.69676

       Sec. 5727.84.  (A) As used in this section and sections69677
5727.85, 5727.86, and 5727.87 of the Revised Code:69678

       (1) "School district" means a city, local, or exempted69679
village school district.69680

       (2) "Joint vocational school district" means a joint69681
vocational school district created under section 3311.16 of the69682
Revised Code, and includes a cooperative education school district69683
created under section 3311.52 or 3311.521 of the Revised Code and69684
a county school financing district created under section 3311.5069685
of the Revised Code.69686

       (3) "Local taxing unit" means a subdivision or taxing unit,69687
as defined in section 5705.01 of the Revised Code, a park district69688
created under Chapter 1545. of the Revised Code, or a township69689
park district established under section 511.23 of the Revised69690
Code, but excludes school districts and joint vocational school69691
districts.69692

       (4) "State education aid" means the sum of state aid amounts 69693
computed for a school district or joint vocational school district69694
under Chapter 3317. of the Revised Code.69695

       (5) "State education aid offset" means the amount determined69696
for each school district or joint vocational school district under69697
division (A)(1) of section 5727.85 of the Revised Code.69698

       (6) "Recognized valuation" has the same meaning as in section69699
3317.02 of the Revised Code.69700

       (7) "Electric company tax value loss" means the amount69701
determined under division (D) of this section.69702

       (8) "Natural gas company tax value loss" means the amount69703
determined under division (E) of this section.69704

       (9) "Tax value loss" means the sum of the electric company69705
tax value loss and the natural gas company tax value loss.69706

       (10) "Fixed-rate levy" means any tax levied on property other69707
than a fixed-sum levy.69708

       (11) "Fixed-rate levy loss" means the amount determined under69709
division (G) of this section.69710

       (12) "Fixed-sum levy" means a tax levied on property at69711
whatever rate is required to produce a specified amount of tax69712
money or levied in excess of the ten-mill limitation to pay debt69713
charges, and includes school district emergency levies imposed69714
pursuant to section 5705.194 of the Revised Code.69715

       (13) "Fixed-sum levy loss" means the amount determined under69716
division (H) of this section.69717

       (14) "Consumer price index" means the consumer price index69718
(all items, all urban consumers) prepared by the bureau of labor69719
statistics of the United States department of labor.69720

       (B) The kilowatt-hour tax receipts fund is hereby created in69721
the state treasury and shall consist of money arising from the tax69722
imposed by section 5727.81 of the Revised Code. All money in the69723
kilowatt-hour tax receipts fund shall be credited as follows:69724

       (1) Fifty-nine and nine hundred seventy-six one-thousandths69725
per cent, shall be credited to the general revenue fund.69726

       (2) Two and six hundred forty-six one-thousandths per cent69727
shall be credited to the local government fund, for distribution69728
in accordance with section 5747.50 of the Revised Code.69729

       (3) Three hundred seventy-eight one-thousandths per cent69730
shall be credited to the local government revenue assistance fund,69731
for distribution in accordance with section 5747.61 of the Revised69732
Code.69733

       (4) Twenty-five and four-tenths per cent shall be credited to 69734
the school district property tax replacement fund, which is hereby 69735
created in the state treasury for the purpose of making the69736
payments described in section 5727.85 of the Revised Code.69737

       (5) Eleven and six-tenths per cent shall be credited to the69738
local government property tax replacement fund, which is hereby69739
created in the state treasury for the purpose of making the69740
payments described in section 5727.86 of the Revised Code.69741

       (6) In fiscal years 2002, 2003, 2004, 2005, and 2006, if the69742
revenue arising from the tax levied by section 5727.81 of the69743
Revised Code is less than five hundred fifty-two million dollars,69744
the amount credited to the general revenue fund under division69745
(B)(1) of this section shall be reduced by the amount necessary to69746
credit to each of the funds in divisions (B)(2) and (3) of this69747
section the amount it would have received if the tax did raise69748
five hundred fifty-two million dollars for that fiscal year. The69749
tax commissioner shall certify to the director of budget and69750
management the amounts that shall be credited under this division.69751

       (7) Beginning in fiscal year 2007, if the revenue arising69752
from the tax levied by section 5727.81 of the Revised Code is less69753
than five hundred fifty-two million dollars, the amount credited69754
to the general revenue fund under division (B)(1) of this section69755
shall be reduced by the amount necessary to credit to each of the69756
funds in divisions (B)(2), (3), (4), and (5) of this section the69757
amount that it would have received if the tax did raise five69758
hundred fifty-two million dollars for that fiscal year. The tax69759
commissioner shall certify to the director of budget and69760
management the amounts to be credited under division (B)(7) of69761
this section.69762

       (C) The natural gas tax receipts fund is hereby created in69763
the state treasury and shall consist of money arising from the tax69764
imposed by section 5727.811 of the Revised Code. All money in the69765
fund shall be credited as follows:69766

       (1) Sixty-eight and seven-tenths per cent shall be credited69767
to the school district property tax replacement fund for the69768
purpose of making the payments described in section 5727.85 of the69769
Revised Code.69770

       (2) Thirty-one and three-tenths per cent shall be credited to 69771
the local government property tax replacement fund for the purpose 69772
of making the payments described in section 5727.86 of the Revised 69773
Code.69774

       (3) Beginning in fiscal year 2007, if the revenue arising69775
from the tax levied by section 5727.811 of the Revised Code is69776
less than ninety million dollars, an amount equal to the69777
difference between the amount collected and ninety million dollars69778
shall be transferred from the general revenue fund to each of the69779
funds in divisions (C)(1) and (2) of this section in the same69780
percentages as if that amount had been collected as taxes under69781
section 5727.811 of the Revised Code. The tax commissioner shall69782
certify to the director of budget and management the amounts that69783
shall be transferred under this division.69784

       (D) Not later than January 1, 2002, the tax commissioner69785
shall determine for each taxing district its electric company tax69786
value loss, which is the sum of the applicable amounts described 69787
in divisions (D)(1) and (2)to (3) of this section:69788

       (1) The difference obtained by subtracting the amount69789
described in division (D)(1)(b) from the amount described in69790
division (D)(1)(a) of this section.69791

       (a) The value of electric company and rural electric company69792
tangible personal property as assessed by the tax commissioner for69793
tax year 1998 on a preliminary assessment, or an amended69794
preliminary assessment if issued prior to March 1, 1999, and as69795
apportioned to the taxing district for tax year 1998;69796

       (b) The value of electric company and rural electric company69797
tangible personal property as assessed by the tax commissioner for69798
tax year 1998 had the property been apportioned to the taxing69799
district for tax year 2001, and assessed at the rates in effect69800
for tax year 2001.69801

       (2) The difference obtained by subtracting the amount69802
described in division (D)(2)(b) from the amount described in69803
division (D)(2)(a) of this section.69804

       (a) The three-year average for tax years 1996, 1997, and 1998 69805
of the assessed value from nuclear fuel materials and assemblies 69806
assessed against a person under Chapter 5711. of the Revised Code69807
from the leasing of them to an electric company for those 69808
respective tax years, as reflected in the preliminary assessments;69809

       (b) The three-year average assessed value from nuclear fuel69810
materials and assemblies assessed under division (D)(2)(a) of this69811
section for tax years 1996, 1997, and 1998, as reflected in the69812
preliminary assessments, using an assessment rate of twenty-five69813
per cent.69814

       (3) In the case of a taxing district having a nuclear power 69815
plant within its territory, any amount, resulting in an electric 69816
company tax value loss, obtained by subtracting the amount 69817
described in division (D)(1) of this section from the difference 69818
obtained by subtracting the amount described in division (D)(3)(b) 69819
of this section from the amount described in division (D)(3)(a) of 69820
this section.69821

        (a) The value of electric company tangible personal property 69822
as assessed by the tax commissioner for tax year 2000 on a 69823
preliminary assessment, or an amended preliminary assessment if 69824
issued prior to March 1, 2001, and as apportioned to the taxing 69825
district for tax year 2000;69826

        (b) The value of electric company tangible personal property 69827
as assessed by the tax commissioner for tax year 2001 on a 69828
preliminary assessment, or an amended preliminary assessment if 69829
issued prior to March 1, 2002, and as apportioned to the taxing 69830
district for tax year 2001.69831

       (E) Not later than January 1, 2002, the tax commissioner69832
shall determine for each taxing district its natural gas company69833
tax value loss, which is the sum of the amounts described in69834
divisions (E)(1) and (2) of this section:69835

       (1) The difference obtained by subtracting the amount69836
described in division (E)(1)(b) from the amount described in69837
division (E)(1)(a) of this section.69838

       (a) The value of all natural gas company tangible personal69839
property, other than property described in division (E)(2) of this69840
section, as assessed by the tax commissioner for tax year 1999 on69841
a preliminary assessment, or an amended preliminary assessment if69842
issued prior to March 1, 2000, and apportioned to the taxing69843
district for tax year 1999;69844

       (b) The value of all natural gas company tangible personal69845
property, other than property described in division (E)(2) of this69846
section, as assessed by the tax commissioner for tax year 1999 had69847
the property been apportioned to the taxing district for tax year69848
2001, and assessed at the rates in effect for tax year 2001.69849

       (2) The difference in the value of current gas obtained by69850
subtracting the amount described in division (E)(2)(b) from the69851
amount described in division (E)(2)(a) of this section.69852

       (a) The three-year average assessed value of current gas as69853
assessed by the tax commissioner for tax years 1997, 1998, and69854
1999 on a preliminary assessment, or an amended preliminary69855
assessment if issued prior to March 1, 2001, and as apportioned in69856
the taxing district for those respective years;69857

       (b) The three-year average assessed value from current gas69858
under division (E)(2)(a) of this section for tax years 1997, 1998,69859
and 1999, as reflected in the preliminary assessment, using an69860
assessment rate of twenty-five per cent.69861

       (F) The tax commissioner may request that natural gas69862
companies, electric companies, and rural electric companies file a69863
report to help determine the tax value loss under divisions (D)69864
and (E) of this section. The report shall be filed within thirty69865
days of the commissioner's request. A company that fails to file69866
the report or does not timely file the report is subject to the69867
penalty in section 5727.60 of the Revised Code.69868

       (G) Not later than January 1, 2002, the tax commissioner69869
shall determine for each school district, joint vocational school69870
district, and local taxing unit its fixed-rate levy loss, which is69871
the sum of its electric company tax value loss multiplied by the69872
tax rate in effect in tax year 1998 for fixed-rate levies and its69873
natural gas company tax value loss multiplied by the tax rate in69874
effect in tax year 1999 for fixed-rate levies.69875

       (H) Not later than January 1, 2002, the tax commissioner69876
shall determine for each school district, joint vocational school69877
district, and local taxing unit its fixed-sum levy loss, which is69878
the amount obtained by subtracting the amount described in69879
division (H)(2) of this section from the amount described in69880
division (H)(1) of this section:69881

       (1) The sum of the electric company tax value loss multiplied 69882
by the tax rate in effect in tax year 1998, and the natural gas 69883
company tax value loss multiplied by the tax rate in effect in tax 69884
year 1999, for fixed-sum levies for all taxing districts within69885
each school district, joint vocational school district, and local69886
taxing unit. For the years 2002 through 2006, this computation 69887
shall include school district emergency levies that existed in 69888
1998 in the case of the electric company tax value loss, and 1999 69889
in the case of the natural gas company tax value loss, and all 69890
other fixed-sum levies that existed in 1998 in the case of the 69891
electric company tax value loss and 1999 in the case of the 69892
natural gas company tax value loss and continue to be charged in 69893
the tax year preceding the distribution year. For the years 200769894
through 2016 in the case of school district emergency levies, and 69895
for all years after 2006 in the case of all other fixed-sum 69896
levies, this computation shall exclude all fixed-sum levies that69897
existed in 1998 in the case of the electric company tax value loss 69898
and 1999 in the case of the natural gas company tax value loss, 69899
but are no longer in effect in the tax year preceding the 69900
distribution year. For the purposes of this section, an emergency 69901
levy that existed in 1998 in the case of the electric company tax69902
value loss, and 1999 in the case of the natural gas company tax 69903
value loss, continues to exist in a year beginning on or after 69904
January 1, 2007, but before January 1, 2017, if, in that year, the 69905
board of education levies a school district emergency levy for an 69906
annual sum at least equal to the annual sum levied by the board in 69907
tax year 1998 or 1999, respectively, less the amount of the 69908
payment certified under this division for 2002.69909

       (2) The total taxable value in tax year 1999 less the tax69910
value loss in each school district, joint vocational school69911
district, and local taxing unit multiplied by one-fourth of one69912
mill.69913

       If the amount computed under division (H) of this section for 69914
any school district, joint vocational school district, or local 69915
taxing unit is greater than zero, that amount shall equal the 69916
fixed-sum levy loss reimbursed pursuant to division (E) of section 69917
5727.85 of the Revised Code or division (A)(2) of section 5727.86 69918
of the Revised Code, and the one-fourth of one mill that is 69919
subtracted under division (H)(2) of this section shall be69920
apportioned among all contributing fixed-sum levies in the69921
proportion of each levy to the sum of all fixed-sum levies within69922
each school district, joint vocational school district, or local69923
taxing unit.69924

       (I) Notwithstanding divisions (D), (E), (G), and (H) of this 69925
section, in computing the tax value loss, fixed-rate levy loss, 69926
and fixed-sum levy loss, the tax commissioner shall use the69927
greater of the 1998 tax rate or the 1999 tax rate in the case of69928
levy losses associated with the electric company tax value loss,69929
but the 1999 tax rate shall not include for this purpose any tax69930
levy approved by the voters after June 30, 1999, and the tax69931
commissioner shall use the greater of the 1999 or the 2000 tax69932
rate in the case of levy losses associated with the natural gas69933
company tax value loss.69934

       (J) Not later than January 1, 2002, the tax commissioner69935
shall certify to the department of education the tax value loss69936
determined under divisions (D) and (E) of this section for each69937
taxing district, the fixed-rate levy loss calculated under69938
division (G) of this section, and the fixed-sum levy loss69939
calculated under division (H) of this section. The calculations69940
under divisions (G) and (H) of this section shall separately69941
display the levy loss for each levy eligible for reimbursement.69942

       (K) Not later than September 1, 2001, the tax commissioner69943
shall certify the amount of the fixed-sum levy loss to the county69944
auditor of each county in which a school district with a fixed-sum69945
levy loss has territory.69946

       Sec. 5727.85.  (A) By the thirty-first day of July of each69947
year, beginning in 2002 and ending in 2016, the department of69948
education shall determine the following for each school district69949
and each joint vocational school district eligible for payment69950
under division (C) or (D) of this section:69951

       (1) The state education aid offset, which is the difference69952
obtained by subtracting the amount described in division (A)(1)(b)69953
of this section from the amount described in division (A)(1)(a) of69954
this section:69955

       (a) The state education aid computed for the school district69956
or joint vocational school district for the current fiscal year as 69957
of the thirty-first day of July;69958

       (b) The state education aid that would be computed for the69959
school district or joint vocational school district for the69960
current fiscal year as of the thirty-first day of July if the 69961
recognized valuation included the tax value loss for the school69962
district or joint vocational school district.69963

       (2) The greater of zero or difference obtained by subtracting 69964
the state education aid offset determined under division (A)(1) of 69965
this section from the fixed-rate levy loss certified under 69966
division (J) of section 5727.84 of the Revised Code for all taxing69967
districts in each school district and joint vocational school 69968
district.69969

       By the fifth day of August of each such year, the department69970
of education shall certify the amount so determined under division69971
(A)(1) of this section to the director of budget and management.69972

       (B) Not later than the thirty-first day of October of the69973
years 2006 through 2016, the department of education shall69974
determine all of the following for each school district:69975

       (1) The amount obtained by subtracting the district's state69976
education aid computed for fiscal year 2002 from the district's69977
state education aid computed for the current fiscal year;69978

       (2) The inflation-adjusted property tax loss. The69979
inflation-adjusted property tax loss equals the fixed-rate levy69980
loss, excluding the tax loss from levies within the ten-mill69981
limitation to pay debt charges, determined under division (G) of69982
section 5727.84 of the Revised Code for all taxing districts in69983
each school district plus the product obtained by multiplying that69984
loss by the cumulative percentage increase in the consumer price69985
index from January 1, 2002, to the thirtieth day of June of the69986
current year.69987

       (3) The difference obtained by subtracting the amount69988
computed under division (B)(1) from the amount of the69989
inflation-adjusted property tax loss. If this difference is zero69990
or a negative number, no further payments shall be made under69991
division (C) of this section to the school district from the69992
school district property tax replacement fund.69993

       (C) The department of education shall pay from the school69994
district property tax replacement fund to each school district all 69995
of the following:69996

       (1) In February 2002, one-half of the fixed-rate levy loss69997
certified under division (J) of section 5727.84 of the Revised69998
Code between the twenty-first and twenty-eighth days of February.69999

       (2) From August 2002 through August 2006, one-half of the70000
amount calculated for that fiscal year under division (A)(2) of70001
this section between the twenty-first and twenty-eighth days of70002
August and of February.70003

       (3) From February 2007 through August 2016, one-half of the70004
amount calculated for that calendar year under division (B)(3) of70005
this section between the twenty-first and twenty-eighth days of70006
August and of February.70007

       (4) For taxes levied within the ten-mill limitation for debt70008
purposes in tax year 1998 in the case of electric company tax70009
value losses, and in tax year 1999 in the case of natural gas70010
company tax value losses, payments shall be made equal to one70011
hundred per cent of the loss computed as if the tax were a70012
fixed-rate levy, but those payments shall extend from fiscal year70013
2006 through fiscal year 2016.70014

       The department of education shall report to each school70015
district the apportionment of the payments among the school70016
district's funds based on the certifications under division (J) of70017
section 5727.84 of the Revised Code.70018

       (D) Not later than January 1, 2002, for all taxing districts70019
in each joint vocational school district, the tax commissioner70020
shall certify to the department of education the fixed-rate levy70021
loss determined under division (G) of section 5727.84 of the70022
Revised Code. From February 2002 to August 2016, the department70023
shall pay from the school district property tax replacement fund70024
to the joint vocational school district one-half of the amount70025
calculated for that fiscal year under division (A)(2) of this70026
section between the twenty-first and twenty-eighth days of August70027
and of February.70028

       (E)(1) Not later than January 1, 2002, for each fixed-sum70029
levy levied by each school district or joint vocational school70030
district and for each year for which a determination is made under 70031
division (H) of section 5727.84 of the Revised Code that a70032
fixed-sum levy loss is to be reimbursed, the tax commissioner70033
shall certify to the department of education the fixed-sum levy70034
loss determined under that division. The certification shall cover 70035
a time period sufficient to include all fixed-sum levies for which 70036
the tax commissioner made such a determination. The department 70037
shall pay from the school district property tax replacement fund 70038
to the school district or joint vocational school district 70039
one-half of the fixed-sum levy loss so certified for each year 70040
between the twenty-first and twenty-eighth days of August and of 70041
February.70042

       (2) Beginning in 2003, by the thirty-first day of January of70043
each year, the tax commissioner shall review the certification70044
originally made under division (E)(1) of this section. If the70045
commissioner determines that a debt levy that had been scheduled70046
to be reimbursed in the current year has expired, a revised70047
certification for that and all subsequent years shall be made to70048
the department of education.70049

       (F) Beginning in August 2002, and ending in February 2017,70050
the director of budget and management shall transfer from the70051
school district property tax replacement fund to the general70052
revenue fund each of the following:70053

       (1) Between the twenty-eighth day of August and the fifth day 70054
of September, the lesser of one-half of the amount certified for 70055
that fiscal year under division (A)(2) of this section or the70056
balance in the school district property tax replacement fund;70057

       (2) Between the first and fifth days of March, the lesser of70058
one-half of the amount certified for that fiscal year under70059
division (A)(2) of this section or the balance in the school70060
district property tax replacement fund.70061

       (G) By August 5, 2002, the tax commissioner shall estimate70062
the amount of money in the school district property tax70063
replacement fund in excess of the amount necessary to make70064
payments under divisions (C), (D), (E), and (F) of this section. 70065
Notwithstanding division (C) of this section, the department of70066
education, in consultation with the tax commissioner and from70067
those excess funds, may pay any school district four and one-half70068
times the amount certified under division (A)(2) of this section.70069
Payments shall be made in order from the smallest annual loss to70070
the largest annual loss. A payment made under this division shall70071
be in lieu of the payment to be made in August 2002 under division70072
(C)(2) of this section. No payments shall be made in the manner70073
established in this division to any school district with annual70074
losses from permanent improvement fixed-rate levies in excess of70075
twenty thousand dollars, or annual losses from any other70076
fixed-rate levies in excess of twenty thousand dollars. A school70077
district receiving a payment under this division is no longer70078
entitled to any further payments under division (C) of this70079
section.70080

       (H) On the thirty-first day of July of 2003, 2004, 2005, and70081
2006, and on the thirty-first day of January and July of 2007 and70082
each year thereafter, if the amount credited to the school70083
district property tax replacement fund exceeds the amount needed70084
to make payments from the fund under divisions (C), (D), (E), and70085
(F) of this section, the department of education shall distribute70086
the excess among school districts and joint vocational school70087
districts. The amount distributed to each district shall bear the70088
same proportion to the excess remaining in the fund as the ADM of70089
the district bears to the ADM of all of the districts. For the70090
purpose of this division, "ADM" means the formula ADM in the case70091
of a school district, and the average daily membership reported70092
under section 3317.03 of the Revised Code in the case of a joint70093
vocational school district.70094

       If, in the opinion of the department of education, the excess 70095
remaining in the school district property tax replacement fund in 70096
any year is not sufficient to warrant distribution under this 70097
division, the excess shall remain to the credit of the fund.70098

       Amounts received by a school district or joint vocational70099
school district under this division shall be used exclusively for70100
capital improvements.70101

       (I) From fiscal year 2002 through fiscal year 2016, if the70102
total amount in the school district property tax replacement fund70103
is insufficient to make all payments under divisions (C), (D), and70104
(E) of this section at the time the payments are to be made, the70105
director of budget and management shall transfer from the general70106
revenue fund to the school district property tax replacement fund70107
the difference between the total amount to be paid and the total70108
amount in the school district property tax replacement fund, 70109
except that no transfer shall be made by reason of a deficiency to 70110
the extent that it results from the amendment of section 5727.84 70111
of the Revised Code by Amended Substitute House Bill No. 95 of the 70112
125th general assembly.70113

       (J) If all or a part of the territory of a school district or70114
joint vocational school district is merged with or transferred to70115
another district, the department of education, in consultation70116
with the tax commissioner shall adjust the payments made under70117
this section to each of the districts in proportion to the tax70118
value loss apportioned to the merged or transferred territory.70119

       (J)(K) There is hereby created the public utility property70120
tax study committee, effective January 1, 2011. The committee70121
shall consist of the following seven members: the tax70122
commissioner, three members of the senate appointed by the70123
president of the senate, and three members of the house of70124
representatives appointed by the speaker of the house of70125
representatives. The appointments shall be made not later than70126
January 31, 2011. The tax commissioner shall be the chairperson of70127
the committee.70128

       The committee shall study the extent to which each school70129
district or joint vocational school district has been compensated,70130
under sections 5727.84 and 5727.85 of the Revised Code as enacted70131
by Substitute Senate Bill No. 3 of the 123rd general assembly and70132
any subsequent acts, for the property tax loss caused by the70133
reduction in the assessment rates for natural gas, electric, and70134
rural electric company tangible personal property. Not later than70135
June 30, 2011, the committee shall issue a report of its findings,70136
including any recommendations for providing additional70137
compensation for the property tax loss or regarding remedial70138
legislation, to the president of the senate and the speaker of the70139
house of representatives, at which time the committee shall cease70140
to exist.70141

       The department of taxation and department of education shall70142
provide such information and assistance as is required for the70143
committee to carry out its duties.70144

       Sec. 5727.86.  (A) Not later than January 1, 2002, the tax70145
commissioner shall compute the payments to be made to each local70146
taxing unit for each year according to divisions (A)(1), (2), (3), 70147
and (4) and division (E) of this section, and shall distribute the70148
payments in the manner prescribed by division (C) of this section.70149
The calculation of the fixed-sum levy loss shall cover a time70150
period sufficient to include all fixed-sum levies for which the70151
tax commissioner determined, pursuant to division (H) of section70152
5727.84 of the Revised Code, that a fixed-sum levy loss is to be70153
reimbursed.70154

       (1) Except as provided in divisions (A)(3) and (4) of this70155
section, for fixed-rate levy losses determined under division (G)70156
of section 5727.84 of the Revised Code, payments shall be made in70157
each of the following years at the following percentage of the70158
fixed-rate levy loss certified under division (A) of this section:70159

YEAR PERCENTAGE 70160
2002 100% 70161
2003 100% 70162
2004 100% 70163
2005 100% 70164
2006 100% 70165
2007 80% 70166
2008 80% 70167
2009 80% 70168
2010 80% 70169
2011 80% 70170
2012 66.7% 70171
2013 53.4% 70172
2014 40.1% 70173
2015 26.8% 70174
2016 13.5% 70175
2017 and thereafter 0% 70176

       (2) For fixed-sum levy losses determined under division (H)70177
of section 5727.84 of the Revised Code, payments shall be made in70178
the amount of one hundred per cent of the fixed-sum levy loss for70179
payments required to be made in 2002 and thereafter.70180

       (3) A local taxing unit in a county of less than two hundred70181
fifty square miles that receives eighty per cent or more of its70182
combined general fund and bond retirement fund revenues from70183
property taxes and rollbacks based on 1997 actual revenues as70184
presented in its 1999 tax budget, and in which electric companies70185
and rural electric companies comprise over twenty per cent of its70186
property valuation, shall receive one hundred per cent of its70187
fixed-rate levy losses from electric company tax value losses70188
certified under division (A) of this section in years 2002 to70189
2016.70190

       (4) For taxes levied within the ten-mill limitation for debt70191
purposes in tax year 1998 in the case of electric company tax70192
value losses, and in tax year 1999 in the case of natural gas70193
company tax value losses, payments shall be made equal to one70194
hundred per cent of the loss computed as if the tax were a70195
fixed-rate levy, but those payments shall extend from fiscal year70196
2006 through fiscal year 2016.70197

       (B) Beginning in 2003, by the thirty-first day of January of70198
each year, the tax commissioner shall review the calculation70199
originally made under division (A) of this section of the70200
fixed-sum levy loss determined under division (H) of section70201
5727.84 of the Revised Code. If the commissioner determines that a 70202
fixed-sum levy that had been scheduled to be reimbursed in the70203
current year has expired, a revised calculation for that and all70204
subsequent years shall be made.70205

       (C) Payments to local taxing units required to be made under70206
divisions (A) and (E) of this section shall be paid from the local70207
government property tax replacement fund to the county undivided70208
income tax fund in the proper county treasury. One-half of the70209
amount certified under those divisions shall be paid between the70210
twenty-first and twenty-eighth days of August and of February. The70211
county treasurer shall distribute amounts paid under division (A)70212
of this section to the proper local taxing unit as if they had70213
been levied and collected as taxes, and the local taxing unit70214
shall apportion the amounts so received among its funds in the70215
same proportions as if those amounts had been levied and collected70216
as taxes. Amounts distributed under division (E) of this section70217
shall be credited to the general fund of the local taxing unit70218
that receives them.70219

       (D) By February 5, 2002, the tax commissioner shall estimate70220
the amount of money in the local government property tax70221
replacement fund in excess of the amount necessary to make70222
payments in that month under division (C) of this section.70223
Notwithstanding division (A) of this section, the tax commissioner70224
may pay any local taxing unit, from those excess funds, nine and70225
four-tenths times the amount computed for 2002 under division70226
(A)(1) of this section. A payment made under this division shall70227
be in lieu of the payment to be made in February 2002 under70228
division (A)(1) of this section. A local taxing unit receiving a70229
payment under this division will no longer be entitled to any70230
further payments under division (A)(1) of this section. A payment70231
made under this division shall be paid from the local government70232
property tax replacement fund to the county undivided income tax70233
fund in the proper county treasury. The county treasurer shall70234
distribute the payment to the proper local taxing unit as if it70235
had been levied and collected as taxes, and the local taxing unit70236
shall apportion the amounts so received among its funds in the70237
same proportions as if those amounts had been levied and collected70238
as taxes.70239

       (E) On the thirty-first day of July of 2002, 2003, 2004,70240
2005, and 2006, and on the thirty-first day of January and July of70241
2007 and each year thereafter, if the amount credited to the local70242
government property tax replacement fund exceeds the amount needed70243
to be distributed from the fund under division (A) of this section70244
in the following month, the tax commissioner shall distribute the70245
excess to each county as follows:70246

       (1) One-half shall be distributed to each county in70247
proportion to each county's population.70248

       (2) One-half shall be distributed to each county in the70249
proportion that the amounts determined under divisions (G) and (H)70250
of section 5727.84 of the Revised Code for all local taxing units70251
in the county is of the total amounts so determined for all local70252
taxing units in the state.70253

       The amounts distributed to each county under this division70254
shall be distributed by the county treasurer to each local taxing70255
unit in the county in the proportion that the unit's current taxes70256
charged and payable are of the total current taxes charged and70257
payable of all the local taxing units in the county. As used in70258
this division, "current taxes charged and payable" means the taxes70259
charged and payable as most recently determined for local taxing70260
units in the county.70261

       If, in the opinion of the tax commissioner, the excess70262
remaining in the local government property tax replacement fund in70263
any year is not sufficient to warrant distribution under this70264
division, the excess shall remain to the credit of the fund.70265

       (F) From fiscal year 2002 through fiscal year 2016, if the70266
total amount in the local government property tax replacement fund70267
is insufficient to make all payments under division (C) of this70268
section at the times the payments are to be made, the director of70269
budget and management shall transfer from the general revenue fund70270
to the local government property tax replacement fund the70271
difference between the total amount to be paid and the amount in70272
the local government property tax replacement fund, except that no 70273
transfer shall be made by reason of a deficiency to the extent 70274
that it results from the amendment of section 5727.84 of the 70275
Revised Code by Amended Substitute House Bill No. 95 of the 125th 70276
general assembly.70277

       (G) If all or a part of the territories of two or more local70278
taxing units are merged, or unincorporated territory of a township70279
is annexed by a municipal corporation, the tax commissioner shall70280
adjust the payments made under this section to each of the local70281
taxing units in proportion to the tax value loss apportioned to70282
the merged or annexed territory, or as otherwise provided by a70283
written agreement between the legislative authorities of the local70284
taxing units certified to the tax commissioner not later than the70285
first day of June of the calendar year in which the payment is to70286
be made.70287

       Sec. 5728.04. (A) It is unlawful for any person to operate a70288
commercial car with three or more axles when operated alone or as70289
part of a commercial tandem, a commercial car with two axles that70290
is to be operated as part of a commercial tandem with a gross70291
vehicle weight or a registered gross vehicle weight exceeding70292
twenty-six thousand pounds, or a commercial tractor when operated70293
alone or as part of a commercial tractor combination or commercial70294
tandem on a public highway withoutunder either of the following 70295
circumstances:70296

       (1) Without a valid fuel use permit for such commercial car 70297
or commercial tractor.70298

       (2) With a suspended or surrendered fuel use permit for such 70299
commercial car or commercial tractor.70300

       (B) The judge or magistrate of any court finding any person70301
guilty of unlawfully operating a commercial car or commercial70302
tractor as provided for in this section shall immediately notify70303
the tax commissioner of such violation and shall transmit to the 70304
tax commissioner the name and the permanent address of the owner 70305
of the commercial car or commercial tractor operated in violation 70306
of this section, the registration number, the state of 70307
registration, and the certificate of title number of the 70308
commercial car or commercial tractor. The commercial car or 70309
commercial tractor involved in a violation of division (A)(1) or 70310
(2) of this section may be detained until a valid fuel use permit 70311
is obtained or reinstated.70312

       Sec. 5728.06.  (A) For the following purposes, an excise tax70313
is hereby imposed on the use of motor fuel to operate on the70314
public highways of this state a commercial car with three or more70315
axles operated alone or as part of a commercial tandem, a70316
commercial car with two axles operated as part of a commercial70317
tandem having a gross vehicle weight or registered gross vehicle70318
weight exceeding twenty-six thousand pounds, or a commercial70319
tractor operated alone or as part of a commercial tractor70320
combination or commercial tandem: to provide revenue for70321
maintaining the state highway system, to widen existing surfaces70322
on such highways, to resurface such highways, to enable the70323
counties of the state properly to plan for, maintain, and repair70324
their roads, to enable the municipal corporations to plan,70325
construct, reconstruct, repave, widen, maintain, repair, clear,70326
and clean public highways, roads, and streets; to pay that portion70327
of the construction cost of a highway project that a county,70328
township, or municipal corporation normally would be required to70329
pay, but that the director of transportation, pursuant to division70330
(B) of section 5531.08 of the Revised Code, determines instead70331
will be paid from moneys in the highway operating fund; to70332
maintain and repair bridges and viaducts; to purchase, erect, and70333
maintain street and traffic signs and markers; to purchase, erect,70334
and maintain traffic lights and signals; to pay the costs70335
apportioned to the public under section 4907.47 of the Revised70336
Code; and to supplement revenue already available for such70337
purposes, to distribute equitably among those persons using the70338
privilege of driving motor vehicles upon such highways and streets70339
the cost of maintaining and repairing the same, and to pay the70340
interest, principal, and charges on bonds and other obligations70341
issued pursuant to Section 2i of Article VIII, Ohio Constitution,70342
and sections 5528.30 and 5528.31 of the Revised Code. The tax is70343
imposed in the same amount as the motor fuel tax imposed under70344
Chapter 5735. of the Revised Code plus an additional tax of three70345
cents per gallon of motor fuel used before July 1, 2004, and an70346
provided that the additional tax ofshall be reduced to two cents 70347
per gallon of motor fuel used beforefrom July 1, 2004 through 70348
June 30, 2005, as determined by the gallons consumed while70349
operated on the public highways of this state. Subject to section 70350
5735.292 of the Revised Code, on and after July 1, 2005, the tax 70351
shall be imposed in the same amount as the motor fuel tax imposed 70352
under Chapter 5735. of the Revised Code. Payment of the fuel use 70353
tax shall be made by the purchase of motor fuel within Ohio of 70354
such gallons as is equivalent to the gallons consumed while 70355
operating such a motor vehicle on the public highways of this 70356
state, or by direct remittance to the treasurer of state with the 70357
fuel use tax return filed pursuant to section 5728.08 of the70358
Revised Code.70359

       Any person subject to the tax imposed under this section who70360
purchases motor fuel in this state for use in another state in70361
excess of the amount consumed while operating such motor vehicle70362
on the public highways of this state shall be allowed a credit70363
against the tax imposed by this section or a refund equal to the70364
motor fuel tax paid to this state on such excess. No such credit70365
or refund shall be allowed for taxes paid to any state that70366
imposes a tax on motor fuel purchased or obtained in this state70367
and used on the highways of such other state but does not allow a70368
similar credit or refund for the tax paid to this state on motor70369
fuel purchased or acquired in the other state and used on the70370
public highways of this state.70371

       The tax commissioner is authorized to determine whether such70372
credits or refunds are available and to prescribe such rules as70373
are required for the purpose of administering this chapter.70374

       (B) Within sixty days after the last day of each month, the70375
tax commissioner shall determine the amount of motor fuel tax70376
allowed as a credit against the tax imposed by this section. The70377
commissioner shall certify the amount to the director of budget70378
and management and the treasurer of state, who shall credit the70379
amount in accordance with section 5728.08 of the Revised Code from70380
current revenue arising from the tax levied by section 5735.05 of70381
the Revised Code.70382

       (C) The owner of each commercial car and commercial tractor70383
subject to sections 5728.01 to 5728.14 of the Revised Code is70384
liable for the payment of the full amount of the taxes imposed by70385
this section.70386

       An owner who is a person regularly engaged, for compensation,70387
in the business of leasing or renting motor vehicles without70388
furnishing drivers may designate that the lessee of a motor70389
vehicle leased for a period of thirty days or more shall report70390
and pay the tax incurred during the duration of the lease. An70391
owner who is an independent contractor that furnishes both the70392
driver and motor vehicle, may designate that the person so70393
furnished with the driver and motor vehicle for a period of thirty70394
days or more shall report and pay the tax incurred during that70395
period. An independent contractor that is not an owner, but that70396
furnishes both the driver and motor vehicle and that has been70397
designated by the owner of the motor vehicle to report and pay the70398
tax, may designate that the person so furnished with driver and70399
motor vehicle for a period of thirty days or more shall report and70400
pay the tax incurred during that period.70401

       Sec. 5728.99.  (A)(1) Except as provided in division (A)(2) 70402
of this section, whoever violates any provision of sections 70403
5728.01 to 5728.14 of the Revised Code, or any rule promulgated by 70404
the tax commissioner under the authority of any provision of those70405
sections, for the violation of which no penalty is provided 70406
elsewhere, shall be fined not less than twenty-five nor more than 70407
one hundred dollars.70408

       (2) Division (A)(1) of this section does not apply to the 70409
filing of any false or fraudulent return, application, or permit 70410
under section 5728.02, 5728.03, or 5728.08 of the Revised Code. 70411
The filing of any false or fraudulent return, application, or 70412
permit under any of those sections is a violation of section 70413
2921.13 of the Revised Code.70414

       (B)(1) Whoever violates division (A)(1) of section 5728.04 of 70415
the Revised Code is guilty of a misdemeanor of the fourth degree.70416

       (2) Whoever violates division (A)(2) of section 5728.04 of 70417
the Revised Code is guilty of a misdemeanor of the first degree.70418

       Sec. 5729.08. Upon the issuance of a tax credit certificate70419
by the Ohio venture capital authority under section 150.07 of the70420
Revised Code, a credit may be claimed against the tax imposed on a 70421
foreign insurance company under section 5729.03 of the Revised 70422
Code. The credit shall be claimed in the calendar year specified 70423
in the certificate issued by the authority. If the company elected 70424
a refundable credit under section 150.07 of the Revised Code, and 70425
the amount of the credit shown on the certificate exceeds the tax 70426
otherwise due under section 5729.03 of the Revised Code, the 70427
company may receive a refund equal to seventy-five per cent of 70428
such excess. If the company elected a nonrefundable credit, the 70429
amount of the credit shown on the certificate shall not exceed the 70430
amount of tax otherwise due. If the company elected a 70431
nonrefundable credit and the credit to which the company would 70432
otherwise be entitled under this section for any calendar year is 70433
greater than the tax otherwise due under section 5729.03 of the 70434
Revised Code, the excess shall be allowed as a credit in each of 70435
the ensuing ten calendar years, but the amount of any excess 70436
credit allowed in the ensuing calendar year shall be deducted from 70437
the balance carried forward to the next calendar year.70438

       Sec. 5733.04.  As used in this chapter:70439

       (A) "Issued and outstanding shares of stock" applies to70440
nonprofit corporations, as provided in section 5733.01 of the70441
Revised Code, and includes, but is not limited to, membership70442
certificates and other instruments evidencing ownership of an70443
interest in such nonprofit corporations, and with respect to a70444
financial institution that does not have capital stock, "issued70445
and outstanding shares of stock" includes, but is not limited to,70446
ownership interests of depositors in the capital employed in such70447
an institution.70448

       (B) "Taxpayer" means a corporation subject to the tax imposed 70449
by section 5733.06 of the Revised Code.70450

       (C) "Resident" means a corporation organized under the laws70451
of this state.70452

       (D) "Commercial domicile" means the principal place from70453
which the trade or business of the taxpayer is directed or70454
managed.70455

       (E) "Taxable year" means the period prescribed by division70456
(A) of section 5733.031 of the Revised Code upon the net income of70457
which the value of the taxpayer's issued and outstanding shares of70458
stock is determined under division (B) of section 5733.05 of the70459
Revised Code or the period prescribed by division (A) of section70460
5733.031 of the Revised Code that immediately precedes the date as70461
of which the total value of the corporation is determined under70462
division (A) or (C) of section 5733.05 of the Revised Code.70463

       (F) "Tax year" means the calendar year in and for which the70464
tax imposed by section 5733.06 of the Revised Code is required to70465
be paid.70466

       (G) "Internal Revenue Code" means the "Internal Revenue Code70467
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended.70468

       (H) "Federal income tax" means the income tax imposed by the70469
Internal Revenue Code.70470

       (I) Except as provided in section 5733.058 of the Revised70471
Code, "net income" means the taxpayer's taxable income before70472
operating loss deduction and special deductions, as required to be70473
reported for the taxpayer's taxable year under the Internal70474
Revenue Code, subject to the following adjustments:70475

       (1)(a) Deduct any net operating loss incurred in any taxable70476
years ending in 1971 or thereafter, but exclusive of any net70477
operating loss incurred in taxable years ending prior to January70478
1, 1971. This deduction shall not be allowed in any tax year70479
commencing before December 31, 1973, but shall be carried over and70480
allowed in tax years commencing after December 31, 1973, until70481
fully utilized in the next succeeding taxable year or years in70482
which the taxpayer has net income, but in no case for more than70483
the designated carryover period as described in division (I)(1)(b)70484
of this section. The amount of such net operating loss, as70485
determined under the allocation and apportionment provisions of70486
section 5733.051 and division (B) of section 5733.05 of the70487
Revised Code for the year in which the net operating loss occurs,70488
shall be deducted from net income, as determined under the70489
allocation and apportionment provisions of section 5733.051 and70490
division (B) of section 5733.05 of the Revised Code, to the extent70491
necessary to reduce net income to zero with the remaining unused70492
portion of the deduction, if any, carried forward to the remaining70493
years of the designated carryover period as described in division70494
(I)(1)(b) of this section, or until fully utilized, whichever70495
occurs first.70496

       (b) For losses incurred in taxable years ending on or before70497
December 31, 1981, the designated carryover period shall be the70498
five consecutive taxable years after the taxable year in which the70499
net operating loss occurred. For losses incurred in taxable years70500
ending on or after January 1, 1982, and beginning before August 6,70501
1997, the designated carryover period shall be the fifteen70502
consecutive taxable years after the taxable year in which the net70503
operating loss occurs. For losses incurred in taxable years70504
beginning on or after August 6, 1997, the designated carryover70505
period shall be the twenty consecutive taxable years after the70506
taxable year in which the net operating loss occurs.70507

       (c) The tax commissioner may require a taxpayer to furnish70508
any information necessary to support a claim for deduction under70509
division (I)(1)(a) of this section and no deduction shall be70510
allowed unless the information is furnished.70511

       (2) Deduct any amount included in net income by application70512
of section 78 or 951 of the Internal Revenue Code, amounts70513
received for royalties, technical or other services derived from70514
sources outside the United States, and dividends received from a70515
subsidiary, associate, or affiliated corporation that neither70516
transacts any substantial portion of its business nor regularly70517
maintains any substantial portion of its assets within the United70518
States. For purposes of determining net foreign source income70519
deductible under division (I)(2) of this section, the amount of70520
gross income from all such sources other than dividend income and70521
income derived by application of section 78 or 951 of the Internal70522
Revenue Code shall be reduced by:70523

       (a) The amount of any reimbursed expenses for personal70524
services performed by employees of the taxpayer for the70525
subsidiary, associate, or affiliated corporation;70526

       (b) Ten per cent of the amount of royalty income and70527
technical assistance fees;70528

       (c) Fifteen per cent of the amount of all other income.70529

       The amounts described in divisions (I)(2)(a) to (c) of this70530
section are deemed to be the expenses attributable to the70531
production of deductible foreign source income unless the taxpayer70532
shows, by clear and convincing evidence, less actual expenses, or70533
the tax commissioner shows, by clear and convincing evidence, more70534
actual expenses.70535

       (3) Add any loss or deduct any gain resulting from the sale,70536
exchange, or other disposition of a capital asset, or an asset70537
described in section 1231 of the Internal Revenue Code, to the70538
extent that such loss or gain occurred prior to the first taxable70539
year on which the tax provided for in section 5733.06 of the70540
Revised Code is computed on the corporation's net income. For70541
purposes of division (I)(3) of this section, the amount of the70542
prior loss or gain shall be measured by the difference between the70543
original cost or other basis of the asset and the fair market70544
value as of the beginning of the first taxable year on which the70545
tax provided for in section 5733.06 of the Revised Code is70546
computed on the corporation's net income. At the option of the70547
taxpayer, the amount of the prior loss or gain may be a percentage70548
of the gain or loss, which percentage shall be determined by70549
multiplying the gain or loss by a fraction, the numerator of which70550
is the number of months from the acquisition of the asset to the70551
beginning of the first taxable year on which the fee provided in70552
section 5733.06 of the Revised Code is computed on the70553
corporation's net income, and the denominator of which is the70554
number of months from the acquisition of the asset to the sale,70555
exchange, or other disposition of the asset. The adjustments70556
described in this division do not apply to any gain or loss where70557
the gain or loss is recognized by a qualifying taxpayer, as70558
defined in section 5733.0510 of the Revised Code, with respect to70559
a qualifying taxable event, as defined in that section.70560

       (4) Deduct the dividend received deduction provided by70561
section 243 of the Internal Revenue Code.70562

       (5) Deduct any interest or interest equivalent on public70563
obligations and purchase obligations to the extent included in70564
federal taxable income. As used in divisions (I)(5) and (6) of70565
this section, "public obligations," "purchase obligations," and70566
"interest or interest equivalent" have the same meanings as in70567
section 5709.76 of the Revised Code.70568

       (6) Add any loss or deduct any gain resulting from the sale,70569
exchange, or other disposition of public obligations to the extent70570
included in federal taxable income.70571

       (7) To the extent not otherwise allowed, deduct any dividends 70572
or distributions received by a taxpayer from a public utility, 70573
excluding an electric company and a combined company, and, for tax 70574
years 2005 and thereafter, a telephone company, if the taxpayer 70575
owns at least eighty per cent of the issued and outstanding common 70576
stock of the public utility. As used in division (I)(7) of this70577
section, "public utility" means a public utility as defined in70578
Chapter 5727. of the Revised Code, whether or not the public70579
utility is doing business in the state.70580

       (8) To the extent not otherwise allowed, deduct any dividends 70581
received by a taxpayer from an insurance company, if the taxpayer 70582
owns at least eighty per cent of the issued and outstanding common 70583
stock of the insurance company. As used in division (I)(8) of this 70584
section, "insurance company" means an insurance company that is 70585
taxable under Chapter 5725. or 5729. of the Revised Code.70586

       (9) Deduct expenditures for modifying existing buildings or70587
structures to meet American national standards institute standard70588
A-117.1-1961 (R-1971), as amended; provided, that no deduction70589
shall be allowed to the extent that such deduction is not70590
permitted under federal law or under rules of the tax70591
commissioner. Those deductions as are allowed may be taken over a70592
period of five years. The tax commissioner shall adopt rules under 70593
Chapter 119. of the Revised Code establishing reasonable70594
limitations on the extent that expenditures for modifying existing70595
buildings or structures are attributable to the purpose of making70596
the buildings or structures accessible to and usable by physically70597
handicapped persons.70598

       (10) Deduct the amount of wages and salaries, if any, not70599
otherwise allowable as a deduction but that would have been70600
allowable as a deduction in computing federal taxable income70601
before operating loss deduction and special deductions for the70602
taxable year, had the targeted jobs credit allowed and determined70603
under sections 38, 51, and 52 of the Internal Revenue Code not70604
been in effect.70605

       (11) Deduct net interest income on obligations of the United70606
States and its territories and possessions or of any authority,70607
commission, or instrumentality of the United States to the extent70608
the laws of the United States prohibit inclusion of the net70609
interest for purposes of determining the value of the taxpayer's70610
issued and outstanding shares of stock under division (B) of70611
section 5733.05 of the Revised Code. As used in division (I)(11)70612
of this section, "net interest" means interest net of any expenses70613
taken on the federal income tax return that would not have been70614
allowed under section 265 of the Internal Revenue Code if the70615
interest were exempt from federal income tax.70616

       (12)(a) Except as set forth in division (I)(12)(d) of this70617
section, to the extent not included in computing the taxpayer's70618
federal taxable income before operating loss deduction and special70619
deductions, add gains and deduct losses from direct or indirect70620
sales, exchanges, or other dispositions, made by a related entity70621
who is not a taxpayer, of the taxpayer's indirect, beneficial, or70622
constructive investment in the stock or debt of another entity,70623
unless the gain or loss has been included in computing the federal70624
taxable income before operating loss deduction and special70625
deductions of another taxpayer with a more closely related70626
investment in the stock or debt of the other entity. The amount of 70627
gain added or loss deducted shall not exceed the product obtained 70628
by multiplying such gain or loss by the taxpayer's proportionate 70629
share, directly, indirectly, beneficially, or constructively, of 70630
the outstanding stock of the related entity immediately prior to 70631
the direct or indirect sale, exchange, or other disposition.70632

       (b) Except as set forth in division (I)(12)(e) of this70633
section, to the extent not included in computing the taxpayer's70634
federal taxable income before operating loss deduction and special70635
deductions, add gains and deduct losses from direct or indirect70636
sales, exchanges, or other dispositions made by a related entity70637
who is not a taxpayer, of intangible property other than stock,70638
securities, and debt, if such property was owned, or used in whole70639
or in part, at any time prior to or at the time of the sale,70640
exchange, or disposition by either the taxpayer or by a related70641
entity that was a taxpayer at any time during the related entity's70642
ownership or use of such property, unless the gain or loss has70643
been included in computing the federal taxable income before70644
operating loss deduction and special deductions of another70645
taxpayer with a more closely related ownership or use of such70646
intangible property. The amount of gain added or loss deducted70647
shall not exceed the product obtained by multiplying such gain or70648
loss by the taxpayer's proportionate share, directly, indirectly,70649
beneficially, or constructively, of the outstanding stock of the70650
related entity immediately prior to the direct or indirect sale,70651
exchange, or other disposition.70652

       (c) As used in division (I)(12) of this section, "related70653
entity" means those entities described in divisions (I)(12)(c)(i)70654
to (iii) of this section:70655

       (i) An individual stockholder, or a member of the70656
stockholder's family enumerated in section 318 of the Internal70657
Revenue Code, if the stockholder and the members of the70658
stockholder's family own, directly, indirectly, beneficially, or70659
constructively, in the aggregate, at least fifty per cent of the70660
value of the taxpayer's outstanding stock;70661

       (ii) A stockholder, or a stockholder's partnership, estate,70662
trust, or corporation, if the stockholder and the stockholder's70663
partnerships, estates, trusts, and corporations own directly,70664
indirectly, beneficially, or constructively, in the aggregate, at70665
least fifty per cent of the value of the taxpayer's outstanding70666
stock;70667

       (iii) A corporation, or a party related to the corporation in 70668
a manner that would require an attribution of stock from the70669
corporation to the party or from the party to the corporation70670
under division (I)(12)(c)(iv) of this section, if the taxpayer70671
owns, directly, indirectly, beneficially, or constructively, at70672
least fifty per cent of the value of the corporation's outstanding70673
stock.70674

       (iv) The attribution rules of section 318 of the Internal70675
Revenue Code apply for purposes of determining whether the70676
ownership requirements in divisions (I)(12)(c)(i) to (iii) of this70677
section have been met.70678

       (d) For purposes of the adjustments required by division70679
(I)(12)(a) of this section, the term "investment in the stock or70680
debt of another entity" means only those investments where the70681
taxpayer and the taxpayer's related entities directly, indirectly,70682
beneficially, or constructively own, in the aggregate, at any time70683
during the twenty-four month period commencing one year prior to70684
the direct or indirect sale, exchange, or other disposition of70685
such investment at least fifty per cent or more of the value of70686
either the outstanding stock or such debt of such other entity.70687

       (e) For purposes of the adjustments required by division70688
(I)(12)(b) of this section, the term "related entity" excludes all70689
of the following:70690

       (i) Foreign corporations as defined in section 7701 of the70691
Internal Revenue Code;70692

       (ii) Foreign partnerships as defined in section 7701 of the70693
Internal Revenue Code;70694

       (iii) Corporations, partnerships, estates, and trusts created 70695
or organized in or under the laws of the Commonwealth of Puerto 70696
Rico or any possession of the United States;70697

       (iv) Foreign estates and foreign trusts as defined in section 70698
7701 of the Internal Revenue Code.70699

       The exclusions described in divisions (I)(12)(e)(i) to (iv)70700
of this section do not apply if the corporation, partnership,70701
estate, or trust is described in any one of divisions (C)(1) to70702
(5) of section 5733.042 of the Revised Code.70703

       (f) Nothing in division (I)(12) of this section shall require 70704
or permit a taxpayer to add any gains or deduct any losses70705
described in divisions (I)(12)(f)(i) and (ii) of this section:70706

       (i) Gains or losses recognized for federal income tax70707
purposes by an individual, estate, or trust without regard to the70708
attribution rules described in division (I)(12)(c) of this70709
section;70710

       (ii) A related entity's gains or losses described in division 70711
(I)(12)(b) of this section if the taxpayer's ownership of or use 70712
of such intangible property was limited to a period not exceeding 70713
nine months and was attributable to a transaction or a series of70714
transactions executed in accordance with the election or elections70715
made by the taxpayer or a related entity pursuant to section 33870716
of the Internal Revenue Code.70717

       (13) Any adjustment required by section 5733.042 of the70718
Revised Code.70719

       (14) Add any amount claimed as a credit under section70720
5733.0611 of the Revised Code to the extent that such amount70721
satisfies either of the following:70722

       (a) It was deducted or excluded from the computation of the70723
corporation's taxable income before operating loss deduction and70724
special deductions as required to be reported for the70725
corporation's taxable year under the Internal Revenue Code;70726

       (b) It resulted in a reduction of the corporation's taxable70727
income before operating loss deduction and special deductions as70728
required to be reported for any of the corporation's taxable years70729
under the Internal Revenue Code.70730

       (15) Deduct the amount contributed by the taxpayer to an70731
individual development account program established by a county70732
department of job and family services pursuant to sections 329.1170733
to 329.14 of the Revised Code for the purpose of matching funds70734
deposited by program participants. On request of the tax70735
commissioner, the taxpayer shall provide any information that, in70736
the tax commissioner's opinion, is necessary to establish the70737
amount deducted under division (I)(15) of this section.70738

       (16) Any adjustment required by section 5733.0510 or 70739
5733.0511 of the Revised Code.70740

       (17)(a)(i) Add five-sixths of the amount of depreciation70741
expense allowed under subsection (k) of section 168 of the70742
Internal Revenue Code, including a person's proportionate or70743
distributive share of the amount of depreciation expense allowed70744
by that subsection to any pass-through entity in which the person70745
has direct or indirect ownership. The70746

       (ii) Add five-sixths of the amount of qualifying section 179 70747
depreciation expense, including a person's proportionate or 70748
distributive share of the amount of qualifying section 179 70749
depreciation expense allowed to any pass-through entity in which 70750
the person has a direct or indirect ownership. For the purposes of 70751
this division, "qualifying section 179 depreciation expense" means 70752
the difference between (I) the amount of depreciation expense 70753
directly or indirectly allowed to the taxpayer under section 179 70754
of the Internal Revenue Code, and (II) the amount of depreciation 70755
expense directly or indirectly allowed to the taxpayer under 70756
section 179 of the Internal Revenue Code as that section existed 70757
on December 31, 2002.70758

       The tax commissioner, under procedures established by the 70759
commissioner, may waive the add-backadd-backs related to a 70760
pass-through entity if the person owns, directly or indirectly, 70761
less than five per cent of the pass-through entity.70762

       (b) Nothing in division (I)(17) of this section shall be70763
construed to adjust or modify the adjusted basis of any asset.70764

       (c) To the extent the add-back is attributable to property70765
generating income or loss allocable under section 5733.051 of the70766
Revised Code, the add-back shall be allocated to the same location70767
as the income or loss generated by that property. Otherwise, the70768
add-back shall be apportioned, subject to division (B)(2)(d) of70769
section 5733.05 of the Revised Code.70770

       (18)(a) If a person is required to make the add-back under70771
division (I)(17)(a) of this section for a tax year, the person70772
shall deduct one-fifth of the amount added back for each of the70773
succeeding five tax years.70774

       (b) If the amount deducted under division (I)(18)(a) of this70775
section is attributable to an add-back allocated under division70776
(I)(17)(c) of this section, the amount deducted shall be allocated70777
to the same location. Otherwise, the amount shall be apportioned70778
using the apportionment factors for the taxable year in which the70779
deduction is taken, subject to division (B)(2)(d) of section70780
5733.05 of the Revised Code.70781

       (J) Any term used in this chapter has the same meaning as70782
when used in comparable context in the laws of the United States70783
relating to federal income taxes unless a different meaning is70784
clearly required. Any reference in this chapter to the Internal70785
Revenue Code includes other laws of the United States relating to70786
federal income taxes.70787

       (K) "Financial institution" has the meaning given by section70788
5725.01 of the Revised Code but does not include a production70789
credit association as described in 85 Stat. 597, 12 U.S.C.A. 2091.70790

       (L)(1) A "qualifying holding company" is any corporation70791
satisfying all of the following requirements:70792

       (a) Subject to divisions (L)(2) and (3) of this section, the70793
net book value of the corporation's intangible assets is greater70794
than or equal to ninety per cent of the net book value of all of70795
its assets and at least fifty per cent of the net book value of70796
all of its assets represents direct or indirect investments in the70797
equity of, loans and advances to, and accounts receivable due from70798
related members;70799

       (b) At least ninety per cent of the corporation's gross70800
income for the taxable year is attributable to the following:70801

       (i) The maintenance, management, ownership, acquisition, use, 70802
and disposition of its intangible property, its aircraft the use 70803
of which is not subject to regulation under 14 C.F.R. part 121 or 70804
part 135, and any real property described in division (L)(2)(c) of 70805
this section;70806

       (ii) The collection and distribution of income from such70807
property.70808

       (c) The corporation is not a financial institution on the70809
last day of the taxable year ending prior to the first day of the70810
tax year;70811

       (d) The corporation's related members make a good faith and70812
reasonable effort to make timely and fully the adjustments70813
required by division (C)(2) of section 5733.05 of the Revised Code70814
and to pay timely and fully all uncontested taxes, interest,70815
penalties, and other fees and charges imposed under this chapter;70816

       (e) Subject to division (L)(4) of this section, the70817
corporation elects to be treated as a qualifying holding company70818
for the tax year.70819

       A corporation otherwise satisfying divisions (L)(1)(a) to (e)70820
of this section that does not elect to be a qualifying holding70821
company is not a qualifying holding company for the purposes of70822
this chapter.70823

       (2)(a)(i) For purposes of making the ninety per cent70824
computation under division (L)(1)(a) of this section, the net book70825
value of the corporation's assets shall not include the net book70826
value of aircraft or real property described in division70827
(L)(1)(b)(i) of this section.70828

       (ii) For purposes of making the fifty per cent computation70829
under division (L)(1)(a) of this section, the net book value of70830
assets shall include the net book value of aircraft or real70831
property described in division (L)(1)(b)(i) of this section.70832

       (b)(i) As used in division (L) of this section, "intangible70833
asset" includes, but is not limited to, the corporation's direct70834
interest in each pass-through entity only if at all times during70835
the corporation's taxable year ending prior to the first day of70836
the tax year the corporation's and the corporation's related70837
members' combined direct and indirect interests in the capital or70838
profits of such pass-through entity do not exceed fifty per cent.70839
If the corporation's interest in the pass-through entity is an70840
intangible asset for that taxable year, then the distributive70841
share of any income from the pass-through entity shall be income70842
from an intangible asset for that taxable year.70843

       (ii) If a corporation's and the corporation's related70844
members' combined direct and indirect interests in the capital or70845
profits of a pass-through entity exceed fifty per cent at any time70846
during the corporation's taxable year ending prior to the first70847
day of the tax year, "intangible asset" does not include the70848
corporation's direct interest in the pass-through entity, and the70849
corporation shall include in its assets its proportionate share of70850
the assets of any such pass-through entity and shall include in70851
its gross income its distributive share of the gross income of70852
such pass-through entity in the same form as was earned by the70853
pass-through entity.70854

       (iii) A pass-through entity's direct or indirect70855
proportionate share of any other pass-through entity's assets70856
shall be included for the purpose of computing the corporation's70857
proportionate share of the pass-through entity's assets under70858
division (L)(2)(b)(ii) of this section, and such pass-through70859
entity's distributive share of any other pass-through entity's70860
gross income shall be included for purposes of computing the70861
corporation's distributive share of the pass-through entity's70862
gross income under division (L)(2)(b)(ii) of this section.70863

       (c) For the purposes of divisions (L)(1)(b)(i), (1)(b)(ii),70864
(2)(a)(i), and (2)(a)(ii) of this section, real property is70865
described in division (L)(2)(c) of this section only if all of the70866
following conditions are present at all times during the taxable70867
year ending prior to the first day of the tax year:70868

       (i) The real property serves as the headquarters of the70869
corporation's trade or business, or is the place from which the70870
corporation's trade or business is principally managed or70871
directed;70872

       (ii) Not more than ten per cent of the value of the real70873
property and not more than ten per cent of the square footage of70874
the building or buildings that are part of the real property is70875
used, made available, or occupied for the purpose of providing,70876
acquiring, transferring, selling, or disposing of tangible70877
property or services in the normal course of business to persons70878
other than related members, the corporation's employees and their70879
families, and such related members' employees and their families.70880

       (d) As used in division (L) of this section, "related member" 70881
has the same meaning as in division (A)(6) of section 5733.042 of 70882
the Revised Code without regard to division (B) of that section.70883

       (3) The percentages described in division (L)(1)(a) of this70884
section shall be equal to the quarterly average of those70885
percentages as calculated during the corporation's taxable year70886
ending prior to the first day of the tax year.70887

       (4) With respect to the election described in division70888
(L)(1)(e) of this section:70889

       (a) The election need not accompany a timely filed report;70890

       (b) The election need not accompany the report; rather, the70891
election may accompany a subsequently filed but timely application70892
for refund and timely amended report, or a subsequently filed but70893
timely petition for reassessment;70894

       (c) The election is not irrevocable;70895

       (d) The election applies only to the tax year specified by70896
the corporation;70897

       (e) The corporation's related members comply with division70898
(L)(1)(d) of this section.70899

       Nothing in division (L)(4) of this section shall be construed70900
to extend any statute of limitations set forth in this chapter.70901

       (M) "Qualifying controlled group" means two or more70902
corporations that satisfy the ownership and control requirements70903
of division (A) of section 5733.052 of the Revised Code.70904

       (N) "Limited liability company" means any limited liability70905
company formed under Chapter 1705. of the Revised Code or under70906
the laws of any other state.70907

       (O) "Pass-through entity" means a corporation that has made70908
an election under subchapter S of Chapter 1 of Subtitle A of the70909
Internal Revenue Code for its taxable year under that code, or a70910
partnership, limited liability company, or any other person, other70911
than an individual, trust, or estate, if the partnership, limited70912
liability company, or other person is not classified for federal70913
income tax purposes as an association taxed as a corporation.70914

       (P) "Electric company," and "combined company," and 70915
"telephone company" have the same meanings as in section 5727.0170916
of the Revised Code.70917

       (Q) "Business income" means income arising from transactions, 70918
activities, and sources in the regular course of a trade or 70919
business and includes income from real property, tangible personal 70920
property, and intangible personal property if the acquisition, 70921
rental, management, and disposition of the property constitute 70922
integral parts of the regular course of a trade or business 70923
operation. "Business income" includes income, including gain or 70924
loss, from a partial or complete liquidation of a business, 70925
including, but not limited to, gain or loss from the sale or other 70926
disposition of goodwill.70927

       (R) "Nonbusiness income" means all income other than business 70928
income.70929

       Sec. 5733.05.  As used in this section, "qualified research"70930
means laboratory research, experimental research, and other70931
similar types of research; research in developing or improving a70932
product; or research in developing or improving the means of70933
producing a product. It does not include market research, consumer 70934
surveys, efficiency surveys, management studies, ordinary testing 70935
or inspection of materials or products for quality control, 70936
historical research, or literary research. "Product" as used in 70937
this paragraph does not include services or intangible property.70938

       The annual report determines the value of the issued and70939
outstanding shares of stock of the taxpayer, which under division70940
(A) or divisions (B) and (C) of this section is the base or70941
measure of the franchise tax liability. Such determination shall70942
be made as of the date shown by the report to have been the70943
beginning of the corporation's annual accounting period that70944
includes the first day of January of the tax year. For the70945
purposes of this chapter, the value of the issued and outstanding70946
shares of stock of any corporation that is a financial institution70947
shall be deemed to be the value as calculated in accordance with70948
division (A) of this section. For the purposes of this chapter,70949
the value of the issued and outstanding shares of stock of any70950
corporation that is not a financial institution shall be deemed to70951
be the values as calculated in accordance with divisions (B) and70952
(C) of this section. Except as otherwise required by this section70953
or section 5733.056 of the Revised Code, the value of a taxpayer's70954
issued and outstanding shares of stock under division (A) or (C)70955
of this section does not include any amount that is treated as a70956
liability under generally accepted accounting principles.70957

       (A) The total value, as shown by the books of the financial70958
institution, of its capital, surplus, whether earned or unearned,70959
undivided profits, and reserves shall be determined as prescribed70960
by section 5733.056 of the Revised Code for tax years 1998 and70961
thereafter.70962

       (B) The sum of the corporation's net income during the70963
corporation's taxable year, allocated or apportioned to this state70964
as prescribed in divisions (B)(1) and (2) of this section, and70965
subject to sections 5733.052, 5733.053, 5733.057, 5733.058,70966
5733.059, and 5733.0510 of the Revised Code:70967

       (1) The net nonbusiness income allocated or apportioned to 70968
this state as provided by section 5733.051 of the Revised Code.70969

       (2) The amount of Ohio apportioned net business income from 70970
sources other than those allocated under section 5733.051 of the 70971
Revised Code, which shall be determinedcalculated by multiplying 70972
the corporation's net business income by a fraction. The numerator 70973
of the fraction is the sum of the following products: the property70974
factor multiplied by twenty, the payroll factor multiplied by 70975
twenty, and the sales factor multiplied by sixty. The denominator 70976
of the fraction is one hundred, provided that the denominator 70977
shall be reduced by twenty if the property factor has a 70978
denominator of zero, by twenty if the payroll factor has a 70979
denominator of zero, and by sixty if the sales factor has a 70980
denominator of zero.70981

       The property, payroll, and sales factors shall be determined70982
as follows, but the numerator and the denominator of the factors 70983
shall not include the portion of any property, payroll, and sales 70984
otherwise includible in the factors to the extent that the portion 70985
relates to, or is used in connection, with the production of 70986
nonbusiness income allocated under section 5733.051 of the Revised 70987
Code:70988

       (a) The property factor is a fraction thecomputed as 70989
follows:70990

       The numerator of whichthe fraction is the average value of 70991
the corporation's real and tangible personal property owned or 70992
rented, and used in the trade or business in this state during the 70993
taxable year, and the denominator of whichthe fraction is the 70994
average value of all the corporation's real and tangible personal 70995
property owned or rented, and used in the trade or business 70996
everywhere during such year. Real and tangible personal property 70997
used in the trade or business includes, but is not limited to, 70998
real and tangible personal property that the corporation rents, 70999
subrents, leases, or subleases to others if the income or loss 71000
from such rentals, subrentals, leases, or subleases is business 71001
income. There shall be excluded from the numerator and denominator71002
of the property factorfraction the original cost of all of the 71003
following property within Ohio: property with respect to which a71004
"pollution control facility" certificate has been issued pursuant71005
to section 5709.21 of the Revised Code; property with respect to71006
which an "industrial water pollution control certificate" has been 71007
issued pursuant to that section or former section 6111.31 of the 71008
Revised Code; and property used exclusively during the taxable 71009
year for qualified research.71010

       (i) Property owned by the corporation is valued at its71011
original cost. Property rented by the corporation is valued at71012
eight times the net annual rental rate. "Net annual rental rate"71013
means the annual rental rate paid by the corporation less any71014
annual rental rate received by the corporation from subrentals.71015

       (ii) The average value of property shall be determined by71016
averaging the values at the beginning and the end of the taxable71017
year, but the tax commissioner may require the averaging of71018
monthly values during the taxable year, if reasonably required to71019
reflect properly the average value of the corporation's property.71020

       (b) The payroll factor is a fraction thecomputed as follows:71021

       The numerator of whichthe fraction is the total amount paid 71022
in this state during the taxable year by the corporation for 71023
compensation, and the denominator of whichthe fraction is the 71024
total compensation paid everywhere by the corporation during such 71025
year. There shall be excluded from the numerator and the71026
denominator of the payroll factor the total compensation paid in71027
this state to employees who are primarily engaged in qualified71028
research.71029

       (i) Compensation means any form of remuneration paid to an71030
employee for personal services.71031

       (ii) Compensation is paid in this state if: (1) the71032
recipient's service is performed entirely within this state, (2)71033
the recipient's service is performed both within and without this71034
state, but the service performed without this state is incidental71035
to the recipient's service within this state, (3) some of the71036
service is performed within this state and either the base of71037
operations, or if there is no base of operations, the place from71038
which the service is directed or controlled is within this state,71039
or the base of operations or the place from which the service is71040
directed or controlled is not in any state in which some part of71041
the service is performed, but the recipient's residence is in this71042
state.71043

       (iii) Compensation is paid in this state to any employee of a 71044
common or contract motor carrier corporation, who performs the71045
employee's regularly assigned duties on a motor vehicle in more71046
than one state, in the same ratio by which the mileage traveled by71047
such employee within the state bears to the total mileage traveled71048
by such employee everywhere during the taxable year.71049

       (c) Except as provided in section 5733.059 of the Revised71050
Code, the sales factor is a fraction thecomputed as follows:71051

       The numerator of whichthe fraction is the total sales in 71052
this state by the corporation during the taxable year, and the 71053
denominator of whichthe fraction is the total sales by the71054
corporation everywhere during such year. In determining the71055
numerator and denominator of the sales factorfraction, receipts 71056
from the sale or other disposal of a capital asset or an asset 71057
described in section 1231 of the Internal Revenue Code shall be 71058
eliminated. Also, in determining the numerator and denominator of 71059
the sales factor, in the case of a reporting corporation owning at 71060
least eighty per cent of the issued and outstanding common stock 71061
of one or more insurance companies or public utilities, except an71062
electric company and a combined company, and, for tax years 2005 71063
and thereafter, a telephone company, or owning at least 71064
twenty-five per cent of the issued and outstanding common stock of 71065
one or more financial institutions, receipts received by the 71066
reporting corporation from such utilities, insurance companies, 71067
and financial institutions shall be eliminated.71068

       For the purpose of this section and section 5733.03 of the71069
Revised Code, sales of tangible personal property are in this71070
state where such property is received in this state by the71071
purchaser. In the case of delivery of tangible personal property71072
by common carrier or by other means of transportation, the place71073
at which such property is ultimately received after all71074
transportation has been completed shall be considered as the place71075
at which such property is received by the purchaser. Direct71076
delivery in this state, other than for purposes of transportation,71077
to a person or firm designated by a purchaser constitutes delivery71078
to the purchaser in this state, and direct delivery outside this71079
state to a person or firm designated by a purchaser does not71080
constitute delivery to the purchaser in this state, regardless of71081
where title passes or other conditions of sale.71082

       Except as provided in section 5733.059 of the Revised Code,71083
sales, other than sales of tangible personal property, are in this71084
state if either:71085

       (i) The income-producing activity is performed solely in this71086
state;71087

       (ii) The income-producing activity is performed both within71088
and without this state and a greater proportion of the seller's71089
income-producing activity is performed within this state than in71090
any other state, based on costs of performance.71091

       (d) If the allocation and apportionment provisions of71092
division (B) of this section do not fairly represent the extent of71093
the taxpayer's business activity in this state, the taxpayer may71094
request, which request must be in writing and must accompany the71095
report, a timely filed petition for reassessment, or a timely 71096
filed amended report, or the tax commissioner may require, in71097
respect to all or any part of the taxpayer's allocated or 71098
apportioned base, if reasonable, any one or more of the following:71099

       (i) Separate accounting;71100

       (ii) The exclusion of any one or more of the factors;71101

       (iii) The inclusion of one or more additional factors that71102
will fairly represent the taxpayer's allocated or apportioned base71103
in this state.71104

       An alternative method will be effective only with approval by71105
the tax commissioner.71106

       Nothing in this section shall be construed to extend any71107
statute of limitations set forth in this chapter.71108

       (e) The tax commissioner may adopt rules providing for 71109
alternative allocation and apportionment methods, and alternative 71110
calculations of a corporation's base, that apply to corporations 71111
engaged in telecommunications.71112

       (C)(1) Subject to divisions (C)(2) and (3) of this section,71113
theThe total value, as shown on the books of each corporation 71114
that is not a qualified holding company, of the net book value of 71115
athe corporation's assets less the net carrying value of its71116
liabilities, and excluding from the corporation's assets land71117
devoted exclusively to agricultural use as of the first Monday of71118
June in the corporation's taxable year as determined by the county71119
auditor of the county in which the land is located pursuant to71120
section 5713.31 of the Revised Code, and making any adjustment 71121
required by division (D) of this section. For the purposes of71122
determining that total value, any reserves shown on the71123
corporation's books shall be considered liabilities or contra71124
assets, as the case may be, except for any reserves that are 71125
deemed appropriations of retained earnings under generally71126
accepted accounting principles.71127

       (2)(a)The base upon which the tax is levied under division 71128
(C) of section 5733.06 of the Revised Code shall be computed by 71129
multiplying the amount determined under division (C)(1) of this 71130
section by the fraction determined under divisions (B)(2)(a) to 71131
(c) of this section and, if applicable, divisions (B)(2)(d)(ii) 71132
and (iii) of this section, and with regard to section 5733.052 of 71133
the Revised Code, but substituting "net worth" for "net income" 71134
wherever "net income" appears in division (B)(2)(c) in this 71135
section. For purposes of division (C)(2) of this section, the 71136
numerator and denominator of each of the fractions shall include 71137
the portion of any real and tangible personal property, payroll, 71138
and sales, respectively, relating to, or used in connection with 71139
the production of, net nonbusiness income allocated under section 71140
5733.051 of the Revised Code. Nothing in this division shall allow 71141
any amount to be included in the numerator or denominator more 71142
than once.71143

       (D)(1) If, on the last day of the taxpayer's taxable year71144
preceding the tax year, the taxpayer is a related member to a71145
corporation that elects to be a qualifying holding company for the71146
tax year beginning after the last day of the taxpayer's taxable71147
year, or if, on the last day of the taxpayer's taxable year71148
preceding the tax year, a corporation that elects to be a71149
qualifying holding company for the tax year beginning after the71150
last day of the taxpayer's taxable year is a related member to the71151
taxpayer, then the taxpayer's total value for the purposes of 71152
division (C) of this section shall be adjusted by the qualifying 71153
amount. Except as otherwise provided under division71154
(C)(2)(b)(D)(2) of this section, "qualifying amount" means the71155
amount that, when added to the taxpayer's total value, and when71156
subtracted from the net carrying value of the taxpayer's71157
liabilities computed without regard to division (C)(2) of this71158
section, or when subtracted from the taxpayer's total value and71159
when added to the net carrying value of the taxpayer's liabilities71160
computed without regard to division (C)(2)(D) of this section,71161
results in the taxpayer's debt-to-equity ratio equaling the71162
debt-to-equity ratio of the qualifying controlled group on the71163
last day of the taxable year ending prior to the first day of the71164
tax year computed on a consolidated basis in accordance with71165
general accepted accounting principles. For the purposes of71166
division (C)(2)(a)(D)(1) of this section, the corporation's total 71167
value, after the adjustment required by that division, shall not 71168
exceed the net book value of the corporation's assets.71169

       (b)(i)(2)(a) The amount added to the taxpayer's total value 71170
and subtracted from the net carrying value of the taxpayer's71171
liabilities shall not exceed the amount of the net carrying value71172
of the taxpayer's liabilities owed to the taxpayer's related71173
members.71174

       (ii)(b) A liability owed to the taxpayer's related members71175
includes, but is not limited to, any amount that the corporation71176
owes to a person that is not a related member if the corporation's71177
related member or related members in whole or in part guarantee71178
any portion or all of that amount, or pledge, hypothecate,71179
mortgage, or carry out any similar transactions to secure any71180
portion or all of that amount.71181

       (3) The base upon which the tax is levied under division (C)71182
of section 5733.06 of the Revised Code shall be computed by71183
multiplying the amount determined under divisions (C)(1) and 71184
(2)(D) of this section by the fraction determined under divisions71185
(B)(2)(a) to (c) of this section and, if applicable, divisions71186
(B)(2)(d)(ii) to (iv) of this section but without regard to71187
section 5733.052 of the Revised Code.71188

       (4) For purposes of division (C)(D) of this section, "related71189
member" has the same meaning as in division (A)(6) of section71190
5733.042 of the Revised Code without regard to division (B) of71191
that section.71192

       Sec. 5733.051. SubjectFor purposes of this section, 71193
"available" means information is such that a person is able to 71194
learn of the information by the due date plus extensions, if any, 71195
for filing the report for the tax year immediately following the 71196
last day of the taxable year, and "modified qualifying controlled 71197
group" means that portion of a qualifying controlled group 71198
consisting of the corporation the sale of which resulted in the 71199
gain or loss described in division (E) of this section together 71200
with all members of the qualifying controlled group owned directly 71201
or indirectly by that corporation, or the corporation that 71202
directly paid the dividend or directly made the distribution 71203
described in division (F) of this section together with all 71204
members of the qualifying controlled group owned directly or 71205
indirectly by that corporation.71206

       Subject to section 5733.0510 of the Revised Code, net71207
nonbusiness income of a corporation subject to the tax imposed by71208
section 5733.06 of the Revised Code shall be allocated and71209
apportioned to this state as follows:71210

       (A) Net rents and royalties from real property located in71211
this state are allocable to this state. Net rents and royalties 71212
from real property not located in this state are allocable outside 71213
this state.71214

       (B) Net rents and royalties from tangible personal property,71215
to the extent such property is utilized in this state, are71216
allocable to this state if the taxpayer is otherwise subject to71217
the tax imposed by section 5733.06 of the Revised Code. Net rents 71218
and royalties from tangible personal property, to the extent such 71219
property is utilized outside this state, are allocable outside 71220
this state.71221

       (C) Capital gains and losses from the sale or other71222
disposition of real property located in this state are allocable71223
to this state. Capital gains and losses from the sale or other 71224
disposition of real property located outside this state are 71225
allocable outside this state.71226

       (D) Capital gains and losses from the sale or other71227
disposition of tangible personal property are allocable to this71228
state if the property had a situs in this state at the time of71229
sale and the taxpayer is otherwise subject to the tax imposed by71230
section 5733.06 of the Revised Codeto the extent such property 71231
was utilized in this state prior to the property's sale or other 71232
disposition. Capital gains and losses from the sale or other 71233
disposition of tangible personal property are allocable outside 71234
this state to the extent such property was utilized outside this 71235
state prior to the property's sale or other disposition.71236

       (E) Capital gains and losses from the sale or other71237
disposition of intangible property which may produce income71238
enumerated in division (F)(1) of this section are allocable on the71239
same basis as set forth in that division, substituting the day of 71240
the sale or disposition for the day on which the payor pays the 71241
dividend or makes the distribution, but if the location of the 71242
physical assets described in that division is not available to the 71243
taxpayer, such gains and losses are apportionable under division 71244
(I) of this section. Capital gains and losses from the sale or 71245
other disposition of all other intangible property are 71246
apportionable under division (I) of this section.71247

       (F) "Dividends or distributions" to which this division 71248
refers are dividends directly or indirectly paid by or 71249
distributions directly or indirectly made by any person classified 71250
for federal income tax purposes as an association taxable as a 71251
corporation.71252

       (1) Dividends or distributions which are not otherwise71253
deducted or excluded from net income, other than dividends or71254
distributions from a domestic international sales corporation, are71255
allocableshall be allocated to this state in accordance with the 71256
ratio of the book value of the physical assets of the payor of the 71257
dividends or distributions located in this state divided by the 71258
book value of the total physical assets of the payor located 71259
everywhereby multiplying such dividends and distributions by a 71260
fraction. The numerator of the fraction is the book value of the 71261
physical assets in this state of the payor or, if the payor is a 71262
member of a modified qualifying controlled group on the last day 71263
of the payor's fiscal or calendar year ending immediately prior to 71264
the day on which the payor pays the dividend or makes the 71265
distribution, the sum of the book values of the physical assets in 71266
this state of the payor and of all the other members of the 71267
modified qualifying controlled group of which the payor is a 71268
member on the last day of the payor's fiscal or calendar year 71269
ending immediately prior to the day on which the payor pays the 71270
dividend or makes the distribution. The denominator of the 71271
fraction is the book value of the physical assets everywhere of 71272
the payor or, if the payor is a member of a modified qualifying 71273
controlled group on the last day of the payor's fiscal or calendar 71274
year ending immediately prior to the day on which the payor pays 71275
the dividend or makes the distribution, the sum of the book values 71276
of the physical assets everywhere of the payor and of all the 71277
other members of the modified qualifying controlled group of which 71278
the payor is a member on the last day of the payor's fiscal or 71279
calendar year ending immediately prior to the day on which the 71280
payor pays the dividend or makes the distribution. Dividends or 71281
distributions received from a domestic international sales 71282
corporation, or from a payor for which the location of whose71283
physical assets described in this division is unavailablenot 71284
available to the taxpayer, are apportionable under division (I) of 71285
this section.71286

       (2) If the payor of a dividend or distribution, or if that 71287
payor and any members of the qualifying controlled group of which 71288
the payor is a member on the last day of the payor's fiscal or 71289
calendar year ending immediately prior to the day on which the 71290
payor pays the dividend or makes the distribution, separately or 71291
cumulatively own, directly or indirectly, on the last day of the 71292
payor's fiscal or calendar year ending immediately prior to the 71293
day on which the payor pays the dividend or makes the 71294
distribution, more than fifty per cent of the equity of a 71295
pass-through entity, then for purposes of division (F)(1) of this 71296
section the payor and the other members are deemed to own the 71297
proportionate share of the physical assets that the pass-through 71298
entity directly or indirectly owns on the last day of the payor's 71299
fiscal or calendar year ending immediately prior to the day on 71300
which the payor pays the dividend or makes the distribution.71301

       (3) For the purposes of division (F)(3) of this section, 71302
"upper level pass-through entity" means a pass-through entity 71303
directly or indirectly owning any equity of another pass-through 71304
entity, and "lower level pass-through entity" means that other 71305
pass-through entity. For purposes of divisions (F)(1) and (2) of 71306
this section, an upper level pass-through entity is deemed to own, 71307
on the last day of the upper level pass-through entity's fiscal or 71308
calendar year, the proportionate share of the lower level 71309
pass-through entity's physical assets that the lower level 71310
pass-through entity directly or indirectly owns on the last day of 71311
the lower level pass-through entity's fiscal or calendar year 71312
ending within or with the last day of the upper level pass-through 71313
entity's fiscal or calendar year. If the upper level pass-through 71314
entity directly and indirectly owns less than fifty per cent of 71315
the equity of the lower level pass-through entity on each day of 71316
the upper level pass-through entity's fiscal or calendar year in 71317
which or with which ends the fiscal or calendar year of the lower 71318
level pass-through entity and if, based upon clear and convincing 71319
evidence, complete information about the location and cost of the 71320
physical assets of the lower level pass-through entity is not 71321
available to the upper level pass-through entity, then for 71322
purposes of divisions (F)(1) and (2) of this section, the upper 71323
level pass-through entity shall be deemed as owning no equity of 71324
the lower level pass-through entity for each day during the upper 71325
level pass-through entity's calendar or fiscal year in which or 71326
with which ends the lower level pass-through entity's fiscal or 71327
calendar year.71328

       (G) Patent and copyrightNet rents, net royalties, and net71329
technical assistance fees, not representing the principal source 71330
of gross receipts of the taxpayer,from intangible property are 71331
allocable to this state to the extent that the activity of the 71332
payor thereof giving rise to the payment takes place in this 71333
state. If the location of thea payor's activity is unavailable71334
not available to the taxpayer, suchcorporation, the net rents, 71335
net royalties, and net technical assistance fees are allocable or71336
apportionable under division (I) of this section.71337

       (H)(1) The following amounts described in division (B)(5) of 71338
section 5747.20 of the Revised Code are allocable to this state:71339

       (a) All lottery prize awards paid by the state lottery 71340
commission pursuant to Chapter 3770. of the Revised Code;71341

       (b) All earnings, profit, income, and gain from the sale, 71342
exchange, or other disposition of lottery prize awards paid or to 71343
be paid to any person by the state lottery commission pursuant to 71344
Chapter 3770. of the Revised Code;71345

       (c) All earnings, profit, income, and gain from the direct or 71346
indirect ownership of lottery prize awards paid or to be paid to 71347
any person by the state lottery commission pursuant to Chapter 71348
3770. of the Revised Code;71349

       (d) All earnings, profit, income, and gain from the direct or 71350
indirect interest in any right in or to any lottery prize awards 71351
paid or to be paid to any person by the state lottery commission 71352
pursuant to Chapter 3770. of the Revised Code.71353

       (2) Lottery prize awards and related earnings, profit, 71354
income, or gain with respect to lotteries sponsored by persons or 71355
agencies outside this state shall be allocated outside this state.71356

       (I) AnyEvery other item of net nonbusiness income, from 71357
sources other than those enumerated in divisions (A) to (H) of 71358
this section, is allocated entirely to this state except to the 71359
extent the allocation of such item of net nonbusiness income 71360
entirely to this state is not within the taxing power of this 71361
state under the Constitution of the United States. To the extent 71362
such allocation entirely to this state would not be within the 71363
taxing power of this state under the Constitution of the United 71364
States, such item of net nonbusiness income is apportionable to 71365
this state on the basis of the mechanism provided in division 71366
(B)(2) of section 5733.05 and in section 5733.057 of the Revised71367
Code.71368

       Sec. 5733.056.  (A) As used in this section:71369

       (1) "Billing address" means the address where any notice,71370
statement, or bill relating to a customer's account is mailed, as71371
indicated in the books and records of the taxpayer on the first71372
day of the taxable year or on such later date in the taxable year71373
when the customer relationship began.71374

       (2) "Borrower or credit card holder located in this state"71375
means:71376

       (a) A borrower, other than a credit card holder, that is71377
engaged in a trade or business and maintains its commercial71378
domicile in this state; or71379

       (b) A borrower that is not engaged in a trade or business, or 71380
a credit card holder, whose billing address is in this state.71381

       (3) "Branch" means a "domestic branch" as defined in section71382
3 of the "Federal Deposit Insurance Act," 64 Stat. 873, 12 U.S.C.71383
1813(o), as amended.71384

       (4) "Compensation" means wages, salaries, commissions, and71385
any other form of remuneration paid to employees for personal71386
services that are included in such employee's gross income under71387
the Internal Revenue Code. In the case of employees not subject to 71388
the Internal Revenue Code, such as those employed in foreign71389
countries, the determination of whether such payments would71390
constitute gross income to such employees under the Internal71391
Revenue Code shall be made as though such employees were subject71392
to the Internal Revenue Code.71393

       (5) "Credit card" means a credit, travel, or entertainment71394
card.71395

       (6) "Credit card issuer's reimbursement fee" means the fee a71396
taxpayer receives from a merchant's bank because one of the71397
persons to whom the taxpayer has issued a credit card has charged71398
merchandise or services to the credit card.71399

       (7) "Deposits" has the meaning given in section 3 of the71400
"Federal Deposit Insurance Act," 64 Stat. 873, 12 U.S.C. 1813(1),71401
as amended.71402

       (8) "Employee" means, with respect to a particular taxpayer,71403
any individual who under the usual common law rules applicable in71404
determining the employer-employee relationship, has the status of71405
an employee of that taxpayer.71406

       (9) "Gross rents" means the actual sum of money or other71407
consideration payable for the use or possession of property.71408
"Gross rents" includes:71409

       (a) Any amount payable for the use or possession of real71410
property or tangible personal property whether designated as a71411
fixed sum of money or as a percentage of receipts, profits, or71412
otherwise;71413

       (b) Any amount payable as additional rent or in lieu of rent,71414
such as interest, taxes, insurance, repairs, or any other amount71415
required to be paid by the terms of a lease or other arrangement; 71416
and71417

       (c) A proportionate part of the cost of any improvement to71418
real property made by or on behalf of the taxpayer which reverts71419
to the owner or lessor upon termination of a lease or other71420
arrangement. The amount to be included in gross rents is the71421
amount of amortization or depreciation allowed in computing the71422
taxable income base for the taxable year. However, where a71423
building is erected on leased land, by or on behalf of the71424
taxpayer, the value of the land is determined by multiplying the71425
gross rent by eight, and the value of the building is determined71426
in the same manner as if owned by the taxpayer.71427

       (d) The following are not included in the term "gross rents":71428

       (i) Reasonable amounts payable as separate charges for water71429
and electric service furnished by the lessor;71430

       (ii) Reasonable amounts payable as service charges for71431
janitorial services furnished by the lessor;71432

       (iii) Reasonable amounts payable for storage, provided such71433
amounts are payable for space not designated and not under the71434
control of the taxpayer; and71435

       (iv) That portion of any rental payment which is applicable71436
to the space subleased from the taxpayer and not used by it.71437

       (10) "Loan" means any extension of credit resulting from71438
direct negotiations between the taxpayer and its customer, or the71439
purchase, in whole or in part, of such extension of credit from71440
another. Loans include debt obligations of subsidiaries,71441
participations, syndications, and leases treated as loans for71442
federal income tax purposes. "Loan" does not include: properties71443
treated as loans under section 595 of the Internal Revenue Code;71444
futures or forward contracts; options; notional principal71445
contracts such as swaps; credit card receivables, including71446
purchased credit card relationships; non-interest bearing balances71447
due from depositor institutions; cash items in the process of71448
collection; federal funds sold; securities purchased under71449
agreements to resell; assets held in a trading account;71450
securities; interests in a real estate mortgage investment conduit71451
or other mortgage-backed or asset-backed security; and other71452
similar items.71453

       (11) "Loan secured by real property" means that fifty per71454
cent or more of the aggregate value of the collateral used to71455
secure a loan or other obligation, when valued at fair market71456
value as of the time the original loan or obligation was incurred,71457
was real property.71458

       (12) "Merchant discount" means the fee, or negotiated71459
discount, charged to a merchant by the taxpayer for the privilege71460
of participating in a program whereby a credit card is accepted in71461
payment for merchandise or services sold to the card holder.71462

       (13) "Participation" means an extension of credit in which an71463
undivided ownership interest is held on a pro rata basis in a71464
single loan or pool of loans and related collateral. In a loan71465
participation, the credit originator initially makes the loan and71466
then subsequently resells all or a portion of it to other lenders.71467
The participation may or may not be known to the borrower.71468

       (14) "Principal base of operations" with respect to71469
transportation property means the place of more or less permanent71470
nature from which the property is regularly directed or71471
controlled. With respect to an employee, the "principal base of71472
operations" means the place of more or less permanent nature from71473
which the employee regularly (a) starts work and to which the71474
employee customarily returns in order to receive instructions from71475
the employer or (b) communicates with the employee's customers or71476
other persons or (c) performs any other functions necessary to the71477
exercise of the trade or profession at some other point or points.71478

       (15) "Qualified institution" means a financial institution71479
that on or after June 1, 1997:71480

       (a)(i) Has consummated one or more approved transactions with 71481
insured banks with different home states that would qualify under 71482
section 102 of the "Riegle-Neal Interstate Banking and Branching 71483
Efficiency Act of 1994," Public Law 103-328, 108 Stat. 2338;71484

       (ii) Is a federal savings association or federal savings bank71485
that has consummated one or more interstate acquisitions that71486
result in a financial institution that has branches in more than71487
one state; or71488

       (iii) Has consummated one or more approved interstate71489
acquisitions under authority of Title XI of the Revised Code that71490
result in a financial institution that has branches in more than71491
one state; and71492

       (b) Has at least nine per cent of its deposits in this state71493
as of the last day of June prior to the beginning of the tax year.71494

       (16) "Real property owned" and "tangible personal property71495
owned" mean real and tangible personal property, respectively, on71496
which the taxpayer may claim depreciation for federal income tax71497
purposes, or to which the taxpayer holds legal title and on which71498
no other person may claim depreciation for federal income tax71499
purposes, or could claim depreciation if subject to federal income71500
tax. Real and tangible personal property do not include coin,71501
currency, or property acquired in lieu of or pursuant to a71502
foreclosure.71503

       (17) "Regular place of business" means an office at which the71504
taxpayer carries on its business in a regular and systematic71505
manner and which is continuously maintained, occupied, and used by71506
employees of the taxpayer.71507

       (18) "State" means a state of the United States, the District71508
of Columbia, the commonwealth of Puerto Rico, or any territory or71509
possession of the United States.71510

       (19) "Syndication" means an extension of credit in which two71511
or more persons fund and each person is at risk only up to a71512
specified percentage of the total extension of credit or up to a71513
specified dollar amount.71514

       (20) "Transportation property" means vehicles and vessels71515
capable of moving under their own power, such as aircraft, trains,71516
water vessels and motor vehicles, as well as any equipment or71517
containers attached to such property, such as rolling stock,71518
barges, trailers, or the like.71519

       (B) The annual financial institution report determines the71520
value of the issued and outstanding shares of stock of the71521
taxpayer, and is the base or measure of the franchise tax71522
liability. Such determination shall be made as of the date shown71523
by the report to have been the beginning of the financial71524
institution's annual accounting period that includes the first day71525
of January of the tax year. For purposes of this section, division 71526
(A) of section 5733.05, and division (D) of section 5733.06 of the 71527
Revised Code, the value of the issued and outstanding shares of 71528
stock of the financial institution shall include the total value, 71529
as shown by the books of the financial institution, of its 71530
capital, surplus, whether earned or unearned, undivided profits, 71531
and reserves, but exclusive of:71532

       (1) Reserves for accounts receivable, depreciation,71533
depletion, and any other valuation reserves with respect to71534
specific assets;71535

       (2) Taxes due and payable during the year for which such71536
report was made;71537

       (3) Voting stock and participation certificates in71538
corporations chartered pursuant to the "Farm Credit Act of 1971,"71539
85 Stat. 597, 12 U.S.C. 2091, as amended;71540

       (4) Good will, appreciation, and abandoned property as set up71541
in the annual report of the financial institution, provided a71542
certified balance sheet of the company is made available upon the71543
request of the tax commissioner. Such balance sheet shall not be a 71544
part of the public records, but shall be a confidential report for 71545
use of the tax commissioner only.71546

       (5) A portion of the value of the issued and outstanding71547
shares of stock of such financial institution equal to the amount71548
obtained by multiplying such value by the quotient obtained by:71549

       (a) Dividing (1) the amount of the financial institution's71550
assets, as shown on its books, represented by investments in the71551
capital stock and indebtedness of public utilities, except 71552
electric companies and combined companies, and, for tax years 2005 71553
and thereafter, telephone companies, of which at least eighty per 71554
cent of the utility's issued and outstanding common stock is owned 71555
by the financial institution by (2) the total assets of such 71556
financial institution as shown on its books;71557

       (b) Dividing (1) the amount of the financial institution's71558
assets, as shown on its books, represented by investments in the71559
capital stock and indebtedness of insurance companies of which at71560
least eighty per cent of the insurance company's issued and71561
outstanding common stock is owned by the financial institution by71562
(2) the total assets of such financial institution as shown on its71563
books;71564

       (c) Dividing (1) the amount of the financial institution's71565
assets, as shown on its books, represented by investments in the71566
capital stock and indebtedness of other financial institutions of71567
which at least twenty-five per cent of the other financial71568
institution's issued and outstanding common stock is owned by the71569
financial institution by (2) the total assets of the financial71570
institution as shown on its books. Division (B)(5)(c) of this71571
section applies only with respect to such other financial71572
institutions that for the tax year immediately following the71573
taxpayer's taxable year will pay the tax imposed by division (D)71574
of section 5733.06 of the Revised Code.71575

       (6) Land that has been determined pursuant to section 5713.3171576
of the Revised Code by the county auditor of the county in which 71577
the land is located to be devoted exclusively to agricultural use 71578
as of the first Monday of June in the financial institution's 71579
taxable year.71580

       (7) Property within this state used exclusively during the71581
taxable year for qualified research as defined in section 5733.0571582
of the Revised Code.71583

       (C) The base upon which the tax levied under division (D) of71584
section 5733.06 of the Revised Code shall be computed by71585
multiplying the value of a financial institution's issued and71586
outstanding shares of stock as determined in division (B) of this71587
section by a fraction. The numerator of the fraction is the sum of 71588
the following: the property factor multiplied by fifteen, the71589
payroll factor multiplied by fifteen, and the sales factor71590
multiplied by seventy. The denominator of the fraction is one71591
hundred, provided that the denominator shall be reduced by fifteen71592
if the property factor has a denominator of zero, by fifteen if71593
the payroll factor has a denominator of zero, and by seventy if71594
the sales factor has a denominator of zero.71595

       (D) A financial institution shall calculate the property71596
factor as follows:71597

       (1) The property factor is a fraction, the numerator of which71598
is the average value of real property and tangible personal71599
property rented to the taxpayer that is located or used within71600
this state during the taxable year, the average value of real and71601
tangible personal property owned by the taxpayer that is located71602
or used within this state during the taxable year, and the average71603
value of the taxpayer's loans and credit card receivables that are71604
located within this state during the taxable year; and the71605
denominator of which is the average value of all such property71606
located or used within and without this state during the taxable71607
year.71608

       (2)(a) The value of real property and tangible personal71609
property owned by the taxpayer is the original cost or other basis71610
of such property for federal income tax purposes without regard to71611
depletion, depreciation, or amortization.71612

       (b) Loans are valued at their outstanding principal balance,71613
without regard to any reserve for bad debts. If a loan is71614
charged-off in whole or in part for federal income tax purposes,71615
the portion of the loan charged-off is not outstanding. A71616
specifically allocated reserve established pursuant to financial71617
accounting guidelines which is treated as charged-off for federal71618
income tax purposes shall be treated as charged-off for purposes71619
of this section.71620

       (c) Credit card receivables are valued at their outstanding71621
principal balance, without regard to any reserve for bad debts. If 71622
a credit card receivable is charged-off in whole or in part for71623
federal income tax purposes, the portion of the receivable71624
charged-off is not outstanding.71625

       (3) The average value of property owned by the taxpayer is71626
computed on an annual basis by adding the value of the property on71627
the first day of the taxable year and the value on the last day of71628
the taxable year and dividing the sum by two. If averaging on this 71629
basis does not properly reflect average value, the tax71630
commissioner may require averaging on a more frequent basis. The71631
taxpayer may elect to average on a more frequent basis. When71632
averaging on a more frequent basis is required by the tax71633
commissioner or is elected by the taxpayer, the same method of71634
valuation must be used consistently by the taxpayer with respect71635
to property within and without this state and on all subsequent71636
returns unless the taxpayer receives prior permission from the tax71637
commissioner or the tax commissioner requires a different method71638
of determining value.71639

       (4)(a) The average value of real property and tangible71640
personal property that the taxpayer has rented from another and is71641
not treated as property owned by the taxpayer for federal income71642
tax purposes, shall be determined annually by multiplying the71643
gross rents payable during the taxable year by eight.71644

       (b) Where the use of the general method described in division71645
(D)(4)(a) of this section results in inaccurate valuations of 71646
rented property, any other method which properly reflects the 71647
value may be adopted by the tax commissioner or by the taxpayer 71648
when approved in writing by the tax commissioner. Once approved, 71649
such other method of valuation must be used on all subsequent 71650
returns unless the taxpayer receives prior approval from the tax71651
commissioner or the tax commissioner requires a different method71652
of valuation.71653

       (5)(a) Except as described in division (D)(5)(b) of this71654
section, real property and tangible personal property owned by or71655
rented to the taxpayer is considered to be located within this71656
state if it is physically located, situated, or used within this71657
state.71658

       (b) Transportation property is included in the numerator of71659
the property factor to the extent that the property is used in71660
this state. The extent an aircraft will be deemed to be used in71661
this state and the amount of value that is to be included in the71662
numerator of this state's property factor is determined by71663
multiplying the average value of the aircraft by a fraction, the71664
numerator of which is the number of landings of the aircraft in71665
this state and the denominator of which is the total number of71666
landings of the aircraft everywhere. If the extent of the use of71667
any transportation property within this state cannot be71668
determined, then the property will be deemed to be used wholly in71669
the state in which the property has its principal base of71670
operations. A motor vehicle will be deemed to be used wholly in71671
the state in which it is registered.71672

       (6)(a)(i) A loan, other than a loan or advance described in71673
division (D)(6)(d) of this section, is considered to be located71674
within this state if it is properly assigned to a regular place of71675
business of the taxpayer within this state.71676

       (ii) A loan is properly assigned to the regular place of71677
business with which it has a preponderance of substantive71678
contacts. A loan assigned by the taxpayer to a regular place of71679
business without the state shall be presumed to have been properly71680
assigned if:71681

       (I) The taxpayer has assigned, in the regular course of its71682
business, such loan on its records to a regular place of business71683
consistent with federal or state regulatory requirements;71684

       (II) Such assignment on its records is based upon substantive71685
contacts of the load to such regular place of business; and71686

       (III) The taxpayer uses the records reflecting assignment of71687
loans for the filing of all state and local tax returns for which71688
an assignment of loans to a regular place of business is required.71689

       (iii) The presumption of proper assignment of a loan provided 71690
in division (D)(6)(a)(ii) of this section may be rebutted upon a 71691
showing by the tax commissioner, supported by a preponderance of 71692
the evidence, that the preponderance of substantive contacts 71693
regarding such loan did not occur at the regular place of business 71694
to which it was assigned on the taxpayer's records. When such 71695
presumption has been rebutted, the loan shall then be located 71696
within this state if (1) the taxpayer had a regular place of 71697
business within this state at the time the loan was made; and (2) 71698
the taxpayer fails to show, by a preponderance of the evidence, 71699
that the preponderance of substantive contacts regarding such loan 71700
did not occur within this state.71701

       (b) In the case of a loan which is assigned by the taxpayer71702
to a place without this state which is not a regular place of71703
business, it shall be presumed, subject to rebuttal by the71704
taxpayer on a showing supported by the preponderance of evidence,71705
that the preponderance of substantive contacts regarding the loan71706
occurred within this state if, at the time the loan was made the71707
taxpayer's commercial domicile was within this state.71708

       (c) To determine the state in which the preponderance of71709
substantive contacts relating to a loan have occurred, the facts71710
and circumstances regarding the loan at issue shall be reviewed on71711
a case-by-case basis and consideration shall be given to such71712
activities as the solicitation, investigation, negotiation,71713
approval, and administration of the loan. The terms71714
"solicitation," "investigation," "negotiation," "approval," and71715
"administration" are defined as follows:71716

       (i) "Solicitation" is either active or passive. Active71717
solicitation occurs when an employee of the taxpayer initiates the71718
contact with the customer. Such activity is located at the regular 71719
place of business which the taxpayer's employee is regularly 71720
connected with or working out of, regardless of where the services 71721
of such employee were actually performed. Passive solicitation 71722
occurs when the customer initiates the contact with the taxpayer. 71723
If the customer's initial contact was not at a regular place of 71724
business of the taxpayer, the regular place of business, if any, 71725
where the passive solicitation occurred is determined by the facts 71726
in each case.71727

       (ii) "Investigation" is the procedure whereby employees of71728
the taxpayer determine the creditworthiness of the customer as71729
well as the degree of risk involved in making a particular71730
agreement. Such activity is located at the regular place of71731
business which the taxpayer's employees are regularly connected71732
with or working out of, regardless of where the services of such71733
employees were actually performed.71734

       (iii) Negotiation is the procedure whereby employees of the71735
taxpayer and its customer determine the terms of the agreement,71736
such as the amount, duration, interest rate, frequency of71737
repayment, currency denomination, and security required. Such71738
activity is located at the regular place of business to which the71739
taxpayer's employees are regularly connected or working from,71740
regardless of where the services of such employees were actually71741
performed.71742

       (iv) "Approval" is the procedure whereby employees or the71743
board of directors of the taxpayer make the final determination71744
whether to enter into the agreement. Such activity is located at71745
the regular place of business to which the taxpayer's employees71746
are regularly connected or working from, regardless of where the71747
services of such employees were actually performed. If the board71748
of directors makes the final determination, such activity is71749
located at the commercial domicile of the taxpayer.71750

       (v) "Administration" is the process of managing the account. 71751
This process includes bookkeeping, collecting the payments,71752
corresponding with the customer, reporting to management regarding71753
the status of the agreement, and proceeding against the borrower71754
or the security interest if the borrower is in default. Such71755
activity is located at the regular place of business that oversees71756
this activity.71757

       (d) A loan or advance to a subsidiary corporation at least71758
fifty-one per cent of whose common stock is owned by the financial71759
institution shall be allocated in and out of the state by the71760
application of a ratio whose numerator is the sum of the net book71761
value of the subsidiary's real property owned in this state and71762
the subsidiary's tangible personal property owned in this state71763
and whose denominator is the sum of the subsidiary's real property71764
owned wherever located and the subsidiary's tangible personal71765
property owned wherever located. For purposes of calculating this71766
ratio, the taxpayer shall determine net book value in accordance71767
with generally accepted accounting principles. If the subsidiary71768
corporation owns at least fifty-one per cent of the common stock71769
of another corporation, the ratio shall be calculated by including71770
the other corporation's real property and tangible personal71771
property. The calculation of the ratio applies with respect to all 71772
lower-tiered subsidiaries, provided that the immediate parent71773
corporation of the subsidiary owns at least fifty-one per cent of71774
the common stock of that subsidiary.71775

       (7) For purposes of determining the location of credit card71776
receivables, credit card receivables shall be treated as loans and71777
shall be subject to division (D)(6) of this section.71778

       (8) A loan that has been properly assigned to a state shall,71779
absent any change of material fact, remain assigned to that state71780
for the length of the original term of the loan. Thereafter, the71781
loan may be properly assigned to another state if the loan has a71782
preponderance of substantive contact to a regular place of71783
business there.71784

       (E) A financial institution shall calculate the payroll71785
factor as follows:71786

       (1) The payroll factor is a fraction, the numerator of which71787
is the total amount paid in this state during the taxable year by71788
the taxpayer for compensation, and the denominator of which is the71789
total compensation paid both within and without this state during71790
the taxable year.71791

       (2) Compensation is paid in this state if any one of the71792
following tests, applied consecutively, is met:71793

       (a) The employee's services are performed entirely within71794
this state.71795

       (b) The employee's services are performed both within and71796
without this state, but the service performed without this state71797
is incidental to the employee's service within this state. The71798
term "incidental" means any service which is temporary or71799
transitory in nature, or which is rendered in connection with an71800
isolated transaction.71801

       (c) The employee's services are performed both within and71802
without this state, and:71803

       (i) The employee's principal base of operations is within71804
this state; or71805

       (ii) There is no principal base of operations in any state in71806
which some part of the services are performed, but the place from 71807
which the services are directed or controlled is in this state; or71808

       (iii) The principal base of operations and the place from71809
which the services are directed or controlled are not in any state71810
in which some part of the service is performed but the employee's71811
residence is in this state.71812

       (F) A financial institution shall calculate the sales factor71813
as follows:71814

       (1) The sales factor is a fraction, the numerator of which is71815
the receipts of the taxpayer in this state during the taxable year 71816
and the denominator of which is the receipts of the taxpayer71817
within and without this state during the taxable year. The method71818
of calculating receipts for purposes of the denominator is the71819
same as the method used in determining receipts for purposes of71820
the numerator.71821

       (2) The numerator of the sales factor includes receipts from71822
the lease or rental of real property owned by the taxpayer if the71823
property is located within this state, or receipts from the71824
sublease of real property if the property is located within this71825
state.71826

       (3)(a) Except as described in division (F)(3)(b) of this71827
section the numerator of the sales factor includes receipts from71828
the lease or rental of tangible personal property owned by the71829
taxpayer if the property is located within this state when it is71830
first placed in service by the lessee.71831

       (b) Receipts from the lease or rental of transportation71832
property owned by the taxpayer are included in the numerator of71833
the sales factor to the extent that the property is used in this71834
state. The extent an aircraft will be deemed to be used in this71835
state and the amount of receipts that is to be included in the71836
numerator of this state's sales factor is determined by71837
multiplying all the receipts from the lease or rental of the71838
aircraft by a fraction, the numerator of which is the number of71839
landings of the aircraft in this state and the denominator of71840
which is the total number of landings of the aircraft. If the71841
extent of the use of any transportation property within this state71842
cannot be determined, then the property will be deemed to be used71843
wholly in the state in which the property has its principal base71844
of operations. A motor vehicle will be deemed to be used wholly in 71845
the state in which it is registered.71846

       (4)(a) The numerator of the sales factor includes interest71847
and fees or penalties in the nature of interest from loans secured71848
by real property if the property is located within this state. If71849
the property is located both within this state and one or more71850
other states, the receipts described in this paragraph are71851
included in the numerator of the sales factor if more than fifty71852
per cent of the fair market value of the real property is located71853
within this state. If more than fifty per cent of the fair market71854
value of the real property is not located within any one state,71855
then the receipts described in this paragraph shall be included in71856
the numerator of the sales factor if the borrower is located in71857
this state.71858

       (b) The determination of whether the real property securing a71859
loan is located within this state shall be made as of the time the 71860
original agreement was made and any and all subsequent71861
substitutions of collateral shall be disregarded.71862

       (5) The numerator of the sales factor includes interest and71863
fees or penalties in the nature of interest from loans not secured71864
by real property if the borrower is located in this state.71865

       (6) The numerator of the sales factor includes net gains from71866
the sale of loans. Net gains from the sale of loans includes71867
income recorded under the coupon stripping rules of section 128671868
of the Internal Revenue Code.71869

       (a) The amount of net gains, but not less than zero, from the71870
sale of loans secured by real property included in the numerator71871
is determined by multiplying such net gains by a fraction the71872
numerator of which is the amount included in the numerator of the 71873
sales factor pursuant to division (F)(4) of this section and the 71874
denominator of which is the total amount of interest and fees or 71875
penalties in the nature of interest from loans secured by real 71876
property.71877

       (b) The amount of net gains, but not less than zero, from the71878
sale of loans not secured by real property included in the71879
numerator is determined by multiplying such net gains by a71880
fraction the numerator of which is the amount included in the71881
numerator of the sales factor pursuant to division (F)(5) of this71882
section and the denominator of which is the total amount of71883
interest and fees or penalties in the nature of interest from71884
loans not secured by real property.71885

       (7) The numerator of the sales factor includes interest and71886
fees or penalties in the nature of interest from credit card71887
receivables and receipts from fees charged to card holders, such71888
as annual fees, if the billing address of the card holder is in71889
this state.71890

       (8) The numerator of the sales factor includes net gains, but71891
not less than zero, from the sale of credit card receivables71892
multiplied by a fraction, the numerator of which is the amount71893
included in the numerator of the sales factor pursuant to division71894
(F)(7) of this section and the denominator of which is the71895
taxpayer's total amount of interest and fees or penalties in the71896
nature of interest from credit card receivables and fees charged71897
to card holders.71898

       (9) The numerator of the sales factor includes all credit71899
card issuer's reimbursement fees multiplied by a fraction, the71900
numerator of which is the amount included in the numerator of the71901
sales factor pursuant to division (F)(7) of this section and the71902
denominator of which is the taxpayer's total amount of interest71903
and fees or penalties in the nature of interest from credit card71904
receivables and fees charged to card holders.71905

       (10) The numerator of the sales factor includes receipts from71906
merchant discount if the commercial domicile of the merchant is in 71907
this state. Such receipts shall be computed net of any card holder 71908
charge backs, but shall not be reduced by any interchange71909
transaction fees or by any issuer's reimbursement fees paid to71910
another for charges made by its card holders.71911

       (11)(a)(i) The numerator of the sales factor includes loan71912
servicing fees derived from loans secured by real property71913
multiplied by a fraction the numerator of which is the amount71914
included in the numerator of the sales factor pursuant to division71915
(F)(4) of this section and the denominator of which is the total71916
amount of interest and fees or penalties in the nature of interest71917
from loans secured by real property.71918

       (ii) The numerator of the sales factor includes loan71919
servicing fees derived from loans not secured by real property71920
multiplied by a fraction the numerator of which is the amount71921
included in the numerator of the sales factor pursuant to division71922
(F)(5) of this section and the denominator of which is the total71923
amount of interest and fees or penalties in the nature of interest71924
from loans not secured by real property.71925

       (b) In circumstances in which the taxpayer receives loan71926
servicing fees for servicing either the secured or the unsecured71927
loans of another, the numerator of the sales factor shall include71928
such fees if the borrower is located in this state.71929

       (12) The numerator of the sales factor includes receipts from71930
services not otherwise apportioned under this section if the71931
service is performed in this state. If the service is performed71932
both within and without this state, the numerator of the sales71933
factor includes receipts from services not otherwise apportioned71934
under this section, if a greater proportion of the income71935
producing activity is performed in this state based on cost of71936
performance.71937

       (13)(a) Interest, dividends, net gains, but not less than71938
zero, and other income from investment assets and activities and71939
from trading assets and activities shall be included in the sales71940
factor. Investment assets and activities and trading assets and71941
activities include but are not limited to: investment securities;71942
trading account assets; federal funds; securities purchased and71943
sold under agreements to resell or repurchase; options; futures71944
contracts; forward contracts; notional principal contracts such as71945
swaps; equities; and foreign currency transactions. With respect71946
to the investment and trading assets and activities described in71947
divisions (F)(13)(a)(i) and (ii) of this section, the sales factor71948
shall include the amounts described in such divisions.71949

       (i) The sales factor shall include the amount by which71950
interest from federal funds sold and securities purchased under71951
resale agreements exceeds interest expense on federal funds71952
purchased and securities sold under repurchase agreements.71953

       (ii) The sales factor shall include the amount by which71954
interest, dividends, gains, and other income from trading assets71955
and activities, including, but not limited to, assets and71956
activities in the matched book, in the arbitrage book, and foreign71957
currency transactions, exceed amounts paid in lieu of interest,71958
amounts paid in lieu of dividends, and losses from such assets and71959
activities.71960

       (b) The numerator of the sales factor includes interest,71961
dividends, net gains, but not less than zero, and other income71962
from investment assets and activities and from trading assets and71963
activities described in division (F)(13)(a) of this section that71964
are attributable to this state.71965

       (i) The amount of interest, other than interest described in71966
division (F)(13)(b)(iv) of this section, dividends, other than71967
dividends described in that division, net gains, but not less than71968
zero, and other income from investment assets and activities in71969
the investment account to be attributed to this state and included71970
in the numerator is determined by multiplying all such income from71971
such assets and activities by a fraction, the numerator of which71972
is the average value of such assets which are properly assigned to71973
a regular place of business of the taxpayer within this state and71974
the denominator of which is the average value of all such assets.71975

       (ii) The amount of interest from federal funds sold and71976
purchased and from securities purchased under resale agreements71977
and securities sold under repurchase agreements attributable to71978
this state and included in the numerator is determined by71979
multiplying the amount described in division (F)(13)(a)(i) of this71980
section from such funds and such securities by a fraction, the71981
numerator of which is the average value of federal funds sold and71982
securities purchased under agreements to resell which are properly71983
assigned to a regular place of business of the taxpayer within71984
this state and the denominator of which is the average value of71985
all such funds and such securities.71986

       (iii) The amount of interest, dividends, gains, and other71987
income from trading assets and activities, including but not71988
limited to assets and activities in the matched book, in the71989
arbitrage book, and foreign currency transaction, but excluding71990
amounts described in division (F)(13)(b)(i) or (ii) of this71991
section, attributable to this state and included in the numerator71992
is determined by multiplying the amount described in division71993
(F)(13)(a)(ii) of this section by a fraction, the numerator of71994
which is the average value of such trading assets which are71995
properly assigned to a regular place of business of the taxpayer71996
within this state and the denominator of which is the average71997
value of all such assets.71998

       (iv) The amount of dividends received on the capital stock71999
of, and the amount of interest received from loans and advances72000
to, subsidiary corporations at least fifty-one per cent of whose72001
common stock is owned by the reporting financial institution shall72002
be allocated in and out of this state by the application of a72003
ratio whose numerator is the sum of the net book value of the72004
payor's real property owned in this state and the payor's tangible72005
personal property owned in this state and whose denominator is the72006
sum of the net book value of the payor's real property owned72007
wherever located and the payor's tangible personal property owned72008
wherever located. For purposes of calculating this ratio, the72009
taxpayer shall determine net book value in accordance with72010
generally accepted accounting principles.72011

       (v) For purposes of this division, average value shall be72012
determined using the rules for determining the average value of72013
tangible personal property set forth in division (D)(2) and (3) of72014
this section.72015

       (c) In lieu of using the method set forth in division72016
(F)(13)(b) of this section, the taxpayer may elect, or the tax72017
commissioner may require in order to fairly represent the business72018
activity of the taxpayer in this state, the use of the method set72019
forth in division (F)(13)(c) of this section.72020

       (i) The amount of interest, other than interest described in72021
division (F)(13)(b)(iv) of this section, dividends, other than72022
dividends described in that division, net gains, but not less than72023
zero, and other income from investment assets and activities in72024
the investment account to be attributed to this state and included72025
in the numerator is determined by multiplying all such income from72026
such assets and activities by a fraction, the numerator of which72027
is the gross income from such assets and activities which are72028
properly assigned to a regular place of business of the taxpayer72029
within this state, and the denominator of which is the gross72030
income from all such assets and activities.72031

       (ii) The amount of interest from federal funds sold and72032
purchased and from securities purchased under resale agreements72033
and securities sold under repurchase agreements attributable to72034
this state and included in the numerator is determined by72035
multiplying the amount described in division (F)(13)(a)(i) of this72036
section from such funds and such securities by a fraction, the72037
numerator of which is the gross income from such funds and such72038
securities which are properly assigned to a regular place of72039
business of the taxpayer within this state and the denominator of72040
which is the gross income from all such funds and such securities.72041

       (iii) The amount of interest, dividends, gains, and other72042
income from trading assets and activities, including, but not72043
limited to, assets and activities in the matched book, in the72044
arbitrage book, and foreign currency transactions, but excluding72045
amounts described in division (F)(13)(a)(i) or (ii) of this72046
section, attributable to this state and included in the numerator,72047
is determined by multiplying the amount described in division72048
(F)(13)(a)(ii) of this section by a fraction, the numerator of72049
which is the gross income from such trading assets and activities72050
which are properly assigned to a regular place of business of the72051
taxpayer within this state and the denominator of which is the72052
gross income from all such assets and activities.72053

       (iv) The amount of dividends received on the capital stock72054
of, and the amount of interest received from loans and advances72055
to, subsidiary corporations at least fifty-one per cent of whose72056
common stock is owned by the reporting financial institution shall72057
be allocated in and out of this state by the application of a72058
ratio whose numerator is the sum of the net book value of the72059
payor's real property owned in this state and the payor's tangible72060
personal property owned in this state and whose denominator is the72061
sum of the payor's real property owned wherever located and the72062
payor's tangible personal property owned wherever located. For72063
purposes of calculating this ratio, the taxpayer shall determine72064
net book value in accordance with generally accepted accounting72065
principles.72066

       (d) If the taxpayer elects or is required by the tax72067
commissioner to use the method set forth in division (F)(13)(c) of72068
this section, it shall use this method on all subsequent returns72069
unless the taxpayer receives prior permission from the tax72070
commissioner to use or the tax commissioner requires a different72071
method.72072

       (e) The taxpayer shall have the burden of proving that an72073
investment asset or activity or trading asset or activity was72074
properly assigned to a regular place of business outside of this72075
state by demonstrating that the day-to-day decisions regarding the72076
asset or activity occurred at a regular place of business outside72077
this state. Where the day-to-day decisions regarding an investment 72078
asset or activity or trading asset or activity occur at more than 72079
one regular place of business and one such regular place of 72080
business is in this state and one such regular place of business 72081
is outside this state such asset or activity shall be considered 72082
to be located at the regular place of business of the taxpayer 72083
where the investment or trading policies or guidelines with 72084
respect to the asset or activity are established. Unless the72085
taxpayer demonstrates to the contrary, such policies and72086
guidelines shall be presumed to be established at the commercial72087
domicile of the taxpayer.72088

       (14) The numerator of the sales factor includes all other72089
receipts if either:72090

       (a) The income-producing activity is performed solely in this 72091
state; or72092

       (b) The income-producing activity is performed both within72093
and without this state and a greater proportion of the72094
income-producing activity is performed within this state than in72095
any other state, based on costs of performance.72096

       (G) A qualified institution may calculate the base upon which72097
the fee provided for in division (D) of section 5733.06 of the 72098
Revised Code is determined for each tax year by multiplying the 72099
value of its issued and outstanding shares of stock determined72100
under division (B) of this section by a single deposits fraction72101
whose numerator is the deposits assigned to branches in this state72102
and whose denominator is the deposits assigned to branches72103
everywhere. Deposits shall be assigned to branches in the same72104
manner in which the assignment is made for regulatory purposes. If72105
the base calculated under this division is less than the base72106
calculated under division (C) of this section, then the qualifying72107
institution may elect to substitute the base calculated under this72108
division for the base calculated under division (C) of this72109
section. Such election may be made annually for each tax year on 72110
the corporate report. The election need not accompany the report;72111
rather, the election may accompany a subsequently filed but timely72112
application for refund, a subsequently filed but timely amended72113
report, or a subsequently filed but timely petition for72114
reassessment. The election is not irrevocable and it applies only72115
to the specified tax year. Nothing in this division shall be72116
construed to extend any statute of limitations set forth in this72117
chapter.72118

       (H) If the apportionment provisions of this section do not72119
fairly represent the extent of the taxpayer's business activity in72120
this state, the taxpayer may petition for or the tax commissioner72121
may require, in respect to all or any part of the taxpayer's72122
business activity, if reasonable:72123

       (1) Separate accounting;72124

       (2) The exclusion of any one or more of the factors;72125

       (3) The inclusion of one or more additional factors which72126
will fairly represent the taxpayer's business activity in this72127
state; or72128

       (4) The employment of any other method to effectuate an72129
equitable allocation and apportionment of the taxpayer's value.72130

       Sec. 5733.057.  As used in this section, "adjusted qualifying72131
amount" has the same meaning as in section 5733.40 of the Revised 72132
Code.72133

       This section does not apply to divisions (E) and (F) of 72134
section 5733.051 of the Revised Code.72135

       Except as otherwise provided in divisions (A) and (B) of72136
section 5733.401 and in sections 5733.058 and 5747.401 of the 72137
Revised Code, in making all apportionment, allocation, income, 72138
gain, loss, deduction, tax, and credit computations under this 72139
chapter and under sections 5747.41 and 5747.43 of the Revised 72140
Code, each person shall include in that person's items of business 72141
income, nonbusiness income, adjusted qualifying amounts, allocable 72142
income or loss, if any, apportionable income or loss, property, 72143
compensation, and sales, the person's entire distributive share or72144
proportionate share of the items of business income, nonbusiness 72145
income, adjusted qualifying amounts, allocable income or loss, 72146
apportionable income or loss, property, compensation, and sales of 72147
any pass-through entity in which the person has a direct or 72148
indirect ownership interest at any time during the pass-through 72149
entity's calendar or fiscal year ending within, or with the last 72150
day of the person's taxable year. A pass-through entity's direct 72151
or indirect distributive share or proportionate share of any other 72152
pass-through entity's items of business income, nonbusiness 72153
income, adjusted qualifying amounts, allocable income or loss, 72154
apportionable income or loss, property, compensation, and sales 72155
shall be included for the purposes of computing the person's 72156
distributive share or proportionate share of the pass-through72157
entity's items of business income, nonbusiness income, adjusted 72158
qualifying amounts, allocable income or loss, apportionable income 72159
or loss, property, compensation, and sales under this section. 72160
Those items shall be in the same form as was recognized by the72161
pass-through entity.72162

       Sec. 5733.059.  (A) As used in this section:72163

       (1) "Customer" means a person who purchases electricity for72164
consumption either by that person or by the person's related 72165
member and the electricity is not for resale directly or 72166
indirectly to any person other than a related member.72167

       (2) "Related member" has the same meaning as in division 72168
(A)(6) of section 5733.042 of the Revised Code without regard to72169
division (B) of that section.72170

       (B) Except as provided in division (C) of this section, this72171
division applies only to sales of electric transmission and 72172
distribution services. For purposes of sections 5733.05 and 72173
5747.21 of the Revised Code:72174

       (1) Sales of the transmission of electricity are in this 72175
state in proportion to the ratio of the wire mileage of the 72176
taxpayer's transmission lines located in this state divided by the 72177
wire mileage of the taxpayer's transmission lines located 72178
everywhere. Transmission wire mileage shall be weighted for the 72179
voltage capacity of each line.72180

       (2) Sales of the distribution of electricity are in this 72181
state in proportion to the ratio of the wire mileage of the 72182
taxpayer's distribution lines located in this state divided by the 72183
wire mileage of the taxpayer's distribution lines located 72184
everywhere. Distribution wire mileage shall not be weighted for 72185
the voltage capacity of each line.72186

       (C) This division applies only to a person that has 72187
transmission or distribution lines in this state. If a contract 72188
for the sale of electricity includes the seller's or the seller's 72189
related member's obligation to transmit or distribute the 72190
electricity and if the sales contract separately identifies the 72191
price charged for the transmission or distribution of electricity, 72192
the price charged for the transmission and distribution of 72193
electricity shall be apportioned to this state in accordance with 72194
division (B) of this section. Any remaining portion of the sales 72195
price of the electricity shall be sitused to this state in 72196
accordance with division (D) of this section.72197

       If the sales contract does not separately identify the price72198
charged for the transmission or distribution of electricity, the 72199
sales price of the electricity shall be sitused to this state in 72200
accordance with division (D) of this section.72201

       (D) Any person who makes a sale of electricity shall situs 72202
the following to this state:72203

       (1) A sale of electricity directly or indirectly to a 72204
customer to the extent the customer consumes the electricity in 72205
this state;72206

       (2) A sale of electricity directly or indirectly to a related72207
member where the related member directly or indirectly sells 72208
electricity to a customer to the extent the customer consumes the 72209
electricity in this state;72210

       (3) A sale of electricity if the seller or the seller's 72211
related member directly or indirectly delivers the electricity to 72212
a location in this state or directly or indirectly delivers the 72213
electricity exactly to the border of this state and another state;72214

       (4) A sale of electricity if the seller or the seller's 72215
related member directly or indirectly directs the delivery of the 72216
electricity to a location in this state or directly or indirectly 72217
directs the delivery of the electricity exactly to the border of 72218
this state and another state.72219

       (E) If the situsing provisions of this section do not fairly72220
represent the extent of the taxpayer's or the taxpayer's related72221
member's activity in this state, the taxpayer may request, or the72222
tax commissioner may require, in respect to all or part of a72223
taxpayer's or related member's sales, if reasonable, any of the72224
following:72225

       (1) Separate accounting;72226

       (2) The exclusion of one or more additional situsing factors 72227
that will fairly represent the taxpayer's and the related member's 72228
sales in this state;72229

       (3) The inclusion of one or more additional situsing factors 72230
that will fairly represent the taxpayer's and the related member's 72231
sales in this state.72232

       The taxpayer's request shall be in writing and shall be filed 72233
with the report required by section 5733.02 of the Revised Code, a72234
timely filed petition for reassessment, or a timely filed amended 72235
report. An alternative situsing method shall be effective with the 72236
approval of the tax commissioner.72237

       Nothing in this section shall be construed to extend any 72238
statute of limitations set forth in this chapter.72239

       (F) If the situsing provisions of this section do not fairly72240
represent activity in this state, the tax commissioner may72241
promulgate rules to situs sales using a methodology that fairly72242
reflects sales in this state.72243

       (G) Notwithstanding sections 5733.111 and 5747.131section 72244
5703.56 of the Revised Code to the contrary, a person situsing a 72245
sale outside this state has the burden to establish by a 72246
preponderance of the evidence that the doctrines enumerated in72247
those sectionsthat section do not apply.72248

       Sec. 5733.0511.  (A) As used in this section:72249

        (1) "Qualifying telephone company taxpayer" means either of 72250
the following:72251

        (a) A telephone company, but only if the telephone company 72252
was subject to the tax imposed by section 5727.30 of the Revised 72253
Code for gross receipts received during the period from July 1, 72254
2003, to June 30, 2004, and the telephone company's property 72255
subject to taxation under Chapter 5727. of the Revised Code for 72256
tax years 2003 through 2006 was assessed using the true value 72257
percentages provided for in division (B) of section 5727.111 of 72258
the Revised Code.72259

        (b) Any taxpayer not described in division (A)(1)(a) of this 72260
section if a telephone company described in division (A)(1)(a) of 72261
this section transfers all or a portion of its assets and equity 72262
directly or indirectly to the taxpayer, the transfer occurred as 72263
part of an entity organization or reorganization, or subsequent 72264
entity organization or reorganization, and the gain or loss with 72265
respect to the transfer is not recognized in whole or in part for 72266
federal income tax purposes under the Internal Revenue Code on 72267
account of a transfer as part of an entity organization or 72268
reorganization, or subsequent entity organization or 72269
reorganization.72270

        (2) "Qualifying telephone company asset" means any asset 72271
shown on the qualifying telephone company taxpayer's books and 72272
records on December 31, 2003, in accordance with generally 72273
accepted accounting principles.72274

       (3) "Net income" has the same meaning as in division (I) of 72275
section 5733.04 of the Revised Code.72276

       (4) "Book-tax difference" means the difference, if any, 72277
between a qualifying telephone company asset's net book value 72278
shown on the qualifying telephone company taxpayer's books and 72279
records on December 31, 2003, in accordance with generally 72280
accepted accounting principles, and such asset's adjusted basis on 72281
December 31, 2003. The book-tax difference may be a negative 72282
number.72283

        (5) Solely for purposes of division (A)(1)(a) of this 72284
section, "tax year" has the same meaning as used in section 72285
5727.01 of the Revised Code.72286

       (B) In computing net income under division (I) of section 72287
5733.04 of the Revised Code, a qualifying telephone company 72288
taxpayer shall adjust net income to reflect a ten-year 72289
amortization of the book-tax difference for each qualifying 72290
telephone company asset, in equal installments over each of the 72291
ten tax years beginning with 2010. If the net book value exceeds 72292
the adjusted basis of the asset as of December 31, 2003, net 72293
income shall be reduced in each of the ten years beginning with 72294
tax year 2010 by one-tenth of the book-tax difference. If the 72295
adjusted basis exceeds the net book value of the asset as of 72296
December 31, 2003, net income shall be increased in each of the 72297
ten years beginning with tax year 2010 by one-tenth of the 72298
absolute value of the book-tax difference. The adjustment to net 72299
income provided for by this division shall apply without regard to 72300
the disposal of those assets after December 31, 2003.72301

       (C) The allocation and apportionment of this amortization of 72302
the book-tax difference under this section shall be governed by 72303
division (B) of section 5733.05 and by section 5733.051 of the 72304
Revised Code. The tax commissioner may prescribe rules regarding 72305
the apportionment of the amortization of the book-tax difference 72306
under this section.72307

       (D) Nothing in this section shall allow for an adjustment 72308
more than once with respect to the same qualifying asset or allow 72309
more than one corporation to claim an adjustment with respect to 72310
the same qualifying telephone company asset.72311

       Sec. 5733.06.  The tax hereby charged each corporation72312
subject to this chapter shall be the greater of the sum of72313
divisions (A) and (B) of this section, after the reduction, if72314
any, provided by division (J) of this section, or division (C) of72315
this section, after the reduction, if any, provided by division72316
(J) of this section, except that the tax hereby charged each72317
financial institution subject to this chapter shall be the amount72318
computed under division (D) of this section:72319

       (A) Except as set forth in division (F) of this section, five 72320
and one-tenth per cent upon the first fifty thousand dollars of 72321
the value of the taxpayer's issued and outstanding shares of stock 72322
as determined under division (B) of section 5733.05 of the Revised 72323
Code;72324

       (B) Except as set forth in division (F) of this section,72325
eight and one-half per cent upon the value so determined in excess72326
of fifty thousand dollars; or72327

       (C)(1) Except as otherwise provided under division (G) of72328
this section, four mills times that portion of the value of the72329
issued and outstanding shares of stock as determined under72330
division (C) of section 5733.05 of the Revised Code. For the72331
purposes of division (C) of this section, division (C)(2) of72332
section 5733.065, and division (C) of section 5733.066 of the72333
Revised Code, the value of the issued and outstanding shares of72334
stock of an eligible corporation for tax year 2003 through tax72335
year 2007, or of a qualified holding company, is zero.72336

       (2) As used in division (C) of this section, "eligible72337
corporation" means a person treated as a corporation for federal72338
income tax purposes that meets all of the following criteria:72339

       (a) The corporation conducts business for an entire taxable72340
year as a qualified trade or business as defined by division (C)72341
of section 122.15 of the Revised Code.72342

       (b) The corporation uses more than fifty per cent of the72343
corporation's assets, based on net book value, that are located in72344
Ohio solely to conduct activities that constitute a qualified72345
trade or business as defined by section 122.15 of the Revised72346
Code.72347

       (c) The corporation has been formed or organized not more72348
than three years before the report required to be filed by section72349
5733.02 of the Revised Code is due, without regard to any72350
extensions.72351

       (d) The corporation is not a related member, as defined in72352
section 5733.042 of the Revised Code, at any time during the72353
taxable year with respect to another person treated as a72354
corporation for federal income tax purposes. A corporation is not72355
a related member if during the entire taxable year at least72356
seventy-five per cent of the corporation's stock is owned directly72357
or through a pass-through entity by individuals, estates, and72358
grantor trusts, and the individuals, estates, and grantor trusts72359
do not directly or indirectly own more than twenty per cent of the72360
value of another person treated as a corporation for federal72361
income tax purposes that is conducting a qualified trade or72362
business.72363

       (D) The tax charged each financial institution subject to72364
this chapter shall be that portion of the value of the issued and72365
outstanding shares of stock as determined under division (A) of72366
section 5733.05 of the Revised Code, multiplied by the following72367
amounts:72368

       (1) For tax years prior to the 1999 tax year, fifteen mills;72369

       (2) For the 1999 tax year, fourteen mills;72370

       (3) For tax year 2000 and thereafter, thirteen mills.72371

       (E) No tax shall be charged from any corporation that has72372
been adjudicated bankrupt, or for which a receiver has been72373
appointed, or that has made a general assignment for the benefit72374
of creditors, except for the portion of the then current tax year72375
during which the tax commissioner finds such corporation had the72376
power to exercise its corporate franchise unimpaired by such72377
proceedings or act. The minimum payment for all corporationseach 72378
corporation shall be fifty dollarsas follows:72379

       (1) One thousand dollars in the case of a corporation having 72380
gross receipts for the taxable year equal to at least five million 72381
dollars from activities within or outside this state or in the 72382
case of a corporation employing at least three hundred employees 72383
at some time during the taxable year within or outside this state;72384

       (2) Fifty dollars in the case of any other corporation.72385

       The tax charged to corporations under this chapter for the72386
privilege of engaging in business in this state, which is an72387
excise tax levied on the value of the issued and outstanding72388
shares of stock, shall in no manner be construed as prohibiting or72389
otherwise limiting the powers of municipal corporations, joint72390
economic development zones created under section 715.691 of the72391
Revised Code, and joint economic development districts created72392
under section 715.70 or 715.71 or sections 715.72 to 715.81 of the72393
Revised Code in this state to impose an income tax on the income72394
of such corporations.72395

       (F) If two or more taxpayers satisfy the ownership or control 72396
requirements of division (A) of section 5733.052 of the Revised 72397
Code, each such taxpayer shall substitute "the taxpayer's pro-rata 72398
amount" for "fifty thousand dollars" in divisions (A) and (B) of 72399
this section. For purposes of this division, "the taxpayer's 72400
pro-rata amount" is an amount that, when added to the other such72401
taxpayers' pro-rata amounts, does not exceed fifty thousand 72402
dollars. For the purpose of making that computation, the72403
taxpayer's pro-rata amount shall not be less than zero. Nothing in 72404
this division derogates from or eliminates the requirement to make 72405
the alternative computation of tax under division (C) of this72406
section.72407

       (G) The tax liability of any corporation under division (C)72408
of this section shall not exceed one hundred fifty thousand72409
dollars.72410

       (H)(1) For the purposes of division (H) of this section,72411
"exiting corporation" means a corporation that satisfies all of72412
the following conditions:72413

       (a) The corporation had nexus with or in this state under the 72414
Constitution of the United States during any portion of a calendar 72415
year;72416

       (b) The corporation was not a corporation described in72417
division (A) of section 5733.01 of the Revised Code on the first72418
day of January immediately following that calendar year;72419

       (c) The corporation was not a financial institution on the72420
first day of January immediately following that calendar year;72421

       (d) If the corporation was a transferor as defined in section 72422
5733.053 of the Revised Code, the corporation's transferee was not 72423
required to add to the transferee's net income the income of the 72424
transferor pursuant to division (B) of that section;72425

       (e) During any portion of that calendar year, or any portion72426
of the immediately preceding calendar year, the corporation had72427
net income that was not included in a report filed by the72428
corporation or its transferee pursuant to section 5733.02,72429
5733.021, 5733.03, 5733.031, or 5733.053 of the Revised Code;72430

       (f) The corporation would have been subject to the tax72431
computed under divisions (A), (B), (C), (F), and (G) of this72432
section if the corporation is assumed to be a corporation72433
described in division (A) of section 5733.01 of the Revised Code72434
on the first day of January immediately following the calendar72435
year to which division (H)(1)(a) of this section refers.72436

       (2) For the purposes of division (H) of this section,72437
"unreported net income" means net income that was not previously72438
included in a report filed pursuant to section 5733.02, 5733.021,72439
5733.03, 5733.031, or 5733.053 of the Revised Code and that was72440
realized or recognized during the calendar year to which division 72441
(H)(1) of this section refers or the immediately preceding72442
calendar year.72443

       (3) Each exiting corporation shall pay a tax computed by72444
first allocating and apportioning the unreported net income72445
pursuant to division (B) of section 5733.05 and section 5733.05172446
and, if applicable, section 5733.052 of the Revised Code. The72447
exiting corporation then shall compute the tax due on its72448
unreported net income allocated and apportioned to this state by72449
applying divisions (A), (B), and (F) of this section to that72450
income.72451

       (4) Divisions (C) and (G) of this section, division (D)(2) of 72452
section 5733.065, and division (C) of section 5733.066 of the72453
Revised Code do not apply to an exiting corporation, but exiting72454
corporations are subject to every other provision of this chapter.72455

       (5) Notwithstanding division (B) of section 5733.01 or72456
sections 5733.02, 5733.021, and 5733.03 of the Revised Code to the72457
contrary, each exiting corporation shall report and pay the tax72458
due under division (H) of this section on or before the72459
thirty-first day of May immediately following the calendar year to 72460
which division (H)(1)(a) of this section refers. The exiting72461
corporation shall file that report on the form most recently72462
prescribed by the tax commissioner for the purposes of complying72463
with sections 5733.02 and 5733.03 of the Revised Code. Upon72464
request by the corporation, the tax commissioner may extend the72465
date for filing the report.72466

       (6) If, on account of the application of section 5733.053 of72467
the Revised Code, net income is subject to the tax imposed by72468
divisions (A) and (B) of this section, such income shall not be72469
subject to the tax imposed by division (H)(3) of this section.72470

       (7) The amendments made to division (H) of this section by72471
Am. Sub. S.B. 287 of the 123rd general assembly do not apply to72472
any transfer, as defined in section 5733.053 of the Revised Code,72473
for which negotiations began prior to January 1, 2001, and that72474
was commenced in and completed during calendar year 2001, unless72475
the taxpayer makes an election prior to December 31, 2001, to72476
apply those amendments.72477

       (8) The tax commissioner may adopt rules governing division72478
(H) of this section.72479

       (I) Any reference in the Revised Code to "the tax imposed by72480
section 5733.06 of the Revised Code" or "the tax due under section72481
5733.06 of the Revised Code" includes the taxes imposed under72482
sections 5733.065 and 5733.066 of the Revised Code.72483

       (J)(1) Division (J) of this section applies solely to a72484
combined company. Section 5733.057 of the Revised Code shall apply 72485
when calculating the adjustments required by division (J) of this 72486
section.72487

       (2) Subject to division (J)(4) of this section, the total tax 72488
calculated in divisions (A) and (B) of this section shall be72489
reduced by an amount calculated by multiplying such tax by a72490
fraction, the numerator of which is the total taxable gross72491
receipts attributed to providing public utility activity other72492
than as an electric company under section 5727.03 of the Revised72493
Code for the year upon which the taxable gross receipts are72494
measured immediately preceding the tax year, and the denominator72495
of which is the total gross receipts from all sources for the year72496
upon which the taxable gross receipts are measured immediately72497
preceding the tax year. Nothing herein shall be construed to72498
exclude from the denominator any item of income described in72499
section 5733.051 of the Revised Code.72500

       (3) Subject to division (J)(4) of this section, the total tax 72501
calculated in division (C) of this section shall be reduced by an 72502
amount calculated by multiplying such tax by the fraction72503
described in division (J)(2) of this section.72504

       (4) In no event shall the reduction provided by division72505
(J)(2) or (J)(3) of this section exceed the amount of the excise72506
tax paid in accordance with section 5727.38 of the Revised Code,72507
for the year upon which the taxable gross receipts are measured72508
immediately preceding the tax year.72509

       Sec. 5733.0611.  (A) There is hereby allowed a nonrefundable 72510
credit against the tax imposed under section 5733.06 of the 72511
Revised Code. The credit shall be equal to the taxpayer's 72512
proportionate share of the lesser of either the tax due or the tax 72513
paid by any qualifying entity under section 5733.41 of the Revised 72514
Code for the qualifying taxable year of the qualifying entity that 72515
ends in the taxable year of the taxpayer. The taxpayer shall claim 72516
the credit for the taxpayer's taxable year in which ends the 72517
qualifying entity's qualifying taxable year.72518

       In claiming the credit and determining its proportionate 72519
share of the tax due and the tax paid by the qualifying entity, 72520
the person claiming the credit shall follow the concepts set forth 72521
in subchapter K of the Internal Revenue Code. Nothing in this 72522
division shall be construed to limit or disallow pass-through 72523
treatment of a pass-through entity's income, deductions, credits, 72524
or other amounts necessary to compute the tax imposed and the 72525
credits allowed under this chapter.72526

       The credit shall be claimed in the order required under 72527
section 5733.98 of the Revised Code. Any unused credit shall be 72528
allowed as a credit in the ensuing tax year. Any such amount72529
allowed as a credit in an ensuing tax year shall be deducted from 72530
the balance carried forward to the next ensuing tax year.72531

       (B) Any person that is not a taxpayer solely by reason of 72532
division (A) or (C) of section 5733.09 of the Revised Code or a 72533
person described in section 501(c) of the Internal Revenue Code or 72534
division (F) of section 3334.01 of the Revised Code, but that 72535
would be entitled to claim the nonrefundable credit under this 72536
section if that person were a taxpayer, may file an application 72537
for refund pursuant to section 5733.12 of the Revised Code. Upon 72538
proper application for refund under that section, the tax72539
commissioner shall issue a refund in the amount of the credit to72540
which that person would have been entitled under division (A)(1) 72541
of this section if the person had been a taxpayer, and as if the72542
credit were a refundable credit.72543

       (C) If an organization described in section 401(a) of the72544
Internal Revenue Code or a trust or fund is entitled to a 72545
proportionate share of the lesser of either the tax due or the tax 72546
paid by any qualifying entity under section 5733.41 of the Revised 72547
Code, and if that proportionate share is then or could be 72548
allocable to an exempt person as defined in division (D) of this 72549
section, then the organization, trust, or fund may file an 72550
application for refund with respect to such allocable amounts 72551
pursuant to section 5733.12 of the Revised Code. Upon proper 72552
application for refund under that section, the tax commissioner 72553
shall issue a refund in the amount of the credit to which the72554
organization, trust, or fund would have been entitled under 72555
division (A)(1) of this section had the organization, trust, or 72556
fund been a taxpayer, and as if the credit were a refundable 72557
credit. To the extent that such an organization, trust, or fund is72558
permitted to apply for a refund under this division, or to the72559
extent that such an organization, trust, or fund has applied for 72560
such a refund, exempt persons are not entitled to the credit 72561
authorized under this section or section 5747.059 of the Revised 72562
Code.72563

       (D)(1) For the purposes of division (C) of this section only, 72564
"exempt person" means any of the following:72565

       (a) A person that is or may be the beneficiary of a trust if 72566
the trust is subject to Subchapter D of Chapter 1 of Subtitle A of 72567
the Internal Revenue Code.72568

       (b) A person that is or may be the beneficiary of or the 72569
recipient of payments from a nuclear decommissioning reserve fund, 72570
a designated settlement fund, or any other trust or fund 72571
established to resolve and satisfy claims that may otherwise be 72572
asserted by the beneficiary or a member of the beneficiary's 72573
family. Sections 267(c)(4), 468A(e), and 468B(d)(2) of the 72574
Internal Revenue Code apply to the determination of whether such a 72575
person is an exempt person under division (D) of this section.72576

       (c) A person, other than a person that is treated as a C72577
corporation for federal income tax purposes, who is or may be the72578
beneficiary of a trust that, under its governing instrument, is72579
not required to distribute all of its income currently. Division 72580
(D)(1)(c) of this section applies only if the trust irrevocably 72581
agrees that for the taxable year during or for which the trust72582
distributes any of its income to any of the beneficiaries, the72583
trust is a qualifying trust as defined in section 5733.40 of the 72584
Revised Code and will pay the estimated tax, and will withhold and 72585
pay the withheld tax as required under section 5733.41 and 72586
sections 5747.40 to 5747.453 of the Revised Code.72587

       (2) An exempt person does not include any person that would 72588
not qualify as an exempt person under the doctrines of "economic 72589
reality," "sham transaction," "step doctrine," or "substance over 72590
form." Notwithstanding sections 5733.111 and 5747.131section 72591
5703.56 of the Revised Code to the contrary, an organization, 72592
trust, or fund described in division (C) of this section bears the72593
burden of establishing by a preponderance of the evidence that any 72594
transaction giving rise to a claim for a refundable credit under 72595
this section does not have as a principal purpose a claim for that 72596
credit. Nothing in this section shall be construed to limit solely 72597
to this section the application of the doctrines referred to in 72598
division (D)(2) of this section.72599

       (E) Nothing in this section shall be construed to allow a 72600
refund more than once with respect to the taxes imposed under 72601
section 5733.41 or 5747.41 of the Revised Code.72602

       Sec. 5733.09.  (A) An(1) Except as provided in divisions 72603
(A)(2) and (3) of this section, an incorporated company, whether72604
foreign or domestic, owning and operating a public utility in this 72605
state, and required by law to file reports with the tax 72606
commissioner and to pay an excise tax upon its gross receipts, and 72607
insurance, fraternal, beneficial, bond investment, and other 72608
corporations required by law to file annual reports with the 72609
superintendent of insurance and dealers in intangibles, the shares 72610
of which are, or the capital or ownership in capital employed by 72611
such dealer is, subject to the taxes imposed by section 5707.03 of 72612
the Revised Code, shall not be subject to this chapter, except for 72613
sections 5733.031, 5733.042, 5733.05, 5733.052, 5733.053, 72614
5733.069, 5733.0611, 5733.40, 5733.41, and sections 5747.40 to72615
5747.453 of the Revised Code. However, for reports required to be 72616
filed under section 5725.14 of the Revised Code in 2003 and 72617
thereafter, nothing in this section shall be construed to exempt 72618
the property of any dealer in intangibles under section 5725.13 of 72619
the Revised Code from the tax imposed under section 5707.03 of the 72620
Revised Code. An72621

       (2) An electric company subject to the filing requirements of72622
section 5727.08 of the Revised Code or otherwise having nexus with72623
or in this state under the Constitution of the United States, or72624
any other corporation having any gross receipts directly72625
attributable to providing public utility service as an electric72626
company or having any property directly attributable to providing72627
public utility service as an electric company, is subject to this72628
chapter.72629

       (3) A telephone company that no longer pays an excise tax 72630
under section 5727.30 of the Revised Code on its gross receipts 72631
billed after June 30, 2004, is first subject to taxation under 72632
this chapter for tax year 2005. For that tax year, a telephone 72633
company with a taxable year ending in 2004 shall compute the tax 72634
imposed under this chapter, and shall compute the net operating 72635
loss carry forward for tax year 2005, by multiplying the tax owed 72636
under this chapter, net of all nonrefundable credits, or the loss 72637
for the taxable year, by fifty per cent.72638

       (B) A corporation that has made an election under subchapter72639
S, chapter one, subtitle A, of the Internal Revenue Code for its72640
taxable year under such code is exempt from the tax imposed by72641
section 5733.06 of the Revised Code that is based on that taxable72642
year.72643

       A corporation that makes such an election shall file a notice72644
of such election with the tax commissioner between the first day72645
of January and the thirty-first day of March of each tax year that72646
the election is in effect.72647

       (C) An entity defined to be a "real estate investment trust"72648
by section 856 of the Internal Revenue Code, a "regulated72649
investment company" by section 851 of the Internal Revenue Code,72650
or a "real estate mortgage investment conduit" by section 860D of72651
the Internal Revenue Code, is exempt from taxation for a tax year72652
as a corporation under this chapter and is exempt from taxation72653
for a return year as a dealer in intangibles under Chapter 5725.72654
of the Revised Code if it provides the report required by this72655
division. By the last day of March of the tax or return year the72656
entity shall submit to the tax commissioner the name of the entity72657
with a list of the names, addresses, and social security or72658
federal identification numbers of all investors, shareholders, and72659
other similar investors who owned any interest or invested in the72660
entity during the preceding calendar year. The commissioner may72661
extend the date by which the report must be submitted for72662
reasonable cause shown by the entity. The commissioner may72663
prescribe the form of the report required for exemption under this72664
division.72665

       (D)(1) As used in this division:72666

       (a) "Commercial printer" means a person primarily engaged in72667
the business of commercial printing. However, "commercial printer" 72668
does not include a person primarily engaged in the business of 72669
providing duplicating services using photocopy machines or other 72670
xerographic processes.72671

       (b) "Commercial printing" means printing by one or more72672
common processes such as letterpress, lithography, gravure,72673
screen, or digital imaging, and includes related activities such72674
as binding, platemaking, prepress operation, cartographic72675
composition, and typesetting.72676

       (c) "Contract for printing" means an oral or written72677
agreement for the purchase of printed materials produced by a72678
commercial printer.72679

       (d) "Intangible property located at the premises of a72680
commercial printer" means intangible property of any kind owned or72681
licensed by a customer of the commercial printer and furnished to72682
the commercial printer for use in commercial printing.72683

       (e) "Printed material" means any tangible personal property72684
produced or processed by a commercial printer pursuant to a72685
contract for printing.72686

       (f) "Related member" has the same meaning as in division72687
(A)(6) of section 5733.042 of the Revised Code without regard to72688
division (B) of that section.72689

       (2) Except as provided in divisions (D)(3) and (4) of this72690
section, a corporation not otherwise subject to the tax imposed by72691
section 5733.06 of the Revised Code for a tax year does not become72692
subject to that tax for the tax year solely by reason of any one72693
or more of the following occurring in this state during the72694
taxable year that ends immediately prior to the tax year:72695

       (a) Ownership by the corporation or a related member of the72696
corporation of tangible personal property or intangible property72697
located during all or any portion of the taxable year or on the72698
first day of the tax year at the premises of a commercial printer72699
with which the corporation or the corporation's related member has72700
a contract for printing with respect to such property or the72701
premises of a commercial printer's related member with which the72702
corporation or the corporation's related member has a contract for72703
printing with respect to such property;72704

       (b) Sales by the corporation or a related member of the72705
corporation of property produced at and shipped or distributed72706
from the premises of a commercial printer with which the72707
corporation or the corporation's related member has a contract for72708
printing with respect to such property or the premises of a72709
commercial printer's related member with which the corporation or72710
the corporation's related member has a contract for printing with72711
respect to such property;72712

       (c) Activities of employees, officers, agents, or contractors 72713
of the corporation or a related member of the corporation on the 72714
premises of a commercial printer with which the corporation or the 72715
corporation's related member has a contract for printing or the 72716
premises of a commercial printer's related member with which the 72717
corporation or the corporation's related member has a contract for 72718
printing, where the activities are directly and solely related to 72719
quality control, distribution, or printing services, or any 72720
combination thereof, performed by or at the direction of the 72721
commercial printer or the commercial printer's related member.72722

       (3) The exemption under this division does not apply for a72723
taxable year to any corporation having on the first day of January72724
of the tax year or at any time during the taxable year ending72725
immediately preceding the first day of January of the tax year a72726
related member which, on the first day of January of the tax year72727
or during any portion of such taxable year of the corporation, has72728
nexus in or with this state under the Constitution of the United72729
States or holds a certificate of compliance with the laws of this72730
state authorizing it to do business in this state.72731

       (4) With respect to allowing the exemption under this72732
division, the tax commissioner shall be guided by the doctrines of72733
"economic reality," "sham transaction," "step transaction," and72734
"substance over form." A corporation shall bear the burden of72735
establishing by a preponderance of the evidence that any72736
transaction giving rise to an exemption claimed under this72737
division did not have as a principal purpose the avoidance of any72738
portion of the tax imposed by section 5733.06 of the Revised Code.72739

       Application of the doctrines listed in division (D)(4) of72740
this section is not limited to this division.72741

       Sec. 5733.121.  If a corporation entitled to a refund under72742
section 5733.11 or 5733.12 of the Revised Code is indebted to this 72743
state for any tax, workers' compensation premium due under section 72744
4123.35 of the Revised Code, unemployment compensation 72745
contribution due under section 4141.25 of the Revised Code, or 72746
unemployment compensation payment in lieu of contribution under 72747
section 4141.241 of the Revised Code or fee administered by the 72748
tax commissioner that is paid to the state or to the clerk of 72749
courts pursuant to section 4505.06 of the Revised Code, or any 72750
charge, penalty, or interest arising from such a tax, workers' 72751
compensation premium, unemployment compensation contribution, or 72752
unemployment compensation payment in lieu of contribution under 72753
section 4141.241 of the Revised Code or fee, the amount refundable 72754
may be applied in satisfaction of the debt. If the amount72755
refundable is less than the amount of the debt, it may be applied 72756
in partial satisfaction of the debt. If the amount refundable is72757
greater than the amount of the debt, the amount remaining after 72758
satisfaction of the debt shall be refunded. If the corporation has 72759
more than one such debt, any debt subject to section 5739.33 or 72760
division (G) of section 5747.07 of the Revised Code shall be 72761
satisfied first. This section applies only to debts that have 72762
become final.72763

       The tax commissioner may, with the consent of the taxpayer,72764
provide for the crediting, against tax due for any tax year, of72765
the amount of any refund due the taxpayer under this chapter for a 72766
preceding tax year.72767

       Sec. 5733.18.  Annually, on the day fixed for the payment of72768
any excise or franchise tax required to be paid by law, such tax,72769
together with any penalties subsequently accruing thereon, shall72770
become a lien on all property in this state of a corporation,72771
whether such property is employed by the corporation in the72772
prosecution of its business or is in the hands of an assignee,72773
trustee, or receiver for the benefit of the creditors and72774
stockholders. Such lien shall continue until such taxes, together72775
with any penalties subsequently accruing, are paid.72776

       Upon failure of such corporation to pay such tax on the day72777
fixed for payment, the tax commissioner may file, for which filing 72778
no fee shall be charged, in the office of the county recorder in 72779
each county in this state in which such corporation owns or has a 72780
beneficial interest in real estate, notice of such lien containing 72781
a brief description of such real estate. Such lien shall not be 72782
valid as against any mortgagee, purchaser, or judgment creditor 72783
whose rights have attached prior to the time such notice is so 72784
filed in the county in which the real estate which is the subject 72785
of such mortgage, purchase, or judgment lien is located. Such 72786
notice shall be recorded in a book kept by the recorder, called 72787
the corporation franchise lien record, and indexed under the name 72788
of the corporation charged with such tax. When such tax, together 72789
with any penalties subsequently accruing thereon, has been paid, 72790
the tax commissioner shall furnish to the corporation an 72791
acknowledgment of such payment which the corporation may record 72792
with the recorder of each county in which notice of such lien has 72793
been filed, for which recording the recorder shall charge and 72794
receive a base fee of two dollars for services and a housing trust 72795
fund fee of two dollars pursuant to section 317.36 of the Revised 72796
Code.72797

       Sec. 5733.22.  (A)(1) Any corporation whose articles of72798
incorporation or license certificate to do or transact business in72799
this state has been canceled by the secretary of state pursuant to72800
section 5733.20 of the Revised Code for failure to make any report72801
or return or to pay any tax or fee, shall be reinstated and again72802
entitled to exercise its rights, privileges, and franchises in72803
this state, and the secretary of state shall cancel the entry of72804
cancellation to exercise its rights, privileges, and franchises72805
upon compliance with all of the following:72806

       (a) Payment to the secretary of state of any additional fees72807
and penalties required to be paid to the secretary of state;72808

       (b) Filing with the secretary of state a certificate from the 72809
tax commissioner that it has complied with all the requirements of 72810
law as to franchise or excise tax reports and paid all franchise 72811
or excise taxes, fees, or penalties due thereon for every year of 72812
its delinquency;72813

       (c) Payment to the secretary of state of an additional fee of 72814
ten dollars.72815

       (2) The applicant for reinstatement shall be required by the72816
secretary of state, as a condition prerequisite to such72817
reinstatement, to amend its articles by changing its name if all72818
of the following apply:72819

       (a) The reinstatement is not made within one year from the72820
date of the cancellation of its articles of incorporation or date72821
of the cancellation of its license to do business;72822

       (b) It appears that the applicant's articles of incorporation 72823
or license certificate has been issued to another entity and is 72824
not distinguishable upon the record from the name of the 72825
applicant;72826

       (c) It appears that the articles of organization of a limited72827
liability company, registration of a foreign limited liability 72828
company, certificate of limited partnership, registration of a72829
foreign limited partnership, registration of a domestic or foreign 72830
limited liability partnership, or registration of a trade name has 72831
been issued to another entity and is not distinguishable upon the 72832
record from the name of the applicant. A certificate of 72833
reinstatement may be filed in the recorder's office of any county 72834
in the state, for which the recorder shall charge and collect a 72835
base fee of three dollars for services and a housing trust fund 72836
fee of three dollars pursuant to section 317.36 of the Revised 72837
Code.72838

       Any officer, shareholder, creditor, or receiver of any such72839
corporation may at any time take all steps required by this72840
section to effect such reinstatement.72841

       (B) The rights, privileges, and franchises of a corporation72842
whose articles of incorporation have been reinstated in accordance72843
with this section, are subject to section 1701.922 of the Revised72844
Code.72845

       (C) Notwithstanding a violation of section 5733.21 of the72846
Revised Code, upon reinstatement of a corporation's articles of72847
incorporation in accordance with this section, neither section72848
5733.20 nor section 5733.21 of the Revised Code shall be applied72849
to invalidate the exercise or attempt to exercise any right,72850
privilege, or franchise on behalf of the corporation by an72851
officer, agent, or employee of the corporation after cancellation72852
and prior to the reinstatement of the articles, if the conditions72853
set forth in divisions (B)(1)(a) and (b) of section 1701.922 of72854
the Revised Code are met.72855

       Sec. 5733.45. (A) For purposes of this section, a "qualifying 72856
dealer in intangibles" is a dealer in intangibles that is a member 72857
of a qualifying controlled group of which a financial institution 72858
is also a member on the first day of the financial institution's 72859
tax year.72860

       (B) For tax years 2002 and thereafter, there is hereby72861
allowed to each financial institution a nonrefundable credit72862
against the tax imposed by section 5733.06 of the Revised Code.72863
The amount of the credit shall be computed in accordance with72864
division (C) of this section. The credit shall be claimed in the72865
order prescribed by section 5733.98 of the Revised Code. The72866
credit shall not exceed the amount of tax otherwise due under72867
section 5733.06 of the Revised Code after deducting any other72868
credits that precede the credit claimed under this section in that72869
order.72870

       (C) Subject to division (D) of this section, the amount of72871
the nonrefundable credit is the lesser of the amount described in72872
division (C)(1) of this section or the amount described in72873
division (C)(2) of this section.72874

       (1) The amount of tax that a qualifying dealer in intangibles 72875
paid under Chapter 5707. of the Revised Code during the calendar 72876
year immediately preceding the financial institution's tax year. 72877
Such amount shall be reduced, but not below zero, by any refunds 72878
of such tax received by the qualifying dealer in intangibles under 72879
Chapter 5703. of the Revised Code during that calendar year.72880

       (2) The product of the amounts described in division72881
(C)(2)(a) to (C)(2)(c) of this section. The amount described in72882
division (C)(2)(a) of this section shall be ascertained on the72883
last day of the financial institution's taxable year immediately72884
preceding the tax year.72885

       (a) The cost of the financial institution's direct investment 72886
in the capital stock of the qualifying dealer in intangibles. The 72887
cost does not include any appreciation or goodwill to the extent 72888
those amounts are allowed as an exempted asset on the financial 72889
institution's annual report.72890

       (b) The ratio described in section 5725.15 of the Revised72891
Code for the calendar year immediately preceding the financial72892
institution's tax year;72893

       (c) The tax rate imposed under division (D) of section72894
5707.03 of the Revised Code for the calendar year immediately72895
preceding the financial institution's tax year.72896

       (D)(1) The principles and concepts set forth in section72897
5733.057 of the Revised Code shall apply to ascertain if a dealer72898
in intangibles is a member of a qualifying controlled group of72899
which the financial institution also is a member and to ascertain72900
the cost of the financial institution's direct investment in the72901
capital stock of the qualifying dealer in intangibles.72902

       (2) Notwithstanding section 5733.1115703.56 of the Revised 72903
Code to the contrary, a financial institution claiming the credit 72904
provided by this section has the burden to establish by a 72905
preponderance of the evidence that none of the doctrines 72906
enumerated in that section would apply to deny to the financial 72907
institution all or a part of the credit otherwise provided by this 72908
section.72909

       (E) For tax years 2002 and 2003, the credit allowed by this72910
section applies only if the qualifying dealer in intangibles on72911
account of which the financial institution is claiming the credit72912
submits to the Tax Commissionertax commissioner, not later than72913
January 15, 2002, a written statement that the qualifying dealer72914
in intangibles irrevocably agrees that it will not seek a refund72915
of the tax paid by the dealer under section 5707.03 of the Revised72916
Code in 2000 and 2001, and irrevocably agrees to continue paying72917
that tax in 2002, regardless of the amendment of section 5725.2672918
of the Revised Code by Am. Sub. H.B. 405 of the 124th general72919
assembly.72920

       Sec. 5733.49. Upon the issuance of a tax credit certificate72921
by the Ohio venture capital authority under section 150.07 of the72922
Revised Code, a credit may be claimed against the tax imposed by72923
section 5733.06 of the Revised Code. The credit shall be claimed72924
for the tax year specified in the certificate issued by the72925
authority and in the order required under section 5733.98 of the72926
Revised Code. If the taxpayer elected a refundable credit under72927
section 150.07 of the Revised Code, and the amount of the credit72928
shown on the certificate exceeds the tax otherwise due under72929
sections 5733.06, 5733.065, and 5733.066 of the Revised Code after72930
all credits, including the credit allowed under this section, are72931
deducted in that order, the taxpayer shall receive a refund equal72932
to seventy-five per cent of that excess. If the taxpayer elected a 72933
nonrefundable credit, the amount of the credit, claimed in that72934
order, shall not exceed the tax otherwise due under those sections72935
after all the taxpayer's credits are deducted in that order. If 72936
the taxpayer elected a nonrefundable credit and the credit to 72937
which the taxpayer would otherwise be entitled under this section 72938
for any tax year is greater than the tax otherwise due under 72939
sections 5733.06, 5733.065, and 5733.066 of the Revised Code, 72940
after allowing for any other credits that precede the credit 72941
allowed under this section, the excess shall be allowed as a 72942
credit in each of the ensuing ten tax years, but the amount of any 72943
excess credit allowed in the ensuing tax year shall be deducted 72944
from the balance carried forward to the next tax year.72945

       Sec. 5733.55.  (A) As used in this section:72946

       (1) "9-1-1 system" has the same meaning as in section 4931.40 72947
of the Revised Code.72948

       (2) "Nonrecurring 9-1-1 charges" means nonrecurring charges 72949
approved by the public utilities commission for the telephone 72950
network portion of a 9-1-1 system pursuant to section 4931.47 of 72951
the Revised Code.72952

       (3) "Eligible nonrecurring 9-1-1 charges" means all 72953
nonrecurring 9-1-1 charges for a 9-1-1 system, except:72954

       (a) Charges for a system that was not established pursuant to 72955
a plan adopted under section 4931.44 of the Revised Code or an 72956
agreement under section 4931.48 of the Revised Code;72957

       (b) Charges for that part of a system established pursuant to 72958
such a plan or agreement that are excluded from the credit by 72959
division (C)(2) of section 4931.47 of the Revised Code.72960

       (4) "Telephone company" has the same meaning as in section 72961
5727.01 of the Revised Code.72962

       (B) Beginning in tax year 2005, a telephone company shall be 72963
allowed a nonrefundable credit against the tax imposed by section 72964
5733.06 of the Revised Code equal to the amount of its eligible 72965
nonrecurring 9-1-1 charges. The credit shall be claimed for the 72966
company's taxable year that covers the period in which the 9-1-1 72967
service for which the credit is claimed becomes available for use. 72968
The credit shall be claimed in the order required by section 72969
5733.98 of the Revised Code. If the credit exceeds the total taxes 72970
due under section 5733.06 of the Revised Code for the tax year, 72971
the commissioner shall credit the excess against taxes due under 72972
that section for succeeding tax years until the full amount of the 72973
credit is granted.72974

       (C) After the last day a return, with any extensions, may be 72975
filed by any telephone company that is eligible to claim a credit 72976
under this section, the commissioner shall determine whether the 72977
sum of the credits allowed for prior tax years commencing with tax 72978
year 2005 plus the sum of the credits claimed for the current tax 72979
year exceeds fifteen million dollars. If it does, the credits 72980
allowed under this section for the current tax year shall be 72981
reduced by a uniform percentage such that the sum of the credits 72982
allowed for the current tax year do not exceed fifteen million 72983
dollars claimed by all telephone companies for all tax years. 72984
Thereafter, no credit shall be granted under this section, except 72985
for the remaining portions of any credits allowed under division 72986
(B) of this section.72987

       (D) A telephone company that is entitled to carry forward a 72988
credit against its public utility excise tax liability under 72989
section 5727.39 of the Revised Code is entitled to carry forward 72990
any amount of that credit remaining after its last public utility 72991
excise tax payment for the period of July 1, 2003, through June 72992
30, 2004, and claim that amount as a credit against its 72993
corporation franchise tax liability under this section. Nothing in 72994
this section authorizes a telephone company to claim a credit 72995
under this section for any eligible nonrecurring 9-1-1 charges for 72996
which it has already claimed a credit under section 5727.39 of the 72997
Revised Code.72998

       Sec. 5733.56.  Beginning in tax year 2005, a telephone 72999
company that provides any telephone service program to aid the 73000
communicatively impaired in accessing the telephone network under 73001
section 4905.79 of the Revised Code is allowed a nonrefundable 73002
credit against the tax imposed by section 5733.06 of the Revised 73003
Code. The amount of the credit is the cost incurred by the company 73004
for providing the telephone service program during its taxable 73005
year, excluding any costs incurred prior to July 1, 2004. If the 73006
tax commissioner determines that the credit claimed under this 73007
section by a telephone company was not correct, the commissioner 73008
shall determine the proper credit.73009

       A telephone company shall claim the credit in the order 73010
required by section 5733.98 of the Revised Code. If the credit 73011
exceeds the total taxes due under section 5733.06 of the Revised 73012
Code for the tax year, the commissioner shall credit the excess 73013
against taxes due under that section for succeeding tax years 73014
until the full amount of the credit is granted. Nothing in this 73015
section authorizes a telephone company to claim a credit under 73016
this section for any costs incurred for providing a telephone 73017
service program for which it is claiming a credit under former 73018
section 5727.44 of the Revised Code.73019

       Sec. 5733.57.  (A) As used in this section:73020

       (1) "Small telephone company" means a telephone company, 73021
existing as such as of January 1, 2003, with twenty-five thousand 73022
or fewer access lines as shown on the company's annual report 73023
filed under section 4905.14 of the Revised Code for the calendar 73024
year immediately preceding the tax year, and is an "incumbent 73025
local exchange carrier" under 47 U.S.C. 251(h).73026

       (2) "Gross receipts tax amount" means the product obtained by 73027
multiplying four and three-fourths per cent by the amount of a 73028
small telephone company's taxable gross receipts, excluding the 73029
deduction of twenty-five thousand dollars, that the tax 73030
commissioner would have determined under section 5727.33 of the 73031
Revised Code for that small telephone company for the annual 73032
period ending on the thirtieth day of June of the calendar year 73033
immediately preceding the tax year, as that section applied in the 73034
measurement period from July 1, 2002, to June 30, 2003.73035

       (3) "Applicable percentage" means one hundred per cent for 73036
tax year 2005; eighty per cent for tax year 2006; sixty per cent 73037
for tax year 2007; forty per cent for tax year 2008; twenty per 73038
cent for tax year 2009; and zero per cent for each subsequent tax 73039
year thereafter.73040

       (4) "Applicable amount" means the amount resulting from 73041
subtracting the gross receipts tax amount from the tax imposed by 73042
sections 5733.06, 5733.065, and 5733.066 of the Revised Code for 73043
the tax year, without regard to any credits available to the small 73044
telephone company.73045

       (B)(1) Except as provided in division (B)(2) of this section, 73046
beginning in tax year 2005, a small telephone company is hereby 73047
allowed a nonrefundable credit against the tax imposed by sections 73048
5733.06, 5733.065, and 5733.066 of the Revised Code, equal to the 73049
product obtained by multiplying the applicable percentage by the 73050
applicable amount. The credit shall be claimed in the order 73051
required by section 5733.98 of the Revised Code.73052

       (2) If the applicable amount for a tax year is less than 73053
zero, a small telephone company shall not be allowed for that tax 73054
year the credit provided under this section.73055

       Sec. 5733.98.  (A) To provide a uniform procedure for73056
calculating the amount of tax imposed by section 5733.06 of the73057
Revised Code that is due under this chapter, a taxpayer shall73058
claim any credits to which it is entitled in the following order,73059
except as otherwise provided in section 5733.058 of the Revised73060
Code:73061

       (1) The credit for taxes paid by a qualifying pass-through73062
entity allowed under section 5733.0611 of the Revised Code;73063

       (2) The credit allowed for financial institutions under73064
section 5733.45 of the Revised Code;73065

       (3) The credit for qualifying affiliated groups under section73066
5733.068 of the Revised Code;73067

       (4) The subsidiary corporation credit under section 5733.06773068
of the Revised Code;73069

       (5) The savings and loan assessment credit under section73070
5733.063 of the Revised Code;73071

       (6) The credit for recycling and litter prevention donations73072
under section 5733.064 of the Revised Code;73073

       (7) The credit for employers that enter into agreements with73074
child day-care centers under section 5733.36 of the Revised Code;73075

       (8) The credit for employers that reimburse employee child73076
day-care expenses under section 5733.38 of the Revised Code;73077

       (9) The credit for maintaining railroad active grade crossing73078
warning devices under section 5733.43 of the Revised Code;73079

       (10) The credit for purchases of lights and reflectors under73080
section 5733.44 of the Revised Code;73081

       (11) The job retention credit under division (B) of section73082
5733.0610 of the Revised Code;73083

       (12) The credit for losses on loans made under the Ohio 73084
venture capital program under sections 150.01 to 150.10 of ththe73085
Revised Code if the taxpayer elected a nonrefundable credit under 73086
section 150.07 of the Revised Code;73087

       (13) The credit for purchases of new manufacturing machinery73088
and equipment under section 5733.31 or section 5733.311 of the73089
Revised Code;73090

       (14) The second credit for purchases of new manufacturing73091
machinery and equipment under section 5733.33 of the Revised Code;73092

       (15) The job training credit under section 5733.42 of the73093
Revised Code;73094

       (16) The credit for qualified research expenses under section 73095
5733.351 of the Revised Code;73096

       (17) The enterprise zone credit under section 5709.66 of the73097
Revised Code;73098

       (18) The credit for the eligible costs associated with a73099
voluntary action under section 5733.34 of the Revised Code;73100

       (19) The credit for employers that establish on-site child73101
day-care under section 5733.37 of the Revised Code;73102

       (20) The ethanol plant investment credit under section73103
5733.46 of the Revised Code;73104

       (21) The credit for purchases of qualifying grape production73105
property under section 5733.32 of the Revised Code;73106

       (22) The export sales credit under section 5733.069 of the73107
Revised Code;73108

       (23) The credit for research and development and technology73109
transfer investors under section 5733.35 of the Revised Code;73110

       (24) The enterprise zone credits under section 5709.65 of the73111
Revised Code;73112

       (25) The credit for using Ohio coal under section 5733.39 of73113
the Revised Code;73114

       (26) The credit for small telephone companies under section 73115
5733.57 of the Revised Code;73116

       (27) The credit for eligible nonrecurring 9-1-1 charges under 73117
section 5733.55 of the Revised Code;73118

       (28) The credit for providing programs to aid the 73119
communicatively impaired under section 5733.56 of the Revised 73120
Code;73121

       (29) The refundable jobs creation credit under division (A)73122
of section 5733.0610 of the Revised Code;73123

       (27)(30) The refundable credit for tax withheld under73124
division (B)(2) of section 5747.062 of the Revised Code;73125

       (28)(31) The credit for losses on loans made to the Ohio 73126
venture capital program under sections 150.01 to 150.10 of the 73127
Revised Code if the taxpayer elected a refundable credit under 73128
section 150.07 of the Revised Code.73129

       (B) For any credit except the credits enumerated in divisions 73130
(A)(26), (27),(29), (30), and (28)(31) of this section, the amount 73131
of the credit for a tax year shall not exceed the tax due after 73132
allowing for any other credit that precedes it in the order 73133
required under this section. Any excess amount of a particular 73134
credit may be carried forward if authorized under the section 73135
creating that credit.73136

       Sec. 5735.05.  (A) To provide revenue for maintaining the73137
state highway system; to widen existing surfaces on such highways; 73138
to resurface such highways; to pay that portion of the73139
construction cost of a highway project which a county, township,73140
or municipal corporation normally would be required to pay, but73141
which the director of transportation, pursuant to division (B) of73142
section 5531.08 of the Revised Code, determines instead will be73143
paid from moneys in the highway operating fund; to enable the73144
counties of the state properly to plan, maintain, and repair their 73145
roads and to pay principal, interest, and charges on bonds and 73146
other obligations issued pursuant to Chapter 133. of the Revised 73147
Code for highway improvements; to enable the municipal73148
corporations to plan, construct, reconstruct, repave, widen,73149
maintain, repair, clear, and clean public highways, roads, and73150
streets, and to pay the principal, interest, and charges on bonds73151
and other obligations issued pursuant to Chapter 133. of the73152
Revised Code for highway improvements; to enable the Ohio turnpike 73153
commission to construct, reconstruct, maintain, and repair 73154
turnpike projects; to maintain and repair bridges and viaducts; to 73155
purchase, erect, and maintain street and traffic signs and 73156
markers; to purchase, erect, and maintain traffic lights and 73157
signals; to pay the costs apportioned to the public under sections 73158
4907.47 and 4907.471 of the Revised Code and to supplement revenue 73159
already available for such purposes; to pay the costs incurred by 73160
the public utilities commission in administering sections 4907.47 73161
to 4907.476 of the Revised Code; to distribute equitably among 73162
those persons using the privilege of driving motor vehicles upon 73163
such highways and streets the cost of maintaining and repairing 73164
them; to pay the interest, principal, and charges on highway 73165
capital improvements bonds and other obligations issued pursuant 73166
to Section 2m of Article VIII, Ohio Constitution, and section 73167
151.06 of the Revised Code; to pay the interest, principal, and 73168
charges on highway obligations issued pursuant to Section 2i of 73169
Article VIII, Ohio Constitution, and sections 5528.30 and 5528.31 73170
of the Revised Code; and to provide revenue for the purposes of 73171
sections 1547.71 to 1547.78 of the Revised Code; and to pay the 73172
expenses of the department of taxation incident to the 73173
administration of the motor fuel laws, a motor fuel excise tax is 73174
hereby imposed on all motor fuel dealers upon receipt of motor 73175
fuel within this state at the rate of two cents plus the cents per 73176
gallon rate on each gallon so received, to be computed in the 73177
manner set forth in section 5735.06 of the Revised Code; provided 73178
that no tax is hereby imposed upon the following transactions:73179

       (1) The sale of dyed diesel fuel by a licensed motor fuel 73180
dealer from a location other than a retail service station 73181
provided the licensed motor fuel dealer places on the face of the 73182
delivery document or invoice, or both if both are used, a 73183
conspicuous notice stating that the fuel is dyed and is not for 73184
taxable use, and that taxable use of that fuel is subject to a 73185
penalty. The tax commissioner, by rule, may provide that any 73186
notice conforming to rules or regulations issued by the United 73187
States department of the treasury or the Internal Revenue Service 73188
is sufficient notice for the purposes of division (A)(1) of this 73189
section.73190

       (2) The sale of K-1 kerosene to a retail service station, 73191
except when placed directly in the fuel supply tank of a motor73192
vehicle. Such sale shall be rebuttably presumed to not be 73193
distributed or sold for use or used to generate power for the 73194
operation of motor vehicles upon the public highways or upon the 73195
waters within the boundaries of this state.73196

       (3) The sale of motor fuel by a licensed motor fuel dealer to 73197
another licensed motor fuel dealer;73198

       (4) The exportation of motor fuel by a licensed motor fuel 73199
dealer from this state to any other state or foreign country;73200

       (5) The sale of motor fuel to the United States government or 73201
any of its agencies, except such tax as is permitted by it, where 73202
such sale is evidenced by an exemption certificate, in a form 73203
approved by the tax commissioner, executed by the United States 73204
government or an agency thereof certifying that the motor fuel 73205
therein identified has been purchased for the exclusive use of the 73206
United States government or its agency;73207

       (6) The sale of motor fuel whichthat is in the process of 73208
transportation in foreign or interstate commerce, except in so far73209
insofar as it may be taxable under the Constitution and statutes 73210
of the United States, and except as may be agreed upon in writing 73211
by the dealer and the commissioner;73212

       (7) The sale of motor fuel when sold exclusively for use in 73213
the operation of aircraft, where such sale is evidenced by an 73214
exemption certificate prescribed by the commissioner and executed 73215
by the purchaser certifying that the motor fuel purchased has been 73216
purchased for exclusive use in the operation of aircraft;73217

       (8) The sale for exportation of motor fuel by a licensed 73218
motor fuel dealer to a licensed exporter type A;73219

       (9) The sale for exportation of motor fuel by a licensed 73220
motor fuel dealer to a licensed exporter type B, provided that the 73221
destination state motor fuel tax has been paid or will be accrued 73222
and paid by the licensed motor fuel dealer.73223

       (10) The sale to a consumer of diesel fuel, by a motor fuel73224
dealer for delivery from a bulk lot vehicle, for consumption in 73225
operating a vessel when the use of such fuel in a vessel would 73226
otherwise qualify for a refund under section 5735.14 of the 73227
Revised Code.73228

       Division (A)(1) of this section does not apply to the sale or 73229
distribution of dyed diesel fuel used to operate a motor vehicle 73230
on the public highways or upon water within the boundaries of this 73231
state by persons permitted under regulations of the United States 73232
department of the treasury or of the Internal Revenue Service to 73233
so use dyed diesel fuel.73234

       (B) The two cent motor fuel tax levied by this section is 73235
also for the purpose of paying the expenses of administering and73236
enforcing the state law relating to the registration and operation 73237
of motor vehicles.73238

       (C) After the tax provided for by this section on the receipt 73239
of any motor fuel has been paid by the motor fuel dealer, the 73240
motor fuel may thereafter be used, sold, or resold by any person 73241
having lawful title to it, without incurring liability for such 73242
tax.73243

       If a licensed motor fuel dealer sells motor fuel received by73244
the licensed motor fuel dealer to another licensed motor fuel 73245
dealer, the seller may deduct on the report required by section 73246
5735.06 of the Revised Code the number of gallons so sold for the 73247
month within which the motor fuel was sold or delivered. In this 73248
event the number of gallons is deemed to have been received by the 73249
purchaser, who shall report and pay the tax imposed thereon.73250

       Sec. 5735.053. There is hereby created in the state treasury 73251
the motor fuel tax administration fund for the purpose of paying 73252
the expenses of the department of taxation incident to the 73253
administration of the motor fuel laws. After the treasurer of 73254
state credits the tax refund fund out of tax receipts as required 73255
by sections 5735.23, 5735.26, 5735.291, and 5735.30 of the Revised 73256
Code, the treasurer of state shall transfer to the motor fuel tax 73257
administration fund two hundred seventy-five one-thousandths per 73258
cent of the receipts from the taxes levied by sections 5735.05, 73259
5735.25, 5735.29, and 5735.30 of the Revised Code.73260

       Sec. 5735.14. (A) Any person who uses any motor fuel, on 73261
which the tax imposed by this chapter has been paid, for the 73262
purpose of operating stationary gas engines, tractors not used on 73263
public highways, unlicensed motor vehicles used exclusively in 73264
intraplant operations, vessels when used in trade, including 73265
vessels when used in connection with an activity that constitutes 73266
a person's chief business or means of livelihood or any other 73267
vessel used entirely for commercial purposes, vessels used for 73268
commercial fishing, vessels used by the sea scout department of 73269
the boy scouts of America chiefly for training scouts in 73270
seamanship, vessels used or owned by any railroad company, 73271
railroad car ferry company, the United States, this state, or any 73272
political subdivision of this state, or aircraft, or who uses any 73273
such fuel upon which such tax has been paid, for cleaning or for 73274
dyeing, or any purpose other than the operation of motor vehicles 73275
upon highways or upon waters within the boundaries of this state,73276
shall be reimbursed in the amount of the tax so paid on such motor 73277
fuel as provided in this section; provided, that any person 73278
purchasing motor fuel in this state on which taxes levied under 73279
Title LVII of the Revised Code have been paid shall be reimbursed 73280
for such taxes paid in this state on such fuel used by that person 73281
in another state on which a tax is paid for such usage, except 73282
such tax used as a credit against the tax levied by section 73283
5728.06 of the Revised Code. A person shall not be reimbursed for73284
taxes paid on fuel that is used while a motor vehicle is idling or 73285
used to provide comfort or safety in the operation of a motor 73286
vehicle. Sales of motor fuel, on which the tax imposed by this 73287
chapter has been paid, from one person to another do not 73288
constitute use of the fuel and are not subject to a refund under 73289
this section.73290

       Such(B) Any person who uses in this state any motor fuel 73291
with water intentionally added to the fuel, on which the taxes 73292
imposed by this chapter or Chapter 5728. of the Revised Code have 73293
been paid, shall be reimbursed in the amount of the taxes so paid 73294
on ninety-five per cent of the water. This division applies only 73295
to motor fuel that contains at least nine per cent water, by 73296
volume.73297

        (C) A person claiming reimbursement under this section shall 73298
file with the tax commissioner an application for refund within 73299
one year from the date of purchase, stating the quantity of fuel 73300
used for the refundable purposes other than the operation of motor 73301
vehiclesin division (A) or (B) of this section, except that no73302
person shall file a claim for the tax on fewer than one hundred73303
gallons of motor fuel. An application for refund filed for the 73304
purpose of division (B) of this section also shall state the 73305
quantity of water intentionally added to the motor fuel. No person 73306
shall claim reimbursement under that division on fewer than one 73307
hundred gallons of water. The application shall be accompanied by 73308
the statement described in section 5735.15 of the Revised Code 73309
showing such purchase, together with evidence of payment thereof.73310

       (D) After consideration of the application and statement, the73311
commissioner shall determine the amount of refund to which the73312
applicant is entitled. If the amount is not less than that73313
claimed, the commissioner shall certify the amount to the director73314
of budget and management and treasurer of state for payment from73315
the tax refund fund created by section 5703.052 of the Revised73316
Code. If the amount is less than that claimed, the commissioner 73317
shall proceed in accordance with section 5703.70 of the Revised 73318
Code.73319

       No refund shall be authorized or paid under this section on a73320
single claim for tax on fewer than one hundred gallons of motor73321
fuel. And, when water has been intentionally added to fuel, no 73322
refund shall be authorized or paid under this section on a single 73323
claim for tax on fewer than one hundred gallons of water. The 73324
commissioner may require that the application be supported by the 73325
affidavit of the claimant.73326

       The refund authorized by this section or section 5703.70 of73327
the Revised Code shall be reduced by the cents per gallon amount73328
of any qualified fuel credit received under section 5735.145 of73329
the Revised Code, as determined by the commissioner, for each73330
gallon of qualified fuel included in the total gallonage of motor73331
fuel upon which the refund is computed.73332

       (E) The right to receive any refund under this section or 73333
section 5703.70 of the Revised Code is not assignable. The payment 73334
of this refund shall not be made to any person other than the 73335
person originally entitled thereto who used the motor fuel upon 73336
which the claim for refund is based, except that such refunds,73337
when allowed and certified as provided in this section, may be 73338
paid to the executor, the administrator, the receiver, the trustee 73339
in bankruptcy, or the assignee in insolvency proceedings of such73340
person.73341

       Sec. 5735.142. (A)(1) Any person who uses any motor fuel, on 73342
which the tax imposed by sections 5735.05, 5735.25, and 5735.29 of 73343
the Revised Code has been paid, for the purpose of operating a 73344
transit bus shall be reimbursed in the amount of the tax paid on 73345
motor fuel used by public transportation systems providing transit 73346
or paratransit service on a regular and continuing basis within 73347
the state;73348

       (2) A city, exempted village, joint vocational, or local 73349
school district or educational service center that usespurchases73350
any motor fuel for school district or service center operations, 73351
on which any tax imposed by section 5735.29 of the Revised Code 73352
that became effective on or after July 1, 2003, has been paid, 73353
may, if an application is filed under this section, be reimbursed 73354
in the amount of all but two cents per gallon of thatthe total73355
tax imposed by such section and paid on motor fuel, used for 73356
providing transportation for pupils in a vehicle the district owns 73357
or leases.73358

       (B) Such person, school district, or educational service 73359
center shall file with the tax commissioner an application for 73360
refund within one year from the date of purchase, stating the 73361
quantity of fuel used for operating transit buses used by local 73362
transit systems in furnishing scheduled common carrier, public 73363
passenger land transportation service along regular routes73364
primarily in one or more municipal corporations or for operating 73365
vehicles used byfor school districts to transport pupilsdistrict 73366
or service center operations. However, no person shall file a73367
claim shall be made for the tax on fewer than one hundred gallons 73368
of motor fuel. A school district or educational service center 73369
shall not apply for a refund for any tax paid on motor fuel that 73370
is sold by the district or educational service center. The 73371
application shall be accompanied by the statement described in 73372
section 5735.15 of the Revised Code showing the purchase, together 73373
with evidence of payment thereof.73374

       (C) After consideration of the application and statement, the73375
commissioner shall determine the amount of refund to which the73376
applicant is entitled. If the amount is not less than that73377
claimed, the commissioner shall certify the amount to the director 73378
of budget and management and treasurer of state for payment from 73379
the tax refund fund created by section 5703.052 of the Revised 73380
Code. If the amount is less than that claimed, the commissioner 73381
shall proceed in accordance with section 5703.70 of the Revised 73382
Code.73383

       The commissioner may require that the application be73384
supported by the affidavit of the claimant. No refund shall be73385
authorized or ordered for any single claim for the tax on fewer73386
than one hundred gallons of motor fuel. No refund shall be 73387
authorized or ordered on motor fuel that is sold by a school 73388
district or educational service center.73389

       (D) The refund authorized by this section or section 5703.70 73390
of the Revised Code shall be reduced by the cents per gallon 73391
amount of any qualified fuel credit received under section 73392
5735.145 of the Revised Code, as determined by the commissioner, 73393
for each gallon of qualified fuel included in the total gallonage 73394
of motor fuel upon which the refund is computed.73395

       (E) The right to receive any refund under this section or 73396
section 5703.70 of the Revised Code is not assignable. The payment 73397
of this refund shall not be made to any person or entity other 73398
than the person or entity originally entitled thereto who used the 73399
motor fuel upon which the claim for refund is based, except that 73400
the refund when allowed and certified, as provided in this73401
section, may be paid to the executor, the administrator, the73402
receiver, the trustee in bankruptcy, or the assignee in insolvency73403
proceedings of the person.73404

       Sec. 5735.15.  When motor fuel is sold to a person who claims 73405
to be entitled to a refund under section 5735.14 or 5735.142 of 73406
the Revised Code, the seller of such motor fuel shall make out in 73407
duplicate on forms prescribed and supplied by the tax 73408
commissioner, which forms shall have printed thereonprovide to 73409
the person documentation that indicates that the liability to the 73410
state for the excise tax imposed under the motor fuel laws of this 73411
state on such motor fuel has been assumed by the seller, and that 73412
said excise tax has already been paid or will be paid by the 73413
seller when the same becomes payable, a statement setting. The 73414
documentation also shall set forth the name and address of the 73415
purchaser, the number of gallons of motor fuel sold, the price 73416
paid for or the price per gallon of the motor fuel sold, the 73417
proposed use for which such motor fuel is purchased, and such 73418
other information as the commissioner requires. When motor fuel is 73419
sold to a person who claims to be entitled to reimbursement under 73420
division (B) of section 5735.14 of the Revised Code, the 73421
documentation also shall state the number of gallons of water 73422
intentionally added to the motor fuel. The original of such 73423
statementdocumentation shall be given to the purchaser, and the 73424
duplicatea copy shall be retained by the seller.73425

       Sec. 5735.19. (A) The tax commissioner may examine, during 73426
the usual business hours of the day, the records, books, and 73427
papersinvoices, storage tanks, and any other equipment of any 73428
motor fuel dealer, retail dealer, exporter, terminal operator,73429
purchaser, or common carrier pertaining to motor fuel received, 73430
sold, shipped, or delivered, to determine whether the taxes 73431
imposed by this chapter have been paid and to verify the truth and 73432
accuracy of any statement, report, or return. The73433

       (B) The tax commissioner may, in the enforcement of the motor 73434
fuel laws of this state, hold hearings, take the testimony of any73435
person, issue subpoenas and compel the attendance of witnesses,73436
and conduct such investigations as the commissioner deems 73437
necessary, but no person shall disclose the information acquired 73438
by the commissioner under this section, except when required to do 73439
so in court. Such information or evidence is not privileged when 73440
used by the state or any officer thereof in any proceeding for the73441
collection of the tax, or any prosecution for violation of the73442
motor fuel laws.73443

       (C) The commissioner may prescribe all forms upon which 73444
reports shall be made to the commissioner, forms for claims for 73445
refund presented to the commissioner, or forms of records to be 73446
used by motor fuel dealers.73447

       (D)(1) As used in this division, "designated inspection site" 73448
means any state highway inspection station, weigh station, mobile 73449
station, or other similar location designated by the tax 73450
commissioner to be used as a fuel inspection site.73451

        (2) An employee of the department of taxation that is so 73452
authorized by the tax commissioner may physically inspect, 73453
examine, or otherwise search any tank, reservoir, or other 73454
container that can or may be used for the production, storage, or 73455
transportation of fuel, fuel dyes, or fuel markers, and books and 73456
records, if any, that are maintained at the place of inspection 73457
and are kept to determine tax liability under this chapter. 73458
Inspections may be performed at any place at which motor fuel is 73459
or may be produced or stored, or at any designated inspection 73460
site.73461

        (3) An employee of the department of taxation who is a duly 73462
authorized enforcement agent may detain any motor vehicle, train, 73463
barge, ship, or vessel for the purpose of inspecting its fuel 73464
tanks and storage tanks. Detainment shall be on the premises under 73465
inspection or at a designated inspection site. Detainment may 73466
continue for a reasonable period of time as is necessary to 73467
determine the amount and composition of the fuel.73468

        (4) Any employee described in division (D)(2) or (3) of this 73469
section who has been properly trained may take and remove samples 73470
of fuel in quantities as are reasonably necessary to determine the 73471
composition of the fuel.73472

        (5) No person shall refuse to allow an inspection under 73473
division (D) of this section. Any person who refuses to allow an 73474
inspection shall be subject to revocation or cancellation of any 73475
license or permit issued under Chapter 5728. or 5735. of the 73476
Revised Code.73477

       Sec. 5735.23.  (A) Out of receipts from the tax levied by73478
section 5735.05 of the Revised Code, the treasurer of state shall73479
place to the credit of the tax refund fund established by section73480
5703.052 of the Revised Code amounts equal to the refunds73481
certified by the tax commissioner pursuant to sections 5735.13,73482
5735.14, 5735.141, 5735.142, and 5735.16 of the Revised Code. The 73483
treasurer of state shall then transfer the amount required by 73484
section 5735.051 of the Revised Code to the waterways safety fund 73485
and, the amount required by section 4907.472 of the Revised Code 73486
to the grade crossing protection fund, and the amount required by 73487
section 5735.053 of the Revised Code to the motor fuel tax 73488
administration fund.73489

       (B) Except as provided in division (D) of this section, each 73490
month the balance of the receipts from the tax levied by section 73491
5735.05 of the Revised Code shall be credited, after receipt by 73492
the treasurer of state of certification from the commissioners of 73493
the sinking fund, as required by section 5528.35 of the Revised 73494
Code, that there are sufficient moneys to the credit of the 73495
highway obligations bond retirement fund to meet in full all 73496
payments of interest, principal, and charges for the retirement of 73497
highway obligations issued pursuant to Section 2i of Article VIII, 73498
Ohio Constitution, and sections 5528.30 and 5528.31 of the Revised73499
Code due and payable during the current calendar year, as follows:73500

       (1) To the state and local government highway distribution73501
fund, which is hereby created in the state treasury, an amount73502
that is the same percentage of the balance to be credited as that73503
portion of the tax per gallon determined under division (B)(2)(a)73504
of section 5735.06 of the Revised Code is of the total tax per73505
gallon determined under divisions (B)(2)(a) and (b) of that73506
section.73507

       (2) After making the distribution to the state and local73508
government highway distribution fund, the remainder shall be73509
credited as follows:73510

       (a) Thirty per cent to the gasoline excise tax fund for73511
distribution pursuant to division (A)(1) of section 5735.27 of the 73512
Revised Code;73513

       (b) Twenty-five per cent to the gasoline excise tax fund for 73514
distribution pursuant to division (A)(3) of section 5735.27 of the 73515
Revised Code;73516

       (c) Except as provided in division (D) of this section, 73517
forty-five per cent to the highway operating fund for distribution 73518
pursuant to division (B)(1) of section 5735.27 of the Revised 73519
Code.73520

       (C) From the balance in the state and local government73521
highway distribution fund on the last day of each month there73522
shall be paid the following amounts:73523

       (1) To the local transportation improvement program fund73524
created by section 164.14 of the Revised Code, an amount equal to73525
a fraction of the balance in the state and local government73526
highway distribution fund, the numerator of which fraction is one73527
and the denominator of which fraction is that portion of the tax73528
per gallon determined under division (B)(2)(a) of section 5735.0673529
of the Revised Code;73530

       (2) An amount equal to five cents multiplied by the number of 73531
gallons of motor fuel sold at stations operated by the Ohio 73532
turnpike commission, such gallonage to be certified by the73533
commission to the treasurer of state not later than the last day73534
of the month following. The funds paid to the commission pursuant 73535
to this section shall be expended for the construction,73536
reconstruction, maintenance, and repair of turnpike projects,73537
except that the funds may not be expended for the construction of73538
new interchanges. The funds also may be expended for the73539
construction, reconstruction, maintenance, and repair of those73540
portions of connecting public roads that serve existing73541
interchanges and are determined by the commission and the director 73542
of transportation to be necessary for the safe merging of traffic 73543
between the turnpike and those public roads.73544

       The remainder of the balance shall be distributed as follows 73545
on the fifteenth day of the following month:73546

       (a) Ten and seven-tenths per cent shall be paid to municipal 73547
corporations for distribution pursuant to division (A)(1) of 73548
section 5735.27 of the Revised Code and may be used for any 73549
purpose for which payments received under that division may be 73550
used. Beginning August 15, 2004, the sum of two hundred 73551
forty-eight thousand six hundred twenty-five dollars shall be 73552
annuallymonthly subtracted from the amount so computed and 73553
credited to the highway operating fund.73554

       (b) Five per cent shall be paid to townships for distribution 73555
pursuant to division (A)(5) of section 5735.27 of the Revised Code 73556
and may be used for any purpose for which payments received under 73557
that division may be used. Beginning August 15, 2004, the sum of 73558
eighty-seven thousand seven hundred fifty dollars shall be 73559
annuallymonthly subtracted from the amount so computed and 73560
credited to the highway operating fund.73561

       (c) Nine and three-tenths per cent shall be paid to counties 73562
for distribution pursuant to division (A)(3) of section 5735.27 of 73563
the Revised Code and may be used for any purpose for which 73564
payments received under that division may be used. Beginning 73565
August 15, 2004, the sum of two hundred forty-eight thousand six 73566
hundred twenty-five dollars shall be annuallymonthly subtracted 73567
from the amount so computed and credited to the highway operating 73568
fund.73569

       (d) Except as provided in division (D) of this section, the 73570
balance shall be transferred to the highway operating fund and 73571
used for the purposes set forth in division (B)(1) of section 73572
5735.27 of the Revised Code.73573

       (D) Beginning on the first day of September each fiscal year, 73574
any amounts required to be credited or transferred to the highway 73575
operating fund pursuant to division (B)(2)(c) or (C)(2)(d) of this73576
section shall be credited or transferred to the highway capital73577
improvement bond service fund created in section 151.06 of the73578
Revised Code, until such time as the office of budget and 73579
management receives certification from the treasurer of state or 73580
the treasurer of state's designee that sufficient money has been 73581
credited or transferred to the bond service fund to meet in full 73582
all payments of debt service and financing costs due during the 73583
fiscal year from that fund.73584

       Sec. 5735.26.  The treasurer of state shall place to the73585
credit of the tax refund fund created by section 5703.052 of the73586
Revised Code, out of receipts from the tax levied by section73587
5735.25 of the Revised Code, amounts equal to the refunds73588
certified by the tax commissioner pursuant to sections 5735.14273589
and 5735.25 of the Revised Code, which shall be paid from such73590
fund. Receipts from the tax shall be used by the tax commissioner 73591
for the maintenance and administration of the motor fuel laws. The 73592
treasurer of state shall then transfer the amount required by 73593
section 5735.051 of the Revised Code to the waterways safety fund 73594
and the amount required by section 5735.053 of the Revised Code to 73595
the motor fuel tax administration fund.73596

       The balance of taxes collected under section 5735.25 of the73597
Revised Code shall be credited as follows, after the credits to73598
the tax refund fund, and after deduction of the cost of73599
administration of the motor fuel laws, and after the transfer73600
transfers to the waterways safety fund and motor fuel tax 73601
administration fund, and after receipt by the treasurer of state 73602
of certifications from the commissioners of the sinking fund 73603
certifying, as required by sections 5528.15 and 5528.35 of the 73604
Revised Code, there are sufficient moneys to the credit of the 73605
highway improvement bond retirement fund to meet in full all 73606
payments of interest, principal, and charges for the retirement of 73607
bonds and other obligations issued pursuant to Section 2g of 73608
Article VIII, Ohio Constitution, and sections 5528.10 and 5528.11 73609
of the Revised Code due and payable during the current calendar 73610
year, and that there are sufficient moneys to the credit of the 73611
highway obligations bond retirement fund to meet in full all 73612
payments of interest, principal, and charges for the retirement of 73613
highway obligations issued pursuant to Section 2i of Article VIII, 73614
Ohio Constitution, and sections 5528.30 and 5528.31 of the Revised 73615
Code due and payable during the current calendar year:73616

       (A) Sixty-seven and one-half per cent to the highway73617
operating fund for distribution pursuant to division (B)(2) of73618
section 5735.27 of the Revised Code;73619

       (B) Seven and one-half per cent to the gasoline excise tax73620
fund for distribution pursuant to division (A)(2) of such section;73621

       (C) Seven and one-half per cent to the gasoline excise tax73622
fund for distribution pursuant to division (A)(4) of such section;73623

       (D) Seventeen and one-half per cent to the gasoline excise73624
tax fund for distribution pursuant to division (A)(5) of such73625
section.73626

       Sec. 5735.291.  (A) The treasurer of state shall place to the73627
credit of the tax refund fund created by section 5703.052 of the73628
Revised Code, out of receipts from the tax levied by section73629
5735.29 of the Revised Code, amounts equal to the refunds73630
certified by the tax commissioner pursuant to sections 5735.14273631
and 5735.29 of the Revised Code. The refunds provided for by73632
sections 5735.142 and 5735.29 of the Revised Code shall be paid73633
from such fund. The treasurer of state shall then transfer the 73634
amount required by section 5735.051 of the Revised Code to the 73635
waterways safety fund and the amount required by section 5735.053 73636
of the Revised Code to the motor fuel tax administration fund. The73637

       The specified portion of the balance of taxes collected under 73638
section 5735.29 of the Revised Code, after the credits to the tax 73639
refund fund, and after the transfertransfers to the waterways 73640
safety fund and the motor fuel tax administration fund, shall be 73641
credited to the gasoline excise tax fund. Subject to division (B) 73642
of this section, forty-two and eighty-six hundredths per cent of 73643
the specified portion shall be distributed among the municipal 73644
corporations within the state in accordance with division (A)(2) 73645
of section 5735.27 of the Revised Code, thirty-seven and fourteen 73646
hundredths per cent of the specified portion shall be distributed 73647
among the counties within the state in accordance with division 73648
(A)(3) of section 5735.27 of the Revised Code, and twenty per cent 73649
of the specified portion shall be combined with twenty per cent of 73650
any amounts transferred from the highway operating fund to the 73651
gasoline excise tax fund through biennial appropriations acts of 73652
the general assembly pursuant to the planned phase-in of a new 73653
source of funding for the state highway patrol, and shall be 73654
distributed among the townships within the state in accordance 73655
with division (A)(5)(b)of section 5735.27 of the Revised Code. 73656
Subject to division (B) of this section, the remainder of the tax 73657
levied by section 5735.29 of the Revised Code after receipt by the 73658
treasurer of state of certifications from the commissioners of the 73659
sinking fund certifying, as required by sections 5528.15 and 73660
5528.35 of the Revised Code, that there are sufficient moneys to 73661
the credit of the highway improvement bond retirement fund created 73662
by section 5528.12 of the Revised Code to meet in full all 73663
payments of interest, principal, and charges for the retirement of 73664
bonds and other obligations issued pursuant to Section 2g of 73665
Article VIII, Ohio Constitution, and sections 5528.10 and 5528.11 73666
of the Revised Code due and payable during the current calendar 73667
year, and that there are sufficient moneys to the credit of the 73668
highway obligations bond retirement fund created by section 73669
5528.32 of the Revised Code to meet in full all payments of 73670
interest, principal, and charges for the retirement of highway 73671
obligations issued pursuant to Section 2i of Article VIII, Ohio 73672
Constitution, and sections 5528.30 and 5528.31 of the Revised Code 73673
due and payable during the current calendar year, shall be 73674
credited to the highway operating fund, which is hereby created in 73675
the state treasury and shall be used solely for the purposes 73676
enumerated in section 5735.29 of the Revised Code. All investment 73677
earnings of the fund shall be credited to the fund.73678

       (B)(1) Effective August 15, 2003, prior to the distribution 73679
from the gasoline excise tax fund to municipal corporations of the 73680
forty-two and eighty-six hundredths per cent of the specified 73681
portion as provided in division (A) of this section, the 73682
department of taxation shall deduct thirty-three and one-third per 73683
cent of the amount specified in division (A)(5)(c) of section 73684
5735.27 of the Revised Code and use it for distribution to 73685
townships pursuant to division (A)(5)(b) of that section.73686

       (2) Effective August 15, 2003, prior to the distribution from 73687
the gasoline excise tax fund to counties of the thirty-seven and 73688
fourteen hundredths per cent of the specified portion as provided 73689
in division (A) of this section, the department of taxation shall 73690
deduct thirty-three and one-third per cent of the amount specified 73691
in division (A)(5)(c) of section 5735.27 of the Revised Code and 73692
use it for distribution to townships pursuant to division 73693
(A)(5)(b) of that section.73694

       (3) Effective August 15, 2003, prior to crediting any revenue 73695
resulting from the tax levied by section 5735.29 of the Revised 73696
Code to the highway operating fund, the department of taxation 73697
shall deduct thirty-three and one-third per cent of the amount 73698
specified in division (A)(5)(c) of section 5735.27 of the Revised 73699
Code and use it for distribution to townships pursuant to division 73700
(A)(5)(b) of that section.73701

       (C) As used in this section, "specified portion" means all of 73702
the following:73703

       (1) Until August 15, 2003, none of the taxes collected under 73704
section 5735.29 of the Revised Code;73705

       (2) Effective August 15, 2003, one-eighth of the balance of 73706
taxes collected under section 5735.29 of the Revised Code, after 73707
the credits to the tax refund fund and after the transfer73708
transfers to the waterways safety fund and the motor fuel tax 73709
administration fund;73710

       (3) Effective August 15, 2004, one-sixth of the balance of 73711
taxes described in division (C)(2) of this section;73712

       (4) Effective August 15, 2005, three-sixteenths of the 73713
balance of taxes described in division (C)(2) of this section.73714

       Sec. 5735.30. (A) For the purpose of providing funds to pay73715
the state's share of the cost of constructing and reconstructing73716
highways and eliminating railway grade crossings on the major73717
thoroughfares of the state highway system and urban extensions73718
thereof, to pay that portion of the construction cost of a highway 73719
project which a county, township, or municipal corporation 73720
normally would be required to pay, but which the director of 73721
transportation, pursuant to division (B) of section 5531.08 of the 73722
Revised Code, determines instead will be paid from moneys in the 73723
highway operating fund, to pay the interest, principal, and 73724
charges on bonds and other obligations issued pursuant to Section 73725
2g of Article VIII, Ohio Constitution, and sections 5528.10 and 73726
5528.11 of the Revised Code, to pay the interest, principal, and 73727
charges on highway obligations issued pursuant to Section 2i of 73728
Article VIII, Ohio Constitution, and sections 5528.30 and 5528.31 73729
of the Revised Code, and to provide revenues for the purposes of 73730
sections 1547.71 to 1547.78 of the Revised Code, and to pay the 73731
expenses of the department of taxation incident to the 73732
administration of the motor fuel laws, a motor fuel excise tax is 73733
hereby imposed on all motor fuel dealers upon their receipt of 73734
motor fuel within the state, at the rate of one cent on each 73735
gallon so received, to be reported, computed, paid, collected, 73736
administered, enforced, refunded, and subject to the same 73737
exemptions and penalties as provided in this chapter of the73738
Revised Code.73739

       The tax imposed by this section shall be in addition to the73740
tax imposed by sections 5735.05, 5735.25, and 5735.29 of the73741
Revised Code.73742

       (B) The treasurer of state shall place to the credit of the 73743
tax refund fund created by section 5703.052 of the Revised Code, 73744
out of receipts from the tax levied by this section, amounts equal 73745
to the refunds certified by the tax commissioner pursuant to this73746
section. The refund provided for by the first paragraphdivision 73747
(A) of this section shall be paid from such fund. The treasurer 73748
shall then transfer the amount required by section 5735.051 of the 73749
Revised Code to the waterways safety fund and the amount required 73750
by section 5735.053 of the Revised Code to the motor fuel tax 73751
administration fund. The balance of taxes for which the liability 73752
has become fixed prior to July 1, 1955, under this section, after 73753
the credit to the tax refund fund, shall be credited to the 73754
highway operating fund.73755

       (C)(1) The moneys derived from the tax levied by this 73756
section, after the credit to the tax refund fund and the waterways 73757
safety fund as providedand transfers required by division (B) of73758
this section, shall, during each calendar year, be credited to the 73759
highway improvement bond retirement fund created by section 73760
5528.12 of the Revised Code, until the commissioners of the 73761
sinking fund certify to the treasurer of state, as required by 73762
section 5528.17 of the Revised Code, that there are sufficient73763
moneys to the credit of the highway improvement bond retirement73764
fund to meet in full all payments of interest, principal, and73765
charges for the retirement of bonds and other obligations issued73766
pursuant to Section 2g of Article VIII, Ohio Constitution, and73767
sections 5528.10 and 5528.11 of the Revised Code due and payable73768
during the current calendar year and during the next succeeding73769
calendar year. From the date of the receipt of the certification73770
required by section 5528.17 of the Revised Code by the treasurer73771
of state until the thirty-first day of December of the calendar73772
year in which such certification is made, all moneys received in73773
the state treasury from the tax levied by this section, after the73774
credit to the tax refund fund and the waterways safety fund as73775
providedand transfers required by division (B) of this section, 73776
shall be credited to the highway obligations bond retirement fund 73777
created by section 5528.32 of the Revised Code, until the 73778
commissioners of the sinking fund certify to the treasurer of 73779
state, as required by section 5528.38 of the Revised Code, that 73780
there are sufficient moneys to the credit of the highway 73781
obligations bond retirement fund to meet in full all payments of 73782
interest, principal, and charges for the retirement of obligations 73783
issued pursuant to Section 2i of Article VIII, Ohio Constitution, 73784
and sections 5528.30 and 5528.31 of the Revised Code due and 73785
payable during the current calendar year and during the next 73786
succeeding calendar year. From73787

       (2) From the date of the receipt of the certification 73788
required by section 5528.38 of the Revised Code by the treasurer 73789
of state until the thirty-first day of December of the calendar 73790
year in which such certification is made, all moneys received in 73791
the state treasury from the tax levied by this section, after the73792
credit to the tax refund fund and the waterways safety fund as 73793
providedand transfers required by division (B) of this section, 73794
shall be credited to the highway operating fund, except as 73795
provided in the next succeeding paragraphdivision (C)(3) of this 73796
section.73797

       (3) From the date of the receipt by the treasurer of state of73798
certifications from the commissioners of the sinking fund, as73799
required by sections 5528.18 and 5528.39 of the Revised Code,73800
certifying that the moneys to the credit of the highway73801
improvement bond retirement fund are sufficient to meet in full73802
all payments of interest, principal, and charges for the73803
retirement of all bonds and other obligations which may be issued73804
pursuant to Section 2g of Article VIII, Ohio Constitution, and73805
sections 5528.10 and 5528.11 of the Revised Code, and to the73806
credit of the highway obligations bond retirement fund are73807
sufficient to meet in full all payments of interest, principal,73808
and charges for the retirement of all obligations issued pursuant73809
to Section 2i of Article VIII, Ohio Constitution, and sections73810
5528.30 and 5528.31 of the Revised Code, the moneys derived from73811
the tax levied by this section, after the credit to the tax refund73812
fund and the waterways safety fund as providedand transfers 73813
required by division (B) of this section, shall be credited to the 73814
highway operating fund.73815

       Sec. 5735.99.  (A) Whoever violates division (F) of section 73816
5735.02, division (D) of section 5735.021, division (B) of section 73817
5735.063, division (B) of section 5735.064, or division (A)(2) of 73818
section 5735.20 of the Revised Code is guilty of a misdemeanor of 73819
the first degree.73820

       (B) Whoever violates division (E) of section 5735.06 of the 73821
Revised Code is guilty of a felony of the fourth degree.73822

       (C) Whoever violates section 5735.025 or division (A)(1) of 73823
section 5735.20 of the Revised Code is guilty of a misdemeanor of 73824
the first degree, if the tax owed or the fraudulent refund 73825
received is not greater than five hundred dollars. If the tax owed 73826
or the fraudulent refund received is greater than five hundred 73827
dollars but not greater than ten thousand dollars, the offender is 73828
guilty of a felony of the fourth degree; for each subsequent 73829
offense when the tax owed or the fraudulent refund received is 73830
greater than five hundred dollars but not greater than ten 73831
thousand dollars, the offender is guilty of a felony of the third 73832
degree. If the tax owed or the fraudulent refund received is 73833
greater than ten thousand dollars, the offender is guilty of a 73834
felony of the second degree.73835

       (D) Whoever violates a provision of this chapter for which a73836
penalty is not otherwise prescribed under this section is guilty73837
of a misdemeanor of the fourth degree.73838

       (E) Whoever violates division (D)(5) of section 5735.19 of 73839
the Revised Code is guilty of a misdemeanor of the first degree.73840

       Sec. 5739.01.  As used in this chapter:73841

       (A) "Person" includes individuals, receivers, assignees,73842
trustees in bankruptcy, estates, firms, partnerships,73843
associations, joint-stock companies, joint ventures, clubs,73844
societies, corporations, the state and its political subdivisions,73845
and combinations of individuals of any form.73846

       (B) "Sale" and "selling" include all of the following73847
transactions for a consideration in any manner, whether absolutely73848
or conditionally, whether for a price or rental, in money or by73849
exchange, and by any means whatsoever:73850

       (1) All transactions by which title or possession, or both,73851
of tangible personal property, is or is to be transferred, or a73852
license to use or consume tangible personal property is or is to73853
be granted;73854

       (2) All transactions by which lodging by a hotel is or is to73855
be furnished to transient guests;73856

       (3) All transactions by which:73857

       (a) An item of tangible personal property is or is to be73858
repaired, except property, the purchase of which would not be73859
subject to the tax imposed by section 5739.02 of the Revised Code;73860

       (b) An item of tangible personal property is or is to be73861
installed, except property, the purchase of which would not be73862
subject to the tax imposed by section 5739.02 of the Revised Code73863
or property that is or is to be incorporated into and will become73864
a part of a production, transmission, transportation, or73865
distribution system for the delivery of a public utility service;73866

       (c) The service of washing, cleaning, waxing, polishing, or73867
painting a motor vehicle is or is to be furnished;73868

       (d) IndustrialUntil August 1, 2003, industrial laundry 73869
cleaning services are or are to be provided and, on and after 73870
August 1, 2003, laundry and dry cleaning services are or are to be 73871
provided;73872

       (e) Automatic data processing, computer services, or73873
electronic information services are or are to be provided for use73874
in business when the true object of the transaction is the receipt73875
by the consumer of automatic data processing, computer services,73876
or electronic information services rather than the receipt of73877
personal or professional services to which automatic data73878
processing, computer services, or electronic information services73879
are incidental or supplemental. Notwithstanding any other73880
provision of this chapter, such transactions that occur between73881
members of an affiliated group are not sales. An affiliated group73882
means two or more persons related in such a way that one person73883
owns or controls the business operation of another member of the73884
group. In the case of corporations with stock, one corporation73885
owns or controls another if it owns more than fifty per cent of73886
the other corporation's common stock with voting rights.73887

       (f) Telecommunications service, other than mobile73888
telecommunications service after July 31, 2002, is or is to be73889
provided that originates or terminates in this state and is73890
charged in the records of the telecommunications service vendor to73891
the consumer's telephone number or account in this state, or that73892
both originates and terminates in this state;, but does not 73893
include transactions by which telecommunications service is paid 73894
for by using a prepaid authorization number or prepaid telephone 73895
calling card, or by which local telecommunications service is 73896
obtained from a coin-operated telephone and paid for by using 73897
coin;73898

       (g) Landscaping and lawn care service is or is to be73899
provided;73900

       (h) Private investigation and security service is or is to be 73901
provided;73902

       (i) Information services or tangible personal property is73903
provided or ordered by means of a nine hundred telephone call;73904

       (j) Building maintenance and janitorial service is or is to73905
be provided;73906

       (k) Employment service is or is to be provided;73907

       (l) Employment placement service is or is to be provided;73908

       (m) Exterminating service is or is to be provided;73909

       (n) Physical fitness facility service is or is to be73910
provided;73911

       (o) Recreation and sports club service is or is to be73912
provided.73913

       (p) After July 31, 2002, mobile telecommunications service is73914
or is to be provided in this state when that service is sitused to73915
this state pursuant to the "Mobile Telecommunications Sourcing73916
Act," P. Pub. L. No. 106-252, 114 Stat. 626 to 632 (2000), 473917
U.S.C.A. 116 to 126, as amended.73918

       (q) On and after August 1, 2003, satellite broadcasting 73919
service is or is to be provided;73920

       (r) On and after August 1, 2003, personal care service is or 73921
is to be provided to an individual. As used in this division, 73922
"personal care service" includes skin care, the application of 73923
cosmetics, manicuring, pedicuring, hair removal, tattooing, body 73924
piercing, tanning, massage, and other similar services. "Personal 73925
care service" does not include a service provided by or on the 73926
order of a licensed physician or licensed chiropractor, or the 73927
cutting, coloring, or styling of an individual's hair.73928

       (s) On and after August 1, 2003, the transportation of 73929
persons by motor vehicle or aircraft is or is to be provided, when 73930
the transportation is entirely within this state, except for 73931
transportation provided by an ambulance service, by a transit bus, 73932
as defined in section 5735.01 of the Revised Code, and 73933
transportation provided by a citizen of the United States holding 73934
a certificate of public convenience and necessity issued under 49 73935
U.S.C. 41102;73936

       (t) On and after August 1, 2003, motor vehicle towing service 73937
is or is to be provided. As used in this division, "motor vehicle 73938
towing service" means the towing or conveyance of a wrecked, 73939
disabled, or illegally parked motor vehicle.73940

        (u) On and after August 1, 2003, snow removal service is or 73941
is to be provided. As used in this division, "snow removal 73942
service" means the removal of snow by any mechanized means, but 73943
does not include the providing of such service by a person that 73944
has less than five thousand dollars in sales of such service 73945
during the calendar year.73946

       (4) All transactions by which printed, imprinted,73947
overprinted, lithographic, multilithic, blueprinted, photostatic,73948
or other productions or reproductions of written or graphic matter73949
are or are to be furnished or transferred;73950

       (5) The production or fabrication of tangible personal73951
property for a consideration for consumers who furnish either73952
directly or indirectly the materials used in the production of73953
fabrication work; and include the furnishing, preparing, or73954
serving for a consideration of any tangible personal property73955
consumed on the premises of the person furnishing, preparing, or73956
serving such tangible personal property. Except as provided in73957
section 5739.03 of the Revised Code, a construction contract73958
pursuant to which tangible personal property is or is to be73959
incorporated into a structure or improvement on and becoming a73960
part of real property is not a sale of such tangible personal73961
property. The construction contractor is the consumer of such73962
tangible personal property, provided that the sale and73963
installation of carpeting, the sale and installation of73964
agricultural land tile, the sale and erection or installation of73965
portable grain bins, or the provision of landscaping and lawn care73966
service and the transfer of property as part of such service is73967
never a construction contract. The transfer of copyrighted motion73968
picture films for exhibition purposes is not a sale, except such73969
films as are used solely for advertising purposes. Other than as73970
provided in this section, "sale" and "selling" do not include73971
transfers of interest in leased property where the original lessee73972
and the terms of the original lease agreement remain unchanged, or73973
professional, insurance, or personal service transactions that73974
involve the transfer of tangible personal property as an73975
inconsequential element, for which no separate charges are made.73976

       As used in division (B)(5) of this section:73977

       (a) "Agricultural land tile" means fired clay or concrete73978
tile, or flexible or rigid perforated plastic pipe or tubing,73979
incorporated or to be incorporated into a subsurface drainage73980
system appurtenant to land used or to be used directly in73981
production by farming, agriculture, horticulture, or floriculture.73982
The term does not include such materials when they are or are to73983
be incorporated into a drainage system appurtenant to a building73984
or structure even if the building or structure is used or to be73985
used in such production.73986

       (b) "Portable grain bin" means a structure that is used or to 73987
be used by a person engaged in farming or agriculture to shelter 73988
the person's grain and that is designed to be disassembled without 73989
significant damage to its component parts.73990

       (6) All transactions in which all of the shares of stock of a 73991
closely held corporation are transferred, if the corporation is73992
not engaging in business and its entire assets consist of boats,73993
planes, motor vehicles, or other tangible personal property73994
operated primarily for the use and enjoyment of the shareholders;73995

       (7) All transactions in which a warranty, maintenance or73996
service contract, or similar agreement by which the vendor of the73997
warranty, contract, or agreement agrees to repair or maintain the73998
tangible personal property of the consumer is or is to be73999
provided;74000

       (8) All transactions by which a prepaid authorization number74001
or a prepaid telephone calling card is or is to be transferredOn 74002
and after August 1, 2003, all transactions by which tangible 74003
personal property is or is to be stored, except such property that 74004
the consumer of the storage holds for sale in the regular course 74005
of business.74006

       Except as provided in this section, "sale" and "selling" do 74007
not include transfers of interest in leased property where the 74008
original lessee and the terms of the original lease agreement 74009
remain unchanged, or professional, insurance, or personal service 74010
transactions that involve the transfer of tangible personal 74011
property as an inconsequential element, for which no separate 74012
charges are made.74013

       (C) "Vendor" means the person providing the service or by74014
whom the transfer effected or license given by a sale is or is to74015
be made or given and, for sales described in division (B)(3)(i) of74016
this section, the telecommunications service vendor that provides74017
the nine hundred telephone service; if two or more persons are74018
engaged in business at the same place of business under a single74019
trade name in which all collections on account of sales by each74020
are made, such persons shall constitute a single vendor.74021

       Physicians, dentists, hospitals, and veterinarians who are74022
engaged in selling tangible personal property as received from74023
others, such as eyeglasses, mouthwashes, dentifrices, or similar74024
articles, are vendors. Veterinarians who are engaged in74025
transferring to others for a consideration drugs, the dispensing74026
of which does not require an order of a licensed veterinarian or74027
physician under federal law, are vendors.74028

       (D)(1) "Consumer" means the person for whom the service is74029
provided, to whom the transfer effected or license given by a sale74030
is or is to be made or given, to whom the service described in74031
division (B)(3)(f) or (i) of this section is charged, or to whom74032
the admission is granted.74033

       (2) Physicians, dentists, hospitals, and blood banks operated 74034
by nonprofit institutions and persons licensed to practice 74035
veterinary medicine, surgery, and dentistry are consumers of all 74036
tangible personal property and services purchased by them in 74037
connection with the practice of medicine, dentistry, the rendition 74038
of hospital or blood bank service, or the practice of veterinary 74039
medicine, surgery, and dentistry. In addition to being consumers 74040
of drugs administered by them or by their assistants according to 74041
their direction, veterinarians also are consumers of drugs that 74042
under federal law may be dispensed only by or upon the order of a 74043
licensed veterinarian or physician, when transferred by them to 74044
others for a consideration to provide treatment to animals as 74045
directed by the veterinarian.74046

       (3) A person who performs a facility management, or similar74047
service contract for a contractee is a consumer of all tangible74048
personal property and services purchased for use in connection74049
with the performance of such contract, regardless of whether title74050
to any such property vests in the contractee. The purchase of such 74051
property and services is not subject to the exception for resale 74052
under division (E)(1) of this section.74053

       (4)(a) In the case of a person who purchases printed matter74054
for the purpose of distributing it or having it distributed to the74055
public or to a designated segment of the public, free of charge,74056
that person is the consumer of that printed matter, and the74057
purchase of that printed matter for that purpose is a sale.74058

       (b) In the case of a person who produces, rather than74059
purchases, printed matter for the purpose of distributing it or74060
having it distributed to the public or to a designated segment of74061
the public, free of charge, that person is the consumer of all74062
tangible personal property and services purchased for use or74063
consumption in the production of that printed matter. That person74064
is not entitled to claim exceptionexemption under division74065
(E)(8)(B)(43)(f) of this section 5739.02 of the Revised Code for 74066
any material incorporated into the printed matter or any 74067
equipment, supplies, or services primarily used to produce the74068
printed matter.74069

       (c) The distribution of printed matter to the public or to a74070
designated segment of the public, free of charge, is not a sale to74071
the members of the public to whom the printed matter is74072
distributed or to any persons who purchase space in the printed74073
matter for advertising or other purposes.74074

       (5) A person who makes sales of any of the services listed in74075
division (B)(3) of this section is the consumer of any tangible74076
personal property used in performing the service. The purchase of74077
that property is not subject to the resale exception under74078
division (E)(1) of this section.74079

       (E) "Retail sale" and "sales at retail" include all sales,74080
except those in which the purpose of the consumer is:74081

       (1) Toto resell the thing transferred or benefit of the74082
service provided, by a person engaging in business, in the form in74083
which the same is, or is to be, received by the person;74084

       (2) To incorporate the thing transferred as a material or a74085
part, into tangible personal property to be produced for sale by74086
manufacturing, assembling, processing, or refining, or to use or74087
consume the thing transferred directly in producing a product for74088
sale by mining, including without limitation the extraction from74089
the earth of all substances that are classed geologically as74090
minerals, production of crude oil and natural gas, farming,74091
agriculture, horticulture, or floriculture, and persons engaged in74092
rendering farming, agricultural, horticultural, or floricultural74093
services, and services in the exploration for, and production of,74094
crude oil and natural gas, for others are deemed engaged directly74095
in farming, agriculture, horticulture, and floriculture, or74096
exploration for, and production of, crude oil and natural gas;74097
directly in the rendition of a public utility service, except that74098
the sales tax levied by section 5739.02 of the Revised Code shall74099
be collected upon all meals, drinks, and food for human74100
consumption sold upon Pullman and railroad coaches. This paragraph 74101
does not exempt or except from "retail sale" or "sales at retail" 74102
the sale of tangible personal property that is to be incorporated 74103
into a structure or improvement to real property.74104

       (3) To hold the thing transferred as security for the74105
performance of an obligation of the vendor;74106

       (4) To use or consume the thing transferred in the process of 74107
reclamation as required by Chapters 1513. and 1514. of the Revised 74108
Code;74109

       (5) To resell, hold, use, or consume the thing transferred as 74110
evidence of a contract of insurance;74111

       (6) To use or consume the thing directly in commercial74112
fishing;74113

       (7) To incorporate the thing transferred as a material or a74114
part into, or to use or consume the thing transferred directly in74115
the production of, magazines distributed as controlled circulation74116
publications;74117

       (8) To use or consume the thing transferred in the production 74118
and preparation in suitable condition for market and sale of 74119
printed, imprinted, overprinted, lithographic, multilithic, 74120
blueprinted, photostatic, or other productions or reproductions of 74121
written or graphic matter;74122

       (9) To use the thing transferred, as described in section74123
5739.011 of the Revised Code, primarily in a manufacturing74124
operation to produce tangible personal property for sale;74125

       (10) To use the benefit of a warranty, maintenance or service 74126
contract, or similar agreement, as defined in division (B)(7) of 74127
this section, to repair or maintain tangible personal property, if 74128
all of the property that is the subject of the warranty, contract, 74129
or agreement would be exempt on its purchase from the tax imposed 74130
by section 5739.02 of the Revised Code;74131

       (11) To use the thing transferred as qualified research and74132
development equipment;74133

       (12) To use or consume the thing transferred primarily in74134
storing, transporting, mailing, or otherwise handling purchased74135
sales inventory in a warehouse, distribution center, or similar74136
facility when the inventory is primarily distributed outside this74137
state to retail stores of the person who owns or controls the74138
warehouse, distribution center, or similar facility, to retail74139
stores of an affiliated group of which that person is a member, or74140
by means of direct marketing. Division (E)(12) of this section74141
does not apply to motor vehicles registered for operation on the74142
public highways. As used in division (E)(12) of this section,74143
"affiliated group" has the same meaning as in division (B)(3)(e)74144
of this section and "direct marketing" has the same meaning as in74145
division (B)(36) of section 5739.02 of the Revised Code.74146

       (13) To use or consume the thing transferred to fulfill a74147
contractual obligation incurred by a warrantor pursuant to a74148
warranty provided as a part of the price of the tangible personal74149
property sold or by a vendor of a warranty, maintenance or service74150
contract, or similar agreement the provision of which is defined74151
as a sale under division (B)(7) of this section;74152

       (14) To use or consume the thing transferred in the74153
production of a newspaper for distribution to the public;74154

       (15) To use tangible personal property to perform a service74155
listed in division (B)(3) of this section, if the property is or74156
is to be permanently transferred to the consumer of the service as74157
an integral part of the performance of the service.74158

       As used in division (E) of this section, "thing" includes all74159
transactions included in divisions (B)(3)(a), (b), and (e) of this74160
section.74161

       Sales conducted through a coin-operated device that activates74162
vacuum equipment or equipment that dispenses water, whether or not74163
in combination with soap or other cleaning agents or wax, to the74164
consumer for the consumer's use on the premises in washing,74165
cleaning, or waxing a motor vehicle, provided no other personal74166
property or personal service is provided as part of the74167
transaction, are not retail sales or sales at retail.74168

       (F) "Business" includes any activity engaged in by any person 74169
with the object of gain, benefit, or advantage, either direct or 74170
indirect. "Business" does not include the activity of a person in 74171
managing and investing the person's own funds.74172

       (G) "Engaging in business" means commencing, conducting, or74173
continuing in business, and liquidating a business when the74174
liquidator thereof holds itself out to the public as conducting74175
such business. Making a casual sale is not engaging in business.74176

       (H)(1)(a) "Price," except as provided in divisions (H)(2) and74177
(3) of this section, means the aggregate value in money of74178
anything paid or delivered, or promised to be paid or delivered,74179
in the complete performance of a retail sale, without any74180
deduction on account of the cost of the property sold, cost of74181
materials used, labor or service cost, interest, discount paid or74182
allowed after the sale is consummated, or any other expense. If74183
the retail sale consists of the rental or lease of tangible74184
personal property, "price" means the aggregate value in money of74185
anything paid or delivered, or promised to be paid or delivered,74186
in the complete performance of the rental or lease, without any74187
deduction for tax, interest, labor or service charge, damage74188
liability waiver, termination or damage charge, discount paid or74189
allowed after the lease is consummated, or any other expense. 74190
Except as provided in division (H)(4) of this section, the sales74191
tax shall be calculated and collected by the lessor on each74192
payment made by the lessee. "Price" does not include the74193
consideration received as a deposit refundable to the consumer74194
upon return of a beverage container, the consideration received as74195
a deposit on a carton or case that is used for such returnable74196
containers, or the consideration received as a refundable security74197
deposit for the use of tangible personal property to the extent74198
that it actually is refunded, if the consideration for such74199
refundable deposit is separately stated from the consideration74200
received or to be received for the tangible personal property74201
transferred in the retail sale. Such separation must appear in the 74202
sales agreement or on the initial invoice or initial billing74203
rendered by the vendor to the consumer. "Price" also does not74204
include delivery charges that are separately stated on the initial74205
invoice or initial billing rendered by the vendor. Price is the74206
amount received inclusive of the tax, provided the vendor74207
establishes to the satisfaction of the tax commissioner that the74208
tax was added to the price. When the price includes both a charge74209
for tangible personal property and a charge for providing a74210
service and the sale of the property and the charge for the74211
service are separately taxable, or have a separately determinable74212
tax status, the price shall be separately stated for each such74213
charge so the tax can be correctly computed and charged.74214

       The tax collected by the vendor from the consumer under this74215
chapter is not part of the price, but is a tax collection for the74216
benefit of the state and of counties levying an additional sales74217
tax pursuant to section 5739.021 or 5739.026 of the Revised Code74218
and of transit authorities levying an additional sales tax74219
pursuant to section 5739.023 of the Revised Code. Except for the74220
discount authorized in section 5739.12 of the Revised Code and the74221
effects of any rounding pursuant to section 5703.055 of the74222
Revised Code, no person other than the state or such a county or74223
transit authority shall derive any benefit from the collection or74224
payment of such tax.74225

       As used in division (H)(1) of this section, "delivery74226
charges" means charges by the vendor for preparation and delivery74227
to a location designated by the consumer of tangible personal74228
property or a service, including transportation, shipping,74229
postage, handling, crating, and packingthe total amount of 74230
consideration, including cash, credit, property, and services, for 74231
which tangible personal property or services are sold, leased, or 74232
rented, valued in money, whether received in money or otherwise, 74233
without any deduction for any of the following:74234

       (i) The vendor's cost of the property sold; 74235

       (ii) The cost of materials used, labor or service costs, 74236
interest, losses, all costs of transportation to the vendor, all 74237
taxes imposed on the vendor, and any other expense of the vendor;74238

       (iii) Charges by the vendor for any services necessary to 74239
complete the sale;74240

       (iv) On and after August 1, 2003, delivery charges. As used 74241
in this division, "delivery charges" means charges by the vendor 74242
for preparation and delivery to a location designated by the 74243
consumer of tangible personal property or a service, including 74244
transportation, shipping, postage, handling, crating, and packing.74245

       (v) Installation charges;74246

       (vi) The value of exempt tangible personal property given to 74247
the consumer where taxable and exempt tangible personal property 74248
have been bundled together and sold by the vendor as a single 74249
product or piece of merchandise.74250

       (b) "Price" does not include any of the following:74251

       (i) Discounts, including cash, term, or coupons that are not 74252
reimbursed by a third party that are allowed by a vendor and taken 74253
by a consumer on a sale;74254

       (ii) Interest, financing, and carrying charges from credit 74255
extended on the sale of tangible personal property or services, if 74256
the amount is separately stated on the invoice, bill of sale, or 74257
similar document given to the purchaser;74258

       (iii) Any taxes legally imposed directly on the consumer that 74259
are separately stated on the invoice, bill of sale, or similar 74260
document given to the consumer.74261

       (2) In the case of a sale of any new motor vehicle by a new74262
motor vehicle dealer, as defined in section 4517.01 of the Revised74263
Code, in which another motor vehicle is accepted by the dealer as74264
part of the consideration received, "price" has the same meaning74265
as in division (H)(1) of this section, reduced by the credit74266
afforded the consumer by the dealer for the motor vehicle received74267
in trade.74268

       (3) In the case of a sale of any watercraft or outboard motor 74269
by a watercraft dealer licensed in accordance with section74270
1547.543 of the Revised Code, in which another watercraft,74271
watercraft and trailer, or outboard motor is accepted by the74272
dealer as part of the consideration received, "price" has the same74273
meaning as in division (H)(1) of this section, reduced by the74274
credit afforded the consumer by the dealer for the watercraft,74275
watercraft and trailer, or outboard motor received in trade. As 74276
used in this division, "watercraft" includes an outdrive unit 74277
attached to the watercraft.74278

       (4) In the case of the lease of any motor vehicle designed by 74279
the manufacturer to carry a load of not more than one ton,74280
watercraft, outboard motor, or aircraft, or the lease of any74281
tangible personal property, other than motor vehicles designed by74282
the manufacturer to carry a load of more than one ton, to be used74283
by the lessee primarily for business purposes, the sales tax shall74284
be collected by the vendor at the time the lease is consummated74285
and shall be calculated by the vendor on the basis of the total74286
amount to be paid by the lessee under the lease agreement. If the74287
total amount of the consideration for the lease includes amounts74288
that are not calculated at the time the lease is executed, the tax74289
shall be calculated and collected by the vendor at the time such74290
amounts are billed to the lessee. In the case of an open-end74291
lease, the sales tax shall be calculated by the vendor on the74292
basis of the total amount to be paid during the initial fixed term74293
of the lease, and then for each subsequent renewal period as it74294
comes due.74295

        As used in divisions (H)(3) and (4) of this section, "motor74296
vehicle" has the same meaning as in section 4501.01 of the Revised74297
Code, and "watercraft" includes an outdrive unit attached to the74298
watercraft.74299

       In the case of a transaction in which telecommunications 74300
service, mobile telecommunications service, or cable television 74301
service is sold in a bundled transaction with other distinct 74302
services for a single price that is not itemized, the entire price 74303
is subject to the taxes levied under sections 5739.02, 5739.021, 74304
5739.023, and 5739.026 of the Revised Code, unless the vendor can 74305
reasonably identify the nontaxable portion from its books and 74306
records kept in the regular course of business. Upon the request 74307
of the consumer, the vendor shall disclose to the consumer the 74308
selling price for the taxable services included in the selling 74309
price for the taxable and nontaxable services billed on an 74310
aggregated basis. The burden of proving any nontaxable charges is 74311
on the vendor.74312

       (I) "Receipts" means the total amount of the prices of the74313
sales of vendors, provided that cash discounts allowed and taken74314
on sales at the time they are consummated are not included, minus74315
any amount deducted as a bad debt pursuant to section 5739.121 of74316
the Revised Code. "Receipts" does not include the sale price of74317
property returned or services rejected by consumers when the full74318
sale price and tax are refunded either in cash or by credit.74319

       (J) "Place of business" means any location at which a person74320
engages in business.74321

       (K) "Premises" includes any real property or portion thereof74322
upon which any person engages in selling tangible personal74323
property at retail or making retail sales and also includes any74324
real property or portion thereof designated for, or devoted to,74325
use in conjunction with the business engaged in by such person.74326

       (L) "Casual sale" means a sale of an item of tangible74327
personal property that was obtained by the person making the sale, 74328
through purchase or otherwise, for the person's own use and was 74329
previously subject to any state's taxing jurisdiction on its sale 74330
or use, and includes such items acquired for the seller's use that 74331
are sold by an auctioneer employed directly by the person for such 74332
purpose, provided the location of such sales is not the74333
auctioneer's permanent place of business. As used in this74334
division, "permanent place of business" includes any location74335
where such auctioneer has conducted more than two auctions during74336
the year.74337

       (M) "Hotel" means every establishment kept, used, maintained, 74338
advertised, or held out to the public to be a place where sleeping 74339
accommodations are offered to guests, in which five or more rooms 74340
are used for the accommodation of such guests, whether the rooms74341
are in one or several structures.74342

       (N) "Transient guests" means persons occupying a room or74343
rooms for sleeping accommodations for less than thirty consecutive74344
days.74345

       (O) "Making retail sales" means the effecting of transactions 74346
wherein one party is obligated to pay the price and the other 74347
party is obligated to provide a service or to transfer title to or 74348
possession of the item sold. "Making retail sales" does not 74349
include the preliminary acts of promoting or soliciting the retail 74350
sales, other than the distribution of printed matter which 74351
displays or describes and prices the item offered for sale, nor 74352
does it include delivery of a predetermined quantity of tangible 74353
personal property or transportation of property or personnel to or 74354
from a place where a service is performed, regardless of whether 74355
the vendor is a delivery vendor.74356

       (P) "Used directly in the rendition of a public utility74357
service" means that property whichthat is to be incorporated into 74358
and will become a part of the consumer's production, transmission,74359
transportation, or distribution system and that retains its74360
classification as tangible personal property after such74361
incorporation; fuel or power used in the production, transmission,74362
transportation, or distribution system; and tangible personal74363
property used in the repair and maintenance of the production,74364
transmission, transportation, or distribution system, including74365
only such motor vehicles as are specially designed and equipped74366
for such use. Tangible personal property and services used74367
primarily in providing highway transportation for hire are not74368
used directly in providingthe rendition of a public utility 74369
service as defined in this division.74370

       (Q) "Refining" means removing or separating a desirable74371
product from raw or contaminated materials by distillation or74372
physical, mechanical, or chemical processes.74373

       (R) "Assembly" and "assembling" mean attaching or fitting74374
together parts to form a product, but do not include packaging a74375
product.74376

       (S) "Manufacturing operation" means a process in which74377
materials are changed, converted, or transformed into a different74378
state or form from which they previously existed and includes74379
refining materials, assembling parts, and preparing raw materials74380
and parts by mixing, measuring, blending, or otherwise committing74381
such materials or parts to the manufacturing process.74382
"Manufacturing operation" does not include packaging.74383

       (T) "Fiscal officer" means, with respect to a regional74384
transit authority, the secretary-treasurer thereof, and with74385
respect to a county that is a transit authority, the fiscal74386
officer of the county transit board if one is appointed pursuant74387
to section 306.03 of the Revised Code or the county auditor if the74388
board of county commissioners operates the county transit system.74389

       (U) "Transit authority" means a regional transit authority74390
created pursuant to section 306.31 of the Revised Code or a county74391
in which a county transit system is created pursuant to section74392
306.01 of the Revised Code. For the purposes of this chapter, a74393
transit authority must extend to at least the entire area of a74394
single county. A transit authority that includes territory in more 74395
than one county must include all the area of the most populous 74396
county that is a part of such transit authority. County population 74397
shall be measured by the most recent census taken by the United 74398
States census bureau.74399

       (V) "Legislative authority" means, with respect to a regional 74400
transit authority, the board of trustees thereof, and with respect 74401
to a county that is a transit authority, the board of county 74402
commissioners.74403

       (W) "Territory of the transit authority" means all of the74404
area included within the territorial boundaries of a transit74405
authority as they from time to time exist. Such territorial74406
boundaries must at all times include all the area of a single74407
county or all the area of the most populous county that is a part74408
of such transit authority. County population shall be measured by74409
the most recent census taken by the United States census bureau.74410

       (X) "Providing a service" means providing or furnishing74411
anything described in division (B)(3) of this section for74412
consideration.74413

       (Y)(1)(a) "Automatic data processing" means processing of74414
others' data, including keypunching or similar data entry services74415
together with verification thereof, or providing access to74416
computer equipment for the purpose of processing data.74417

       (b) "Computer services" means providing services consisting74418
of specifying computer hardware configurations and evaluating74419
technical processing characteristics, computer programming, and74420
training of computer programmers and operators, provided in74421
conjunction with and to support the sale, lease, or operation of74422
taxable computer equipment or systems.74423

       (c) "Electronic information services" means providing access74424
to computer equipment by means of telecommunications equipment for74425
the purpose of either of the following:74426

       (i) Examining or acquiring data stored in or accessible to74427
the computer equipment;74428

       (ii) Placing data into the computer equipment to be retrieved 74429
by designated recipients with access to the computer equipment.74430

       (d) "Automatic data processing, computer services, or74431
electronic information services" shall not include personal or74432
professional services.74433

       (2) As used in divisions (B)(3)(e) and (Y)(1) of this74434
section, "personal and professional services" means all services74435
other than automatic data processing, computer services, or74436
electronic information services, including but not limited to:74437

       (a) Accounting and legal services such as advice on tax74438
matters, asset management, budgetary matters, quality control,74439
information security, and auditing and any other situation where74440
the service provider receives data or information and studies,74441
alters, analyzes, interprets, or adjusts such material;74442

       (b) Analyzing business policies and procedures;74443

       (c) Identifying management information needs;74444

       (d) Feasibility studies, including economic and technical74445
analysis of existing or potential computer hardware or software74446
needs and alternatives;74447

       (e) Designing policies, procedures, and custom software for74448
collecting business information, and determining how data should74449
be summarized, sequenced, formatted, processed, controlled, and74450
reported so that it will be meaningful to management;74451

       (f) Developing policies and procedures that document how74452
business events and transactions are to be authorized, executed,74453
and controlled;74454

       (g) Testing of business procedures;74455

       (h) Training personnel in business procedure applications;74456

       (i) Providing credit information to users of such information 74457
by a consumer reporting agency, as defined in the "Fair Credit 74458
Reporting Act," 84 Stat. 1114, 1129 (1970), 15 U.S.C. 1681a(f), or 74459
as hereafter amended, including but not limited to gathering, 74460
organizing, analyzing, recording, and furnishing such information 74461
by any oral, written, graphic, or electronic medium;74462

       (j) Providing debt collection services by any oral, written,74463
graphic, or electronic means.74464

       The services listed in divisions (Y)(2)(a) to (j) of this74465
section are not automatic data processing or computer services.74466

       (Z) "Highway transportation for hire" means the74467
transportation of personal property belonging to others for74468
consideration by any of the following:74469

       (1) The holder of a permit or certificate issued by this74470
state or the United States authorizing the holder to engage in74471
transportation of personal property belonging to others for74472
consideration over or on highways, roadways, streets, or any74473
similar public thoroughfare;74474

       (2) A person who engages in the transportation of personal74475
property belonging to others for consideration over or on74476
highways, roadways, streets, or any similar public thoroughfare74477
but who could not have engaged in such transportation on December74478
11, 1985, unless the person was the holder of a permit or74479
certificate of the types described in division (Z)(1) of this74480
section;74481

       (3) A person who leases a motor vehicle to and operates it74482
for a person described by division (Z)(1) or (2) of this section.74483

       (AA) "Telecommunications service" means the transmission of74484
any interactive, two-way electromagnetic communications, including74485
voice, image, data, and information, through the use of any medium74486
such as wires, cables, microwaves, cellular radio, radio waves,74487
light waves, or any combination of those or similar media.74488
"Telecommunications service" includes message toll service even74489
though the vendor provides the message toll service by means of74490
wide area transmission type service or private communications74491
service purchased from another telecommunications service74492
provider, butand other related fees and ancillary services, 74493
including universal service fees, detailed billing service, 74494
directory assistance, service initiation, voice mail service, and 74495
vertical services, such as caller ID and three-way calling. 74496
"Telecommunications service" does not include any of the 74497
following:74498

       (1) Sales of incoming or outgoing wide area transmission74499
service or wide area transmission type service, including eight74500
hundred or eight-hundred-type service, to the person contracting74501
for the receipt of that service;74502

       (2) Sales of private communications service to the person74503
contracting for the receipt of that service that entitles the74504
purchaser to exclusive or priority use of a communications channel74505
or group of channels between exchanges;74506

       (3) Sales of telecommunications service billed to persons 74507
before January 1, 2004, by telephone companies subject to the 74508
excise tax imposed by Chapter 5727. of the Revised Code;74509

       (4)(2) Sales of telecommunications service to a provider of74510
telecommunications service or of mobile telecommunications 74511
service, including access services, for use in providing 74512
telecommunications service or mobile telecommunications service;74513

       (5)(3) Value-added nonvoice services in which computer74514
processing applications are used to act on the form, content,74515
code, or protocol of the information to be transmitted;74516

       (6)(4) Transmission of interactive video programming by a74517
cable television system as defined in section 505.90 of the74518
Revised Code;74519

       (7)(5) After July 31, 2002, mobile telecommunications 74520
service.74521

       (BB) "Industrial laundryLaundry and dry cleaning services" 74522
means removing soil or dirt from or supplying towels, linens, or74523
articles of clothing, or other fabric items that belong to others 74524
and are used in a trade or businesssupplying towels, linens, 74525
articles of clothing, or other fabric items. "Laundry and dry 74526
cleaning services" does not include the provision of self-service 74527
facilities for use by consumers to remove soil or dirt from 74528
towels, linens, articles of clothing, or other fabric items.74529

       (CC) "Magazines distributed as controlled circulation74530
publications" means magazines containing at least twenty-four74531
pages, at least twenty-five per cent editorial content, issued at74532
regular intervals four or more times a year, and circulated74533
without charge to the recipient, provided that such magazines are74534
not owned or controlled by individuals or business concerns which74535
conduct such publications as an auxiliary to, and essentially for74536
the advancement of the main business or calling of, those who own74537
or control them.74538

       (DD) "Landscaping and lawn care service" means the services74539
of planting, seeding, sodding, removing, cutting, trimming,74540
pruning, mulching, aerating, applying chemicals, watering,74541
fertilizing, and providing similar services to establish, promote,74542
or control the growth of trees, shrubs, flowers, grass, ground74543
cover, and other flora, or otherwise maintaining a lawn or74544
landscape grown or maintained by the owner for ornamentation or74545
other nonagricultural purpose. However, "landscaping and lawn care 74546
service" does not include the providing of such services by a74547
person who has less than five thousand dollars in sales of such74548
services during the calendar year.74549

       (EE) "Private investigation and security service" means the74550
performance of any activity for which the provider of such service74551
is required to be licensed pursuant to Chapter 4749. of the74552
Revised Code, or would be required to be so licensed in performing74553
such services in this state, and also includes the services of74554
conducting polygraph examinations and of monitoring or overseeing74555
the activities on or in, or the condition of, the consumer's home,74556
business, or other facility by means of electronic or similar74557
monitoring devices. "Private investigation and security service"74558
does not include special duty services provided by off-duty police74559
officers, deputy sheriffs, and other peace officers regularly74560
employed by the state or a political subdivision.74561

       (FF) "Information services" means providing conversation,74562
giving consultation or advice, playing or making a voice or other74563
recording, making or keeping a record of the number of callers,74564
and any other service provided to a consumer by means of a nine74565
hundred telephone call, except when the nine hundred telephone74566
call is the means by which the consumer makes a contribution to a74567
recognized charity.74568

       (GG) "Research and development" means designing, creating, or 74569
formulating new or enhanced products, equipment, or manufacturing 74570
processes, and also means conducting scientific or technological 74571
inquiry and experimentation in the physical sciences with the goal 74572
of increasing scientific knowledge which may reveal the bases for 74573
new or enhanced products, equipment, or manufacturing processes.74574

       (HH) "Qualified research and development equipment" means74575
capitalized tangible personal property, and leased personal74576
property that would be capitalized if purchased, used by a person74577
primarily to perform research and development. Tangible personal74578
property primarily used in testing, as defined in division (A)(4)74579
of section 5739.011 of the Revised Code, or used for recording or74580
storing test results, is not qualified research and development74581
equipment unless such property is primarily used by the consumer74582
in testing the product, equipment, or manufacturing process being74583
created, designed, or formulated by the consumer in the research74584
and development activity or in recording or storing such test74585
results.74586

       (II) "Building maintenance and janitorial service" means74587
cleaning the interior or exterior of a building and any tangible74588
personal property located therein or thereon, including any74589
services incidental to such cleaning for which no separate charge74590
is made. However, "building maintenance and janitorial service"74591
does not include the providing of such service by a person who has74592
less than five thousand dollars in sales of such service during74593
the calendar year.74594

       (JJ) "Employment service" means providing or supplying74595
personnel, on a temporary or long-term basis, to perform work or74596
labor under the supervision or control of another, when the74597
personnel so supplied receive their wages, salary, or other74598
compensation from the provider of the service. "Employment74599
service" does not include:74600

       (1) Acting as a contractor or subcontractor, where the74601
personnel performing the work are not under the direct control of74602
the purchaser.74603

       (2) Medical and health care services.74604

       (3) Supplying personnel to a purchaser pursuant to a contract 74605
of at least one year between the service provider and the74606
purchaser that specifies that each employee covered under the74607
contract is assigned to the purchaser on a permanent basis.74608

       (4) Transactions between members of an affiliated group, as74609
defined in division (B)(3)(e) of this section.74610

       (KK) "Employment placement service" means locating or finding 74611
employment for a person or finding or locating an employee to fill 74612
an available position.74613

       (LL) "Exterminating service" means eradicating or attempting74614
to eradicate vermin infestations from a building or structure, or74615
the area surrounding a building or structure, and includes74616
activities to inspect, detect, or prevent vermin infestation of a74617
building or structure.74618

       (MM) "Physical fitness facility service" means all74619
transactions by which a membership is granted, maintained, or74620
renewed, including initiation fees, membership dues, renewal fees,74621
monthly minimum fees, and other similar fees and dues, by a74622
physical fitness facility such as an athletic club, health spa, or74623
gymnasium, which entitles the member to use the facility for74624
physical exercise.74625

       (NN) "Recreation and sports club service" means all74626
transactions by which a membership is granted, maintained, or74627
renewed, including initiation fees, membership dues, renewal fees,74628
monthly minimum fees, and other similar fees and dues, by a74629
recreation and sports club, which entitles the member to use the74630
facilities of the organization. "Recreation and sports club" means 74631
an organization that has ownership of, or controls or leases on a 74632
continuing, long-term basis, the facilities used by its members 74633
and includes an aviation club, gun or shooting club, yacht club, 74634
card club, swimming club, tennis club, golf club, country club, 74635
riding club, amateur sports club, or similar organization.74636

       (OO) "Livestock" means farm animals commonly raised for food74637
or food production, and includes but is not limited to cattle,74638
sheep, goats, swine, and poultry. "Livestock" does not include74639
invertebrates, fish, amphibians, reptiles, horses, domestic pets,74640
animals for use in laboratories or for exhibition, or other74641
animals not commonly raised for food or food production.74642

       (PP) "Livestock structure" means a building or structure used 74643
exclusively for the housing, raising, feeding, or sheltering of 74644
livestock, and includes feed storage or handling structures and74645
structures for livestock waste handling.74646

       (QQ) "Horticulture" means the growing, cultivation, and74647
production of flowers, fruits, herbs, vegetables, sod, mushrooms,74648
and nursery stock. As used in this division, "nursery stock" has74649
the same meaning as in section 927.51 of the Revised Code.74650

       (RR) "Horticulture structure" means a building or structure74651
used exclusively for the commercial growing, raising, or74652
overwintering of horticultural products, and includes the area74653
used for stocking, storing, and packing horticultural products74654
when done in conjunction with the production of those products.74655

       (SS) "Newspaper" means an unbound publication bearing a title 74656
or name that is regularly published, at least as frequently as 74657
biweekly, and distributed from a fixed place of business to the74658
public in a specific geographic area, and that contains a74659
substantial amount of news matter of international, national, or74660
local events of interest to the general public.74661

       (TT) "Professional racing team" means a person that employs74662
at least twenty full-time employees for the purpose of conducting74663
a motor vehicle racing business for profit. The person must74664
conduct the business with the purpose of racing one or more motor74665
racing vehicles in at least ten competitive professional racing74666
events each year that comprise all or part of a motor racing74667
series sanctioned by one or more motor racing sanctioning74668
organizations. A "motor racing vehicle" means a vehicle for which74669
the chassis, engine, and parts are designed exclusively for motor74670
racing, and does not include a stock or production model vehicle74671
that may be modified for use in racing. For the purposes of this74672
division:74673

       (1) A "competitive professional racing event" is a motor74674
vehicle racing event sanctioned by one or more motor racing74675
sanctioning organizations, at which aggregate cash prizes in74676
excess of eight hundred thousand dollars are awarded to the74677
competitors.74678

       (2) "Full-time employee" means an individual who is employed74679
for consideration for thirty-five or more hours a week, or who74680
renders any other standard of service generally accepted by custom74681
or specified by contract as full-time employment.74682

       (UU)(1) "Prepaid authorization number" means a numeric or74683
alphanumeric combination that represents a prepaid account that74684
can be used by the account holder solely to obtain74685
telecommunications service, and includes any renewals or increases74686
in the prepaid account.74687

       (2) "Prepaid telephone calling card" means a tangible item74688
that contains a prepaid authorization number that can be used74689
solely to obtain telecommunications service, and includes any74690
renewals or increases in the prepaid account.74691

       (VV) "Lease" or "rental" means any transfer for a 74692
consideration of the possession or control of and right to use, 74693
but not title to, tangible personal property for a fixed period of 74694
time greater than thirty days or for an open-ended period of time 74695
with a minimum fixed period of more than thirty daysor indefinite 74696
term, for consideration. "Lease" or "rental" includes future 74697
options to purchase or extend, and agreements described in 26 74698
U.S.C. 7701(h)(1) covering motor vehicles and trailers where the 74699
amount of consideration may be increased or decreased by reference 74700
to the amount realized upon the sale or disposition of the 74701
property. "Lease" or "rental" does not include:74702

       (a) A transfer of possession or control of tangible personal 74703
property under a security agreement or a deferred payment plan 74704
that requires the transfer of title upon completion of the 74705
required payments;74706

       (b) A transfer of possession or control of tangible personal 74707
property under an agreement that requires the transfer of title 74708
upon completion of required payments and payment of an option 74709
price that does not exceed the greater of one hundred dollars or 74710
one per cent of the total required payments;74711

       (c) Providing tangible personal property along with an 74712
operator for a fixed or indefinite period of time, if the operator 74713
is necessary for the property to perform as designed. For purposes 74714
of this division, the operator must do more than maintain, 74715
inspect, or set-up the tangible personal property.74716

       (2) "Lease" and "rental," as defined in division (UU) of this 74717
section, shall not apply to leases or rentals that exist before 74718
the effective date of this amendment.74719

       (3) "Lease" and "rental" have the same meaning as in division 74720
(UU)(1) of this section regardless of whether a transaction is 74721
characterized as a lease or rental under generally accepted 74722
accounting principles, the Internal Revenue Code, Title XIII of 74723
the Revised Code, or other federal, state, or local laws.74724

       (WW)(VV) "Mobile telecommunications service" has the same74725
meaning as in the "Mobile Telecommunications Sourcing Act," Pub.74726
L. No. 106-252, 114 Stat. 631 (2000), 4 U.S.C.A. 124(7), as74727
amended, and, on and after August 1, 2003, includes related fees 74728
and ancillary services, including universal service fees, detailed 74729
billing service, directory assistance, service initiation, voice 74730
mail service, and vertical services, such as caller ID and 74731
three-way calling.74732

       (XX)(WW) "Certified service provider" has the same meaning as 74733
in section 5740.01 of the Revised Code.74734

       (XX) "Satellite broadcasting service" means the distribution 74735
or broadcasting of programming or services by satellite directly 74736
to the subscriber's receiving equipment without the use of ground 74737
receiving or distribution equipment, except the subscriber's 74738
receiving equipment or equipment used in the uplink process to the 74739
satellite, and includes all service and rental charges, premium 74740
channels or other special services, installation and repair 74741
service charges, and any other charges having any connection with 74742
the provision of the satellite broadcasting service.74743

       (YY) "Tangible personal property" means personal property 74744
that can be seen, weighed, measured, felt, or touched, or that is 74745
in any other manner perceptible to the senses. For purposes of 74746
this chapter and Chapter 5741. of the Revised Code, "tangible 74747
personal property" includes motor vehicles, electricity, water, 74748
gas, steam, and prewritten computer software.74749

       (ZZ) "Direct mail" means printed material delivered or 74750
distributed by United States mail or other delivery service to a 74751
mass audience or to addressees on a mailing list provided by the 74752
consumer or at the direction of the consumer when the cost of the 74753
items are not billed directly to the recipients. "Direct mail" 74754
includes tangible personal property supplied directly or 74755
indirectly by the consumer to the direct mail vendor for inclusion 74756
in the package containing the printed material. "Direct mail" does 74757
not include multiple items of printed material delivered to a 74758
single address.74759

       (AAA) "Computer" means an electronic device that accepts 74760
information in digital or similar form and manipulates it for a 74761
result based on a sequence of instructions.74762

       (BBB) "Computer software" means a set of coded instructions 74763
designed to cause a computer or automatic data processing 74764
equipment to perform a task.74765

       (CCC) "Delivered electronically" means delivery of computer 74766
software from the seller to the purchaser by means other than 74767
tangible storage media.74768

       (DDD) "Prewritten computer software" means computer software, 74769
including prewritten upgrades, that is not designed and developed 74770
by the author or other creator to the specifications of a specific 74771
purchaser. The combining of two or more prewritten computer 74772
software programs or prewritten portions thereof does not cause 74773
the combination to be other than prewritten computer software. 74774
"Prewritten computer software" includes software designed and 74775
developed by the author or other creator to the specifications of 74776
a specific purchaser when it is sold to a person other than the 74777
purchaser. If a person modifies or enhances computer software of 74778
which the person is not the author or creator, the person shall be 74779
deemed to be the author or creator only of such person's 74780
modifications or enhancements. Prewritten computer software or a 74781
prewritten portion thereof that is modified or enhanced to any 74782
degree, where such modification or enhancement is designed and 74783
developed to the specifications of a specific purchaser, remains 74784
prewritten computer software; provided, however, that where there 74785
is a reasonable, separately stated charge or an invoice or other 74786
statement of the price given to the purchaser for the modification 74787
or enhancement, the modification or enhancement shall not 74788
constitute prewritten computer software.74789

       (EEE)(1) Prior to July 1, 2004, "food" means cereals and 74790
cereal products, milk and milk products including ice cream, meat 74791
and meat products, fish and fish products, eggs and egg products, 74792
vegetables and vegetable products, fruits, fruit products, and 74793
pure fruit juices, condiments, sugar and sugar products, coffee 74794
and coffee substitutes, tea, and cocoa and cocoa products. "Food" 74795
does not include spirituous liquors, wine, mixed beverages, or 74796
beer; soft drinks; sodas and beverages that are ordinarily 74797
dispensed at or in connection with bars and soda fountains, other 74798
than coffee, tea, and cocoa; root beer and root beer extracts; 74799
malt and malt extracts; mineral oils, cod liver oils, and halibut 74800
liver oil; medicines, including tonics, vitamin preparations, and 74801
other products sold primarily for their medicinal properties; and 74802
water, including mineral, bottled, and carbonated waters, and ice.74803

        (2) On and after July 1, 2004, "food" means substances, 74804
whether in liquid, concentrated, solid, frozen, dried, or 74805
dehydrated form, that are sold for ingestion or chewing by humans 74806
and are consumed for their taste or nutritional value. "Food" does 74807
not include alcoholic beverages, dietary supplements, soft drinks, 74808
or tobacco.74809

       (3) As used in division (EEE)(2) of this section:74810

       (a) "Alcoholic beverages" means beverages that are suitable 74811
for human consumption and contain one-half of one per cent or more 74812
of alcohol by volume.74813

       (b) "Dietary supplements" means any product, other than 74814
tobacco, that is intended to supplement the diet and that is 74815
intended for ingestion in tablet, capsule, powder, softgel, 74816
gelcap, or liquid form, or, if not intended for ingestion in such 74817
a form, is not represented as conventional food for use as a sole 74818
item of a meal or of the diet; that is required to be labeled as a 74819
dietary supplement, identifiable by the "supplement facts" box 74820
found on the label, as required by 21 C.F.R. 101.36; and that 74821
contains one or more of the following dietary ingredients:74822

       (i) A vitamin;74823

       (ii) A mineral;74824

       (iii) An herb or other botanical;74825

       (iv) An amino acid;74826

       (v) A dietary substance for use by humans to supplement the 74827
diet by increasing the total dietary intake;74828

       (vi) A concentrate, metabolite, constituent, extract, or 74829
combination of any ingredient described in divisions 74830
(EEE)(3)(b)(i) to (v) of this section.74831

       (c) "Soft drinks" means nonalcoholic beverages that contain 74832
natural or artificial sweeteners. "Soft drinks" does not include 74833
beverages that contain milk or milk products, soy, rice, or 74834
similar milk substitutes, or that contains greater than fifty per 74835
cent vegetable or fruit juice by volume.74836

       (d) "Tobacco" means cigarettes, cigars, chewing or pipe 74837
tobacco, or any other item that contains tobacco.74838

       (FFF) "Drug" means a compound, substance, or preparation, and 74839
any component of a compound, substance, or preparation, other than 74840
food, dietary supplements, or alcoholic beverages that is 74841
recognized in the official United States pharmacopoeia, official 74842
homeopathic pharmacopoeia of the United States, or official 74843
national formulary, and supplements to them; is intended for use 74844
in the diagnosis, cure, mitigation, treatment, or prevention of 74845
disease; or is intended to affect the structure or any function of 74846
the body.74847

       (GGG) "Prescription" means an order, formula, or recipe 74848
issued in any form of oral, written, electronic, or other means of 74849
transmission by a duly licensed practitioner authorized by the 74850
laws of this state to issue a prescription.74851

       (HHH) "Durable medical equipment" means equipment, including 74852
repair and replacement parts for such equipment, that can 74853
withstand repeated use, is primarily and customarily used to serve 74854
a medical purpose, generally is not useful to a person in the 74855
absence of illness or injury, and is not worn in or on the body.74856

       (III) "Mobility enhancing equipment" means equipment, 74857
including repair and replacement parts for such equipment, that is 74858
primarily and customarily used to provide or increase the ability 74859
to move from one place to another and is appropriate for use 74860
either in a home or a motor vehicle, that is not generally used by 74861
persons with normal mobility, and that does not include any motor 74862
vehicle or equipment on a motor vehicle normally provided by a 74863
motor vehicle manufacturer.74864

       (JJJ) "Prosthetic device" means a replacement, corrective, or 74865
supportive device, including repair and replacement parts for the 74866
device, worn on or in the human body to artificially replace a 74867
missing portion of the body, prevent or correct physical deformity 74868
or malfunction, or support a weak or deformed portion of the body. 74869
As used in this division, "prosthetic device" does not include 74870
corrective eyeglasses, contact lenses, or dental prosthesis.74871

       (KKK)(1) "Fractional aircraft ownership program" means a 74872
program in which persons within an affiliated group sell and 74873
manage fractional ownership program aircraft, provided that at 74874
least one hundred airworthy aircraft are operated in the program 74875
and the program meets all of the following criteria:74876

       (a) Management services are provided by at least one program 74877
manager within an affiliated group on behalf of the fractional 74878
owners.74879

       (b) Each program aircraft is owned or possessed by at least 74880
one fractional owner.74881

       (c) Each fractional owner owns or possesses at least a 74882
one-sixteenth interest in at least one fixed-wing program 74883
aircraft.74884

       (d) A dry-lease aircraft interchange arrangement is in effect 74885
among all of the fractional owners.74886

       (e) Multi-year program agreements are in effect regarding the 74887
fractional ownership, management services, and dry-lease aircraft 74888
interchange arrangement aspects of the program.74889

       (2) As used in division (KKK)(1) of this section:74890

       (a) "Affiliated group" has the same meaning as in division 74891
(B)(3)(e) of this section.74892

       (b) "Fractional owner" means a person that owns or possesses 74893
at least a one-sixteenth interest in a program aircraft and has 74894
entered into the agreements described in division (KKK)(1)(e) of 74895
this section.74896

       (c) "Fractional ownership program aircraft" or "program 74897
aircraft" means a turbojet aircraft that is owned or possessed by 74898
a fractional owner and that has been included in a dry-lease 74899
aircraft interchange arrangement and agreement under divisions 74900
(KKK)(1)(d) and (e) of this section, or an aircraft a program 74901
manager owns or possesses primarily for use in a fractional 74902
aircraft ownership program.74903

       (d) "Management services" means administrative and aviation 74904
support services furnished under a fractional aircraft ownership 74905
program in accordance with a management services agreement under 74906
division (KKK)(1)(e) of this section, and offered by the program 74907
manager to the fractional owners, including, at a minimum, the 74908
establishment and implementation of safety guidelines; the 74909
coordination of the scheduling of the program aircraft and crews; 74910
program aircraft maintenance; program aircraft insurance; crew 74911
training for crews employed, furnished, or contracted by the 74912
program manager or the fractional owner; the satisfaction of 74913
record-keeping requirements; and the development and use of an 74914
operations manual and a maintenance manual for the fractional 74915
aircraft ownership program.74916

       (e) "Program manager" means the person that offers management 74917
services to fractional owners pursuant to a management services 74918
agreement under division (KKK)(1)(e) of this section.74919

       Sec. 5739.011.  (A) As used in this section:74920

       (1) "Manufacturer" means a person who is engaged in74921
manufacturing, processing, assembling, or refining a product for74922
sale.74923

       (2) "Manufacturing facility" means a single location where a74924
manufacturing operation is conducted, including locations74925
consisting of one or more buildings or structures in a contiguous74926
area owned or controlled by the manufacturer.74927

       (3) "Materials handling" means the movement of the product74928
being or to be manufactured, during which movement the product is74929
not undergoing any substantial change or alteration in its state74930
or form.74931

       (4) "Testing" means a process or procedure to identify the74932
properties or assure the quality of a material or product.74933

       (5) "Completed product" means a manufactured item that is in74934
the form and condition as it will be sold by the manufacturer. An74935
item is completed when all processes that change or alter its74936
state or form or enhance its value are finished, even though the74937
item subsequently will be tested to ensure its quality or be74938
packaged for storage or shipment.74939

       (6) "Continuous manufacturing operation" means the process in74940
which raw materials or components are moved through the steps74941
whereby manufacturing occurs. Materials handling of raw materials74942
or parts from the point of receipt or preproduction storage or of74943
a completed product, to or from storage, to or from packaging, or74944
to the place from which the completed product will be shipped, is74945
not a part of a continuous manufacturing operation.74946

       (B) For purposes of division (E)(9)(B)(43)(g) of section 74947
5739.015739.02 of the Revised Code, the "thing transferred" 74948
includes, but is not limited to, any of the following:74949

       (1) Production machinery and equipment that act upon the74950
product or machinery and equipment that treat the materials or74951
parts in preparation for the manufacturing operation;74952

       (2) Materials handling equipment that moves the product74953
through a continuous manufacturing operation; equipment that74954
temporarily stores the product during the manufacturing operation;74955
or, excluding motor vehicles licensed to operate on public74956
highways, equipment used in intraplant or interplant transfers of74957
work in process where the plant or plants between which such74958
transfers occur are manufacturing facilities operated by the same74959
person;74960

       (3) Catalysts, solvents, water, acids, oil, and similar74961
consumables that interact with the product and that are an74962
integral part of the manufacturing operation;74963

       (4) Machinery, equipment, and other tangible personal74964
property used during the manufacturing operation that control,74965
physically support, produce power for, lubricate, or are otherwise74966
necessary for the functioning of production machinery and74967
equipment and the continuation of the manufacturing operation;74968

       (5) Machinery, equipment, fuel, power, material, parts, and74969
other tangible personal property used to manufacture machinery,74970
equipment, or other tangible personal property used in74971
manufacturing a product for sale;74972

       (6) Machinery, equipment, and other tangible personal74973
property used by a manufacturer to test raw materials, the product74974
being manufactured, or the completed product;74975

       (7) Machinery and equipment used to handle or temporarily74976
store scrap that is intended to be reused in the manufacturing74977
operation at the same manufacturing facility;74978

       (8) Coke, gas, water, steam, and similar substances used in74979
the manufacturing operation; machinery and equipment used for, and74980
fuel consumed in, producing or extracting those substances;74981
machinery, equipment, and other tangible personal property used to74982
treat, filter, pump, or otherwise make the substance suitable for74983
use in the manufacturing operation; and machinery and equipment74984
used for, and fuel consumed in, producing electricity for use in74985
the manufacturing operation;74986

       (9) Machinery, equipment, and other tangible personal74987
property used to transport or transmit electricity, coke, gas,74988
water, steam, or similar substances used in the manufacturing74989
operation from the point of generation, if produced by the74990
manufacturer, or from the point where the substance enters the74991
manufacturing facility, if purchased by the manufacturer, to the74992
manufacturing operation;74993

       (10) Machinery, equipment, and other tangible personal74994
property that treats, filters, cools, refines, or otherwise74995
renders water, steam, acid, oil, solvents, or similar substances74996
used in the manufacturing operation reusable, provided that the74997
substances are intended for reuse and not for disposal, sale, or74998
transportation from the manufacturing facility;74999

       (11) Parts, components, and repair and installation services75000
for items described in division (B) of this section.75001

       (C) For purposes of division (E)(9)(B)(43)(g) of section 75002
5739.015739.02 of the Revised Code, the "thing transferred" does 75003
not include any of the following:75004

       (1) Tangible personal property used in administrative,75005
personnel, security, inventory control, record-keeping, ordering,75006
billing, or similar functions;75007

       (2) Tangible personal property used in storing raw materials75008
or parts prior to the commencement of the manufacturing operation75009
or used to handle or store a completed product, including storage75010
that actively maintains a completed product in a marketable state75011
or form;75012

       (3) Tangible personal property used to handle or store scrap75013
or waste intended for disposal, sale, or other disposition, other75014
than reuse in the manufacturing operation at the same75015
manufacturing facility;75016

       (4) Tangible personal property that is or is to be75017
incorporated into realty;75018

       (5) Machinery, equipment, and other tangible personal75019
property used for ventilation, dust or gas collection, humidity or75020
temperature regulation, or similar environmental control, except75021
machinery, equipment, and other tangible personal property that75022
totally regulates the environment in a special and limited area of75023
the manufacturing facility where the regulation is essential for75024
production to occur;75025

       (6) Tangible personal property used for the protection and75026
safety of workers, unless the property is attached to or75027
incorporated into machinery and equipment used in a continuous75028
manufacturing operation;75029

       (7) Tangible personal property used to store fuel, water,75030
solvents, acid, oil, or similar items consumed in the75031
manufacturing operation;75032

       (8) Machinery, equipment, and other tangible personal75033
property used to clean, repair, or maintain real or personal75034
property in the manufacturing facility;75035

       (9) Motor vehicles registered for operation on public75036
highways.75037

       (D) For purposes of division (E)(9)(B)(43)(g) of section 75038
5739.015739.02 of the Revised Code, if the "thing transferred" is 75039
a machine used by a manufacturer in both a taxable and an exempt 75040
manner, it shall be totally taxable or totally exempt from 75041
taxation based upon its quantified primary use. If the "things 75042
transferred" are fungibles, they shall be taxed based upon the 75043
proportion of the fungibles used in a taxable manner.75044

       Sec. 5739.02.  For the purpose of providing revenue with75045
which to meet the needs of the state, for the use of the general75046
revenue fund of the state, for the purpose of securing a thorough75047
and efficient system of common schools throughout the state, for75048
the purpose of affording revenues, in addition to those from75049
general property taxes, permitted under constitutional75050
limitations, and from other sources, for the support of local75051
governmental functions, and for the purpose of reimbursing the75052
state for the expense of administering this chapter, an excise tax75053
is hereby levied on each retail sale made in this state.75054

       (A)(1) The tax shall be collected pursuant to the schedules75055
as provided in section 5739.025 of the Revised Code, provided that 75056
on and after July 1, 2003, and on or before June 30, 2005, the 75057
rate of tax shall be six per cent. On and after July 1, 2005, the 75058
rate of the tax shall be five per cent. The75059

       The tax applies and is collectible when the sale is made,75060
regardless of the time when the price is paid or delivered.75061

       In(2) In the case of the lease or rental, with a fixed term 75062
of more than thirty days or an indefinite term with a minimum 75063
period of more than thirty days, of any motor vehicles designed by 75064
the manufacturer to carry a load of not more than one ton, 75065
watercraft, outboard motor, or aircraft, or of any tangible 75066
personal property, other than motor vehicles designed by the 75067
manufacturer to carry a load of more than one ton, to be used by 75068
the lessee or renter primarily for business purposes, the tax 75069
shall be collected by the vendor at the time the lease or rental 75070
is consummated and shall be calculated by the vendor on the basis 75071
of the total amount to be paid by the lessee or renter under the 75072
lease agreement. If the total amount of the consideration for the 75073
lease or rental includes amounts that are not calculated at the 75074
time the lease or rental is executed, the tax shall be calculated 75075
and collected by the vendor at the time such amounts are billed to 75076
the lessee or renter. In the case of an open-end lease or rental, 75077
the tax shall be calculated by the vendor on the basis of the 75078
total amount to be paid during the initial fixed term of the lease 75079
or rental, and for each subsequent renewal period as it comes due. 75080
As used in this division, "motor vehicle" has the same meaning as 75081
in section 4501.01 of the Revised Code, and "watercraft" includes 75082
an outdrive unit attached to the watercraft.75083

       A lease with a renewal clause and a termination penalty or 75084
similar provision that applies if the renewal clause is not 75085
exercised is presumed to be a sham transaction. In such a case, 75086
the tax shall be calculated and paid on the basis of the entire 75087
length of the lease period, including any renewal periods, until 75088
the termination penalty or similar provision no longer applies. 75089
The taxpayer shall bear the burden, by a preponderance of the 75090
evidence, that the transaction or series of transactions is not a 75091
sham transaction.75092

       (3) Except as provided in division (A)(2) of this section, in75093
the case of a sale, the price of which consists in whole or in 75094
part of rentals for the use of the thing transferredthe lease or 75095
rental of tangible personal property, the tax, as regards those 75096
rentals, shall be measured by the installments of those rentals75097
that lease or rental.75098

       (4) In the case of a sale of a physical fitness facility 75099
service or recreation and sports club service defined under 75100
division (MM) or (NN) of section 5739.01 of the Revised Code, the 75101
price of which consists in whole or in part of a membership for 75102
the receipt of the benefit of the service, the tax applicable to 75103
the sale shall be measured by the installments thereof.75104

       (B) The tax does not apply to the following:75105

       (1) Sales to the state or any of its political subdivisions,75106
or to any other state or its political subdivisions if the laws of75107
that state exempt from taxation sales made to this state and its75108
political subdivisions;75109

       (2) Sales of food for human consumption off the premises75110
where sold;75111

       (3) Sales of food sold to students only in a cafeteria,75112
dormitory, fraternity, or sorority maintained in a private,75113
public, or parochial school, college, or university;75114

       (4) Sales of newspapers and of magazine subscriptions and75115
sales or transfers of magazines distributed as controlled75116
circulation publications;75117

       (5) The furnishing, preparing, or serving of meals without75118
charge by an employer to an employee provided the employer records75119
the meals as part compensation for services performed or work75120
done;75121

       (6) Sales of motor fuel upon receipt, use, distribution, or75122
sale of which in this state a tax is imposed by the law of this75123
state, but this exemption shall not apply to the sale of motor75124
fuel on which a refund of the tax is allowable under division (A) 75125
of section 5735.14 of the Revised Code; and the tax commissioner 75126
may deduct the amount of tax levied by this section applicable to 75127
the price of motor fuel when granting a refund of motor fuel tax 75128
pursuant to division (A) of section 5735.14 of the Revised Code 75129
and shall cause the amount deducted to be paid into the general 75130
revenue fund of this state;75131

       (7) Sales of natural gas by a natural gas company, of water75132
by a water-works company, or of steam by a heating company, if in75133
each case the thing sold is delivered to consumers through pipes75134
or conduits, and all sales of communications services by a75135
telephone or telegraph company, all terms as defined in section75136
5727.01 of the Revised Code, and sales of electricity delivered 75137
through wires;75138

       (8) Casual sales by a person, or auctioneer employed directly 75139
by the person to conduct such sales, except as to such sales of75140
motor vehicles, watercraft or outboard motors required to be75141
titled under section 1548.06 of the Revised Code, watercraft75142
documented with the United States coast guard, snowmobiles, and75143
all-purpose vehicles as defined in section 4519.01 of the Revised75144
Code;75145

       (9) Sales of services or tangible personal property, other75146
than motor vehicles, mobile homes, and manufactured homes, by75147
churches, organizations exempt from taxation under section75148
501(c)(3) of the Internal Revenue Code of 1986, or nonprofit75149
organizations operated exclusively for charitable purposes as75150
defined in division (B)(12) of this section, provided that the75151
number of days on which such tangible personal property or75152
services, other than items never subject to the tax, are sold does75153
not exceed six in any calendar year. If the number of days on75154
which such sales are made exceeds six in any calendar year, the75155
church or organization shall be considered to be engaged in75156
business and all subsequent sales by it shall be subject to the75157
tax. In counting the number of days, all sales by groups within a75158
church or within an organization shall be considered to be sales75159
of that church or organization, except that sales made by separate75160
student clubs and other groups of students of a primary or75161
secondary school, and sales made by a parent-teacher association,75162
booster group, or similar organization that raises money to75163
support or fund curricular or extracurricular activities of a75164
primary or secondary school, shall not be considered to be sales75165
of such school, and sales by each such club, group, association,75166
or organization shall be counted separately for purposes of the75167
six-day limitation. This division does not apply to sales by a75168
noncommercial educational radio or television broadcasting75169
station.75170

       (10) Sales not within the taxing power of this state under75171
the Constitution of the United States;75172

       (11) TheExcept for transactions that are sales under 75173
division (B)(3)(s) of section 5739.01 of the Revised Code, the75174
transportation of persons or property, unless the transportation 75175
is by a private investigation and security service;75176

       (12) Sales of tangible personal property or services to75177
churches, to organizations exempt from taxation under section75178
501(c)(3) of the Internal Revenue Code of 1986, and to any other75179
nonprofit organizations operated exclusively for charitable75180
purposes in this state, no part of the net income of which inures75181
to the benefit of any private shareholder or individual, and no75182
substantial part of the activities of which consists of carrying75183
on propaganda or otherwise attempting to influence legislation;75184
sales to offices administering one or more homes for the aged or75185
one or more hospital facilities exempt under section 140.08 of the75186
Revised Code; and sales to organizations described in division (D)75187
of section 5709.12 of the Revised Code.75188

       "Charitable purposes" means the relief of poverty; the75189
improvement of health through the alleviation of illness, disease,75190
or injury; the operation of an organization exclusively for the75191
provision of professional, laundry, printing, and purchasing75192
services to hospitals or charitable institutions; the operation of75193
a home for the aged, as defined in section 5701.13 of the Revised75194
Code; the operation of a radio or television broadcasting station75195
that is licensed by the federal communications commission as a75196
noncommercial educational radio or television station; the75197
operation of a nonprofit animal adoption service or a county75198
humane society; the promotion of education by an institution of75199
learning that maintains a faculty of qualified instructors,75200
teaches regular continuous courses of study, and confers a75201
recognized diploma upon completion of a specific curriculum; the75202
operation of a parent-teacher association, booster group, or75203
similar organization primarily engaged in the promotion and75204
support of the curricular or extracurricular activities of a75205
primary or secondary school; the operation of a community or area75206
center in which presentations in music, dramatics, the arts, and75207
related fields are made in order to foster public interest and75208
education therein; the production of performances in music,75209
dramatics, and the arts; or the promotion of education by an75210
organization engaged in carrying on research in, or the75211
dissemination of, scientific and technological knowledge and75212
information primarily for the public.75213

       Nothing in this division shall be deemed to exempt sales to75214
any organization for use in the operation or carrying on of a75215
trade or business, or sales to a home for the aged for use in the75216
operation of independent living facilities as defined in division75217
(A) of section 5709.12 of the Revised Code.75218

       (13) Building and construction materials and services sold to 75219
construction contractors for incorporation into a structure or75220
improvement to real property under a construction contract with75221
this state or a political subdivision of this state, or with the75222
United States government or any of its agencies; building and75223
construction materials and services sold to construction75224
contractors for incorporation into a structure or improvement to75225
real property that are accepted for ownership by this state or any75226
of its political subdivisions, or by the United States government75227
or any of its agencies at the time of completion of the structures 75228
or improvements; building and construction materials sold to 75229
construction contractors for incorporation into a horticulture 75230
structure or livestock structure for a person engaged in the 75231
business of horticulture or producing livestock; building75232
materials and services sold to a construction contractor for75233
incorporation into a house of public worship or religious75234
education, or a building used exclusively for charitable purposes75235
under a construction contract with an organization whose purpose75236
is as described in division (B)(12) of this section; building75237
materials and services sold to a construction contractor for75238
incorporation into a building under a construction contract with75239
an organization exempt from taxation under section 501(c)(3) of75240
the Internal Revenue Code of 1986 when the building is to be used75241
exclusively for the organization's exempt purposes; building and75242
construction materials sold for incorporation into the original75243
construction of a sports facility under section 307.696 of the75244
Revised Code; and building and construction materials and services75245
sold to a construction contractor for incorporation into real75246
property outside this state if such materials and services, when75247
sold to a construction contractor in the state in which the real75248
property is located for incorporation into real property in that75249
state, would be exempt from a tax on sales levied by that state;75250

       (14) Sales of ships or vessels or rail rolling stock used or75251
to be used principally in interstate or foreign commerce, and75252
repairs, alterations, fuel, and lubricants for such ships or75253
vessels or rail rolling stock;75254

       (15) Sales to persons engaged in any of the activities75255
mentioned in division (E)(2)(B)(43)(a) or (9)(g) of this section 75256
5739.01 of the Revised Code, to persons engaged in making retail 75257
sales, or to persons who purchase for sale from a manufacturer 75258
tangible personal property that was produced by the manufacturer 75259
in accordance with specific designs provided by the purchaser, of75260
packages, including material, labels, and parts for packages, and75261
of machinery, equipment, and material for use primarily in75262
packaging tangible personal property produced for sale, including75263
any machinery, equipment, and supplies used to make labels or75264
packages, to prepare packages or products for labeling, or to75265
label packages or products, by or on the order of the person doing75266
the packaging, or sold at retail. "Packages" includes bags,75267
baskets, cartons, crates, boxes, cans, bottles, bindings,75268
wrappings, and other similar devices and containers, and75269
"packaging" means placing therein.75270

       (16) Sales of food to persons using food stamp benefits to75271
purchase the food. As used in this division (B)(16) of this 75272
section, "food" has the same meaning as in the "Food Stamp Act of 75273
1977," 91 Stat. 958, 7 U.S.C. 2012, as amended, and federal75274
regulations adopted pursuant to that act.75275

       (17) Sales to persons engaged in farming, agriculture,75276
horticulture, or floriculture, of tangible personal property for75277
use or consumption directly in the production by farming,75278
agriculture, horticulture, or floriculture of other tangible75279
personal property for use or consumption directly in the75280
production of tangible personal property for sale by farming,75281
agriculture, horticulture, or floriculture; or material and parts75282
for incorporation into any such tangible personal property for use75283
or consumption in production; and of tangible personal property75284
for such use or consumption in the conditioning or holding of75285
products produced by and for such use, consumption, or sale by75286
persons engaged in farming, agriculture, horticulture, or75287
floriculture, except where such property is incorporated into real75288
property;75289

       (18) Sales of drugs for a human being, dispensed by a 75290
licensed pharmacist upon the order of a licensed health 75291
professional authorized to prescribe drugs to a human being, as 75292
the term "licensed health professional authorized to prescribe 75293
drugs" is defined in section 4729.01 of the Revised Codepursuant 75294
to a prescription; insulin as recognized in the official United 75295
States pharmacopoeia; urine and blood testing materials when used 75296
by diabetics or persons with hypoglycemia to test for glucose or 75297
acetone; hypodermic syringes and needles when used by diabetics 75298
for insulin injections; epoetin alfa when purchased for use in the 75299
treatment of persons with end-stage renalmedical disease;75300
hospital beds when purchased for use by persons with medical75301
problems for medical purposes; and medical oxygen and medical75302
oxygen-dispensing equipment when purchased for use by persons with 75303
medical problems for medical purposes;75304

       (19)(a) Sales of artificial limbs or portion thereof, breast75305
prostheses, and other prosthetic devices for humans; braces or75306
other devices for supporting weakened or nonfunctioning parts of75307
the human body; crutches or other devices to aid human75308
perambulation; and items of tangible personal property used to75309
supplement impaired functions of the human body such as75310
respiration, hearing, or elimination;75311

       (b) Sales of wheelchairs; items incorporated into or used in75312
conjunction with a motor vehicle for the purpose of transporting75313
wheelchairs, other than transportation conducted in connection75314
with the sale or delivery of wheelchairs; and items incorporated75315
into or used in conjunction with a motor vehicle that are75316
specifically designed to assist a person with a disability to75317
access or operate the motor vehicle. As used in this division,75318
"person with a disability" means any person who has lost the use75319
of one or both legs or one or both arms, who is blind, deaf, or75320
disabled to the extent that the person is unable to move about75321
without the aid of crutches or a wheelchair, or whose mobility is75322
restricted by a permanent cardiovascular, pulmonary, or other75323
disabling condition.75324

       (c) No exemption under this division shall be allowed for75325
nonprescription drugs, medicines, or remedies; items or devices75326
used to supplement vision; items or devices whose function is75327
solely or primarily cosmetic; or physical fitness equipment. This75328
division does not apply to sales to a physician or medical75329
facility for use in the treatment of a patient, durable medical 75330
equipment for home use, or mobility enhancing equipment, when made 75331
pursuant to a prescription and when such devices or equipment are 75332
for use by a human being.75333

       (20) Sales of emergency and fire protection vehicles and75334
equipment to nonprofit organizations for use solely in providing75335
fire protection and emergency services, including trauma care and75336
emergency medical services, for political subdivisions of the75337
state;75338

       (21) Sales of tangible personal property manufactured in this 75339
state, if sold by the manufacturer in this state to a retailer for 75340
use in the retail business of the retailer outside of this state 75341
and if possession is taken from the manufacturer by the purchaser75342
within this state for the sole purpose of immediately removing the 75343
same from this state in a vehicle owned by the purchaser;75344

       (22) Sales of services provided by the state or any of its75345
political subdivisions, agencies, instrumentalities, institutions,75346
or authorities, or by governmental entities of the state or any of75347
its political subdivisions, agencies, instrumentalities,75348
institutions, or authorities;75349

       (23) Sales of motor vehicles to nonresidents of this state75350
upon the presentation of an affidavit executed in this state by75351
the nonresident purchaser affirming that the purchaser is a75352
nonresident of this state, that possession of the motor vehicle is75353
taken in this state for the sole purpose of immediately removing75354
it from this state, that the motor vehicle will be permanently75355
titled and registered in another state, and that the motor vehicle75356
will not be used in this state;75357

       (24) Sales to persons engaged in the preparation of eggs for75358
sale of tangible personal property used or consumed directly in75359
such preparation, including such tangible personal property used75360
for cleaning, sanitizing, preserving, grading, sorting, and75361
classifying by size; packages, including material and parts for75362
packages, and machinery, equipment, and material for use in75363
packaging eggs for sale; and handling and transportation equipment75364
and parts therefor, except motor vehicles licensed to operate on75365
public highways, used in intraplant or interplant transfers or75366
shipment of eggs in the process of preparation for sale, when the75367
plant or plants within or between which such transfers or75368
shipments occur are operated by the same person. "Packages"75369
includes containers, cases, baskets, flats, fillers, filler flats,75370
cartons, closure materials, labels, and labeling materials, and75371
"packaging" means placing therein.75372

       (25)(a) Sales of water to a consumer for residential use,75373
except the sale of bottled water, distilled water, mineral water,75374
carbonated water, or ice;75375

       (b) Sales of water by a nonprofit corporation engaged75376
exclusively in the treatment, distribution, and sale of water to75377
consumers, if such water is delivered to consumers through pipes75378
or tubing.75379

       (26) Fees charged for inspection or reinspection of motor75380
vehicles under section 3704.14 of the Revised Code;75381

       (27) Sales to persons licensed to conduct a food service75382
operation pursuant to section 3717.43 of the Revised Code, of75383
tangible personal property primarily used directly for the75384
following:75385

       (a) To prepare food for human consumption for sale;75386

       (b) To preserve food that has been or will be prepared for75387
human consumption for sale by the food service operator, not75388
including tangible personal property used to display food for75389
selection by the consumer;75390

       (c) To clean tangible personal property used to prepare or75391
serve food for human consumption for sale.75392

       (28) Sales of animals by nonprofit animal adoption services75393
or county humane societies;75394

       (29) Sales of services to a corporation described in division 75395
(A) of section 5709.72 of the Revised Code, and sales of tangible 75396
personal property that qualifies for exemption from taxation under 75397
section 5709.72 of the Revised Code;75398

       (30) Sales and installation of agricultural land tile, as75399
defined in division (B)(5)(a) of section 5739.01 of the Revised75400
Code;75401

       (31) Sales and erection or installation of portable grain75402
bins, as defined in division (B)(5)(b) of section 5739.01 of the75403
Revised Code;75404

       (32) The sale, lease, repair, and maintenance of, parts for,75405
or items attached to or incorporated in, motor vehicles that are75406
primarily used for transporting tangible personal property by a75407
person engaged in highway transportation for hire;75408

       (33) Sales to the state headquarters of any veterans'75409
organization in this state that is either incorporated and issued75410
a charter by the congress of the United States or is recognized by75411
the United States veterans administration, for use by the75412
headquarters;75413

       (34) Sales to a telecommunications service vendor, mobile 75414
telecommunications service vendor, or satellite broadcasting 75415
service vendor of tangible personal property and services used 75416
directly and primarily in transmitting, receiving, switching, or 75417
recording any interactive, one- or two-way electromagnetic 75418
communications, including voice, image, data, and information, 75419
through the use of any medium, including, but not limited to, 75420
poles, wires, cables, switching equipment, computers, and record 75421
storage devices and media, and component parts for the tangible 75422
personal property. The exemption provided in this division (B)(34) 75423
of this section shall be in lieu of all other exceptions75424
exemptions under division (E)(2)(B)(43)(a) of this section 5739.01 75425
of the Revised Code to which a telecommunications servicethe75426
vendor may otherwise be entitled, based upon the use of the thing 75427
purchased in providing the telecommunications, mobile 75428
telecommunications, or satellite broadcasting service.75429

       (35) Sales of investment metal bullion and investment coins.75430
"Investment metal bullion" means any elementary precious metal75431
that has been put through a process of smelting or refining,75432
including, but not limited to, gold, silver, platinum, and75433
palladium, and which is in such state or condition that its value75434
depends upon its content and not upon its form. "Investment metal75435
bullion" does not include fabricated precious metal that has been75436
processed or manufactured for one or more specific and customary75437
industrial, professional, or artistic uses. "Investment coins"75438
means numismatic coins or other forms of money and legal tender75439
manufactured of gold, silver, platinum, palladium, or other metal75440
under the laws of the United States or any foreign nation with a75441
fair market value greater than any statutory or nominal value of75442
such coins.75443

       (36)(a) Sales where the purpose of the consumer is to use or75444
consume the things transferred in making retail sales and75445
consisting of newspaper inserts, catalogues, coupons, flyers, gift75446
certificates, or other advertising material that prices and75447
describes tangible personal property offered for retail sale.75448

       (b) Sales to direct marketing vendors of preliminary75449
materials such as photographs, artwork, and typesetting that will75450
be used in printing advertising material; of printed matter that75451
offers free merchandise or chances to win sweepstake prizes and75452
that is mailed to potential customers with advertising material75453
described in division (B)(36)(a) of this section; and of equipment75454
such as telephones, computers, facsimile machines, and similar75455
tangible personal property primarily used to accept orders for75456
direct marketing retail sales.75457

       (c) Sales of automatic food vending machines that preserve75458
food with a shelf life of forty-five days or less by refrigeration75459
and dispense it to the consumer.75460

       For purposes of division (B)(36) of this section, "direct75461
marketing" means the method of selling where consumers order75462
tangible personal property by United States mail, delivery75463
service, or telecommunication and the vendor delivers or ships the75464
tangible personal property sold to the consumer from a warehouse,75465
catalogue distribution center, or similar fulfillment facility by75466
means of the United States mail, delivery service, or common75467
carrier.75468

       (37) Sales to a person engaged in the business of75469
horticulture or producing livestock of materials to be75470
incorporated into a horticulture structure or livestock structure;75471

       (38) The sale of a motor vehicle that is used exclusively for 75472
a vanpool ridesharing arrangement to persons participating in the 75473
vanpool ridesharing arrangement when the vendor is selling the75474
vehicle pursuant to a contract between the vendor and the75475
department of transportation;75476

       (39) Sales of personal computers, computer monitors, computer 75477
keyboards, modems, and other peripheral computer equipment to an 75478
individual who is licensed or certified to teach in an elementary 75479
or a secondary school in this state for use by that individual in 75480
preparation for teaching elementary or secondary school students;75481

       (40)(39) Sales to a professional racing team of any of the75482
following:75483

       (a) Motor racing vehicles;75484

       (b) Repair services for motor racing vehicles;75485

       (c) Items of property that are attached to or incorporated in 75486
motor racing vehicles, including engines, chassis, and all other 75487
components of the vehicles, and all spare, replacement, and75488
rebuilt parts or components of the vehicles; except not including75489
tires, consumable fluids, paint, and accessories consisting of75490
instrumentation sensors and related items added to the vehicle to75491
collect and transmit data by means of telemetry and other forms of75492
communication.75493

       (41)(40) Sales of used manufactured homes and used mobile75494
homes, as defined in section 5739.0210 of the Revised Code, made 75495
on or after January 1, 2000;75496

       (42)(41) Sales of tangible personal property and services to75497
a provider of electricity used or consumed directly and primarily 75498
in generating, transmitting, or distributing electricity for use 75499
by others, including property that is or is to be incorporated 75500
into and will become a part of the consumer's production, 75501
transmission, or distribution system and that retains its 75502
classification as tangible personal property after incorporation; 75503
fuel or power used in the production, transmission, or 75504
distribution of electricity; and tangible personal property and 75505
services used in the repair and maintenance of the production, 75506
transmission, or distribution system, including only those motor 75507
vehicles as are specially designed and equipped for such use. The 75508
exemption provided in this division shall be in lieu of all other 75509
exceptionsexemptions in division (E)(2)(B)(43)(a) of this section 75510
5739.01 of the Revised Code to which a provider of electricity may 75511
otherwise be entitled based on the use of the tangible personal 75512
property or service purchased in generating, transmitting, or75513
distributing electricity.75514

       (42) Sales to a person providing services under division 75515
(B)(3)(s) of section 5739.01 of the Revised Code of tangible 75516
personal property and services used directly and primarily in 75517
providing taxable services under that section.75518

       (43) Sales where the purpose of the purchaser is to do any of 75519
the following:75520

       (a) To incorporate the thing transferred as a material or a 75521
part into tangible personal property to be produced for sale by 75522
manufacturing, assembling, processing, or refining; or to use or 75523
consume the thing transferred directly in producing tangible 75524
personal property for sale by mining, including, without 75525
limitation, the extraction from the earth of all substances that 75526
are classed geologically as minerals, production of crude oil and 75527
natural gas, farming, agriculture, horticulture, or floriculture, 75528
or directly in the rendition of a public utility service, except 75529
that the sales tax levied by this section shall be collected upon 75530
all meals, drinks, and food for human consumption sold when 75531
transporting persons. Persons engaged in rendering farming, 75532
agricultural, horticultural, or floricultural services, and 75533
services in the exploration for, and production of, crude oil and 75534
natural gas, for others are deemed engaged directly in farming, 75535
agriculture, horticulture, and floriculture, or exploration for, 75536
and production of, crude oil and natural gas. This paragraph does 75537
not exempt from "retail sale" or "sales at retail" the sale of 75538
tangible personal property that is to be incorporated into a 75539
structure or improvement to real property.75540

       (b) To hold the thing transferred as security for the 75541
performance of an obligation of the vendor;75542

       (c) To resell, hold, use, or consume the thing transferred as 75543
evidence of a contract of insurance;75544

       (d) To use or consume the thing directly in commercial 75545
fishing;75546

       (e) To incorporate the thing transferred as a material or a 75547
part into, or to use or consume the thing transferred directly in 75548
the production of, magazines distributed as controlled circulation 75549
publications;75550

       (f) To use or consume the thing transferred in the production 75551
and preparation in suitable condition for market and sale of 75552
printed, imprinted, overprinted, lithographic, multilithic, 75553
blueprinted, photostatic, or other productions or reproductions of 75554
written or graphic matter;75555

       (g) To use the thing transferred, as described in section 75556
5739.011 of the Revised Code, primarily in a manufacturing 75557
operation to produce tangible personal property for sale;75558

       (h) To use the benefit of a warranty, maintenance or service 75559
contract, or similar agreement, as described in division (B)(7) of 75560
section 5739.01 of the Revised Code, to repair or maintain 75561
tangible personal property, if all of the property that is the 75562
subject of the warranty, contract, or agreement would not be 75563
subject to the tax imposed by this section;75564

       (i) To use the thing transferred as qualified research and 75565
development equipment;75566

       (j) To use or consume the thing transferred primarily in 75567
storing, transporting, mailing, or otherwise handling purchased 75568
sales inventory in a warehouse, distribution center, or similar 75569
facility when the inventory is primarily distributed outside this 75570
state to retail stores of the person who owns or controls the 75571
warehouse, distribution center, or similar facility, to retail 75572
stores of an affiliated group of which that person is a member, or 75573
by means of direct marketing. This division does not apply to 75574
motor vehicles registered for operation on the public highways. As 75575
used in this division, "affiliated group" has the same meaning as 75576
in division (B)(3)(e) of section 5739.01 of the Revised Code and 75577
"direct marketing" has the same meaning as in division (B)(36) of 75578
this section.75579

       (k) To use or consume the thing transferred to fulfill a 75580
contractual obligation incurred by a warrantor pursuant to a 75581
warranty provided as a part of the price of the tangible personal 75582
property sold or by a vendor of a warranty, maintenance or service 75583
contract, or similar agreement the provision of which is defined 75584
as a sale under division (B)(7) of section 5739.01 of the Revised 75585
Code;75586

       (l) To use or consume the thing transferred in the production 75587
of a newspaper for distribution to the public;75588

       (m) To use tangible personal property to perform a service 75589
listed in division (B)(3) of section 5739.01 of the Revised Code, 75590
if the property is or is to be permanently transferred to the 75591
consumer of the service as an integral part of the performance of 75592
the service.75593

       As used in division (B)(43) of this section, "thing" includes 75594
all transactions included in divisions (B)(3)(a), (b), and (e) of 75595
section 5739.01 of the Revised Code.75596

       (44) Sales conducted through a coin operated device that 75597
activates vacuum equipment or equipment that dispenses water, 75598
whether or not in combination with soap or other cleaning agents 75599
or wax, to the consumer for the consumer's use on the premises in 75600
washing, cleaning, or waxing a motor vehicle, provided no other 75601
personal property or personal service is provided as part of the 75602
transaction.75603

       (45) Sales of replacement and modification parts for engines, 75604
airframes, instruments, and interiors in, and paint for, aircraft 75605
used primarily in a fractional aircraft ownership program, and 75606
sales of services for the repair, modification, and maintenance of 75607
such aircraft, and machinery, equipment, and supplies primarily 75608
used to provide those services.75609

       (46) Sales of telecommunications service that is used 75610
directly and primarily to perform the functions of a call center. 75611
As used in this division, "call center" means any physical 75612
location where telephone calls are placed or received in high 75613
volume for the purpose of making sales, marketing, customer 75614
service, technical support, or other specialized business 75615
activity, and that employs at least fifty individuals that engage 75616
in call center activities on a full-time basis, or sufficient 75617
individuals to fill fifty full-time equivalent positions.75618

       (C) For the purpose of the proper administration of this75619
chapter, and to prevent the evasion of the tax, it is presumed75620
that all sales made in this state are subject to the tax until the 75621
contrary is established.75622

       As used in this section, except in division (B)(16) of this75623
section, "food" includes cereals and cereal products, milk and75624
milk products including ice cream, meat and meat products, fish75625
and fish products, eggs and egg products, vegetables and vegetable75626
products, fruits, fruit products, and pure fruit juices,75627
condiments, sugar and sugar products, coffee and coffee75628
substitutes, tea, and cocoa and cocoa products. It does not75629
include: spirituous liquors, wine, mixed beverages, or beer; soft 75630
drinks; sodas and beverages that are ordinarily dispensed at or in 75631
connection with bars and soda fountains, other than coffee, tea, 75632
and cocoa; root beer and root beer extracts; malt and malt75633
extracts; mineral oils, cod liver oils, and halibut liver oil;75634
medicines, including tonics, vitamin preparations, and other75635
products sold primarily for their medicinal properties; and water,75636
including mineral, bottled, and carbonated waters, and ice.75637

       (C)(D) The levy of this tax on retail sales of recreation and75638
sports club service shall not prevent a municipal corporation from75639
levying any tax on recreation and sports club dues or on any75640
income generated by recreation and sports club dues.75641

       (E) The tax collected by the vendor from the consumer under 75642
this chapter is not part of the price, but is a tax collection for 75643
the benefit of the state, and of counties levying an additional 75644
sales tax pursuant to section 5739.021 or 5739.026 of the Revised 75645
Code and of transit authorities levying an additional sales tax 75646
pursuant to section 5739.023 of the Revised Code. Except for the 75647
discount authorized under section 5739.12 of the Revised Code and 75648
the effects of any rounding pursuant to section 5703.055 of the 75649
Revised Code, no person other than the state or such a county or 75650
transit authority shall derive any benefit from the collection or 75651
payment of the tax levied by this section or section 5739.021, 75652
5739.023, or 5739.026 of the Revised Code.75653

       Sec. 5739.021.  (A) For the purpose of providing additional75654
general revenues for the county or supporting criminal and75655
administrative justice services in the county, or both, and to pay75656
the expenses of administering such levy, any county may levy a tax75657
at the rate of not more than one per cent at any multiple of75658
one-fourth of one per cent upon every retail sale made in the75659
county, except sales of watercraft and outboard motors required to75660
be titled pursuant to Chapter 1548. of the Revised Code and sales75661
of motor vehicles, and may increase the rate of an existing tax to75662
not more than one per cent at any multiple of one-fourth of one75663
per cent.75664

       The tax shall be levied and the rate increased pursuant to a75665
resolution of the board of county commissioners. The resolution75666
shall state the purpose for which the tax is to be levied and the75667
number of years for which the tax is to be levied, or that it is75668
for a continuing period of time. If the tax is to be levied for75669
the purpose of providing additional general revenues and for the75670
purpose of supporting criminal and administrative justice75671
services, the resolution shall state the rate or amount of the tax75672
to be apportioned to each such purpose. The rate or amount may be75673
different for each year the tax is to be levied, but the rates or75674
amounts actually apportioned each year shall not be different from75675
that stated in the resolution for that year. If the resolution is75676
adopted as an emergency measure necessary for the immediate75677
preservation of the public peace, health, or safety, it must75678
receive an affirmative vote of all of the members of the board of75679
county commissioners and shall state the reasons for such75680
necessity. AThe board shall deliver a certified copy of the 75681
resolution shall be delivered to the tax commissioner either 75682
personally or by certified mail, not later than the sixtieth75683
sixty-fifth day prior to the date on which the tax is to become 75684
effective, which shall be the first day of the calendar quarter.75685

       Prior to the adoption of any resolution under this section,75686
the board of county commissioners shall conduct two public75687
hearings on the resolution, the second hearing to be not less than75688
three nor more than ten days after the first. Notice of the date,75689
time, and place of the hearings shall be given by publication in a75690
newspaper of general circulation in the county once a week on the75691
same day of the week for two consecutive weeks, the second75692
publication being not less than ten nor more than thirty days75693
prior to the first hearing.75694

       Except as provided in division (B)(3) of this section, the75695
resolution shall become effective on the first day of a calendar75696
quarter following the expiration of sixty days from the date of75697
its adoption,be subject to a referendum as provided in sections75698
305.31 to 305.41 of the Revised Code.75699

       If a petition for a referendum is filed, the county auditor75700
with whom the petition was filed shall, within five days, notify75701
the board of county commissioners and the tax commissioner of the75702
filing of the petition by certified mail. If the board of75703
elections with which the petition was filed declares the petition75704
invalid, the board of elections, within five days, shall notify75705
the board of county commissioners and the tax commissioner of that75706
declaration by certified mail. If the petition is declared to be75707
invalid, the effective date of the tax or increased rate of tax75708
levied by this section shall be the first day of a calendar75709
quarter following the expiration of sixty-five days from the date 75710
the petition was declared invalid bycommissioner receives notice 75711
from the board of elections that the petition is invalid.75712

       (B)(1) A resolution that is not adopted as an emergency75713
measure may direct the board of elections to submit the question75714
of levying the tax or increasing the rate of tax to the electors75715
of the county at a special election held on the date specified by75716
the board of county commissioners in the resolution, provided that75717
the election occurs not less than seventy-five days after a75718
certified copy of such resolution is transmitted to the board of75719
elections and the election is not held in February or August of75720
any year. Upon transmission of the resolution to the board of75721
elections, the board of county commissioners shall notify the tax75722
commissioner in writing of the levy question to be submitted to75723
the electors. No resolution adopted under this division shall go75724
into effect unless approved by a majority of those voting upon it,75725
and, except as provided in division (B)(3) of this section, shall75726
become effective on the first day of a calendar quarter following75727
the expiration of sixty-five days from the date of notice to the 75728
tax commissioner byreceives notice from the board of elections of 75729
the affirmative vote.75730

       (2) A resolution that is adopted as an emergency measure75731
shall go into effect as provided in division (A) of this section,75732
but may direct the board of elections to submit the question of75733
repealing the tax or increase in the rate of the tax to the75734
electors of the county at the next general election in the county75735
occurring not less than seventy-five days after a certified copy75736
of the resolution is transmitted to the board of elections. Upon75737
transmission of the resolution to the board of elections, the75738
board of county commissioners shall notify the tax commissioner in75739
writing of the levy question to be submitted to the electors. The75740
ballot question shall be the same as that prescribed in section75741
5739.022 of the Revised Code. The board of elections shall notify75742
the board of county commissioners and the tax commissioner of the75743
result of the election immediately after the result has been75744
declared. If a majority of the qualified electors voting on the75745
question of repealing the tax or increase in the rate of the tax75746
vote for repeal of the tax or repeal of the increase, the board of75747
county commissioners, on the first day of a calendar quarter75748
following the expiration of sixty-five days after the date it 75749
receivedthe board and tax commissioner receive notice of the 75750
result of the election, shall, in the case of a repeal of the tax, 75751
cease to levy the tax, or, in the case of a repeal of an increase 75752
in the rate of the tax, cease to levy the increased rate and levy 75753
the tax at the rate at which it was imposed immediately prior to 75754
the increase in rate.75755

       (3) If a vendor that is registered with the central75756
electronic registration system provided for in section 5740.05 of75757
the Revised Code makes a sale in this state by printed catalog and 75758
the consumer computed the tax on the sale based on local rates75759
published in the catalog, any tax levied or repealed or rate 75760
changed under this section shall not apply to such salesa sale75761
until the first day of a calendar quarter following the expiration 75762
of one hundred twenty days from the date of notice by the tax 75763
commissioner to the vendor, or to the vendor's certified service 75764
provider, if the vendor has selected onepursuant to division (H) 75765
of this section.75766

       (C) If a resolution is rejected at a referendum or if a75767
resolution adopted after January 1, 1982, as an emergency measure75768
is repealed by the electors pursuant to division (B)(2) of this75769
section or section 5739.022 of the Revised Code, then for one year75770
after the date of the election at which the resolution was75771
rejected or repealed the board of county commissioners may not75772
adopt any resolution authorized by this section as an emergency75773
measure.75774

       (D) The board of county commissioners, at any time while a75775
tax levied under this section is in effect, may by resolution75776
reduce the rate at which the tax is levied to a lower rate75777
authorized by this section. Any reduction in the rate at which the 75778
tax is levied shall be made effective on the first day of a75779
calendar quarter next following the sixtiethsixty-fifth day after 75780
the certificationa certified copy of the resolution is delivered75781
to the tax commissioner.75782

       (E) The tax on every retail sale subject to a tax levied75783
pursuant to this section shall be in addition to the tax levied by75784
section 5739.02 of the Revised Code and any tax levied pursuant to75785
section 5739.023 or 5739.026 of the Revised Code.75786

       A county that levies a tax pursuant to this section shall75787
levy a tax at the same rate pursuant to section 5741.021 of the75788
Revised Code.75789

       The additional tax levied by the county shall be collected75790
pursuant to section 5739.025 of the Revised Code. If the75791
additional tax or some portion thereof is levied for the purpose75792
of criminal and administrative justice services, the revenue from75793
the tax, or the amount or rate apportioned to that purpose, shall75794
be credited to a special fund created in the county treasury for75795
receipt of that revenue.75796

       Any tax levied pursuant to this section is subject to the75797
exemptions provided in section 5739.02 of the Revised Code and in75798
addition shall not be applicable to sales not within the taxing75799
power of a county under the Constitution of the United States or75800
the Ohio Constitution.75801

       (F) For purposes of this section, a copy of a resolution is75802
"certified" when it contains a written statement attesting that75803
the copy is a true and exact reproduction of the original75804
resolution.75805

       (G) If a board of commissioners intends to adopt a resolution 75806
to levy a tax in whole or in part for the purpose of criminal and 75807
administrative justice services, the board shall prepare and make 75808
available at the first public hearing at which the resolution is 75809
considered a statement containing the following information:75810

       (1) For each of the two preceding fiscal years, the amount of 75811
expenditures made by the county from the county general fund for 75812
the purpose of criminal and administrative justice services;75813

       (2) For the fiscal year in which the resolution is adopted,75814
the board's estimate of the amount of expenditures to be made by75815
the county from the county general fund for the purpose of75816
criminal and administrative justice services;75817

       (3) For each of the two fiscal years after the fiscal year in 75818
which the resolution is adopted, the board's preliminary plan for 75819
expenditures to be made from the county general fund for the75820
purpose of criminal and administrative justice services, both75821
under the assumption that the tax will be imposed for that purpose75822
and under the assumption that the tax would not be imposed for75823
that purpose, and for expenditures to be made from the special75824
fund created under division (E) of this section under the75825
assumption that the tax will be imposed for that purpose.75826

       The board shall prepare the statement and the preliminary75827
plan using the best information available to the board at the time75828
the statement is prepared. Neither the statement nor the75829
preliminary plan shall be used as a basis to challenge the75830
validity of the tax in any court of competent jurisdiction, nor75831
shall the statement or preliminary plan limit the authority of the75832
board to appropriate, pursuant to section 5705.38 of the Revised75833
Code, an amount different from that specified in the preliminary75834
plan.75835

       (H) Upon receipt from a board of county commissioners of a 75836
certified copy of a resolution required by division (A) or (D) of 75837
this section, or from the board of elections of a notice of the 75838
results of an election required by division (A) or (B)(1) or (2) 75839
of this section, the tax commissioner shall provide notice of a 75840
tax rate change in a manner that is reasonably accessible to all 75841
affected vendors. The commissioner shall provide this notice at 75842
least sixty days prior to the effective date of the rate change. 75843
The commissioner, by rule, may establish the method by which 75844
notice will be provided.75845

       (I) As used in this section, "criminal and administrative75846
justice services" means the exercise by the county sheriff of all75847
powers and duties vested in that office by law; the exercise by75848
the county prosecuting attorney of all powers and duties vested in75849
that office by law; the exercise by any court in the county of all75850
powers and duties vested in that court; the exercise by the clerk75851
of the court of common pleas, any clerk of a municipal court75852
having jurisdiction throughout the county, or the clerk of any75853
county court of all powers and duties vested in the clerk by law75854
except, in the case of the clerk of the court of common pleas, the75855
titling of motor vehicles or watercraft pursuant to Chapter 1548.75856
or 4505. of the Revised Code; the exercise by the county coroner75857
of all powers and duties vested in that office by law; making75858
payments to any other public agency or a private, nonprofit75859
agency, the purposes of which in the county include the diversion,75860
adjudication, detention, or rehabilitation of criminals or75861
juvenile offenders; the operation and maintenance of any detention75862
facility, as defined in section 2921.01 of the Revised Code; and75863
the construction, acquisition, equipping, or repair of such a75864
detention facility, including the payment of any debt charges75865
incurred in the issuance of securities pursuant to Chapter 133. of75866
the Revised Code for the purpose of constructing, acquiring,75867
equipping, or repairing such a facility.75868

       Sec. 5739.022.  (A) The question of repeal of either a county 75869
permissive tax or an increase in the rate of a county permissive 75870
tax that was adopted as an emergency measure pursuant to section 75871
5739.021 or 5739.026 of the Revised Code may be initiated by 75872
filing with the board of elections of the county not less than 75873
seventy-five days before the general election in any year a 75874
petition requesting that an election be held on the question. The 75875
question of repealing an increase in the rate of the county 75876
permissive tax shall be submitted to the electors as a separate 75877
question from the repeal of the tax in effect prior to the 75878
increase in the rate. Any petition filed under this section shall 75879
be signed by qualified electors residing in the county equal in 75880
number to ten per cent of those voting for governor at the most75881
recent gubernatorial election.75882

       After determination by it that the petition is valid, the75883
board of elections shall submit the question to the electors of75884
the county at the next general election. The election shall be75885
conducted, canvassed, and certified in the same manner as regular75886
elections for county offices in the county. The board of elections 75887
shall notify the tax commissioner, in writing, of the election 75888
upon determining that the petition is valid. Notice of the 75889
election shall also be published in a newspaper of general75890
circulation in the district once a week for four consecutive weeks75891
prior to the election, stating the purpose, the time, and the75892
place of the election. The form of the ballot cast at the election 75893
shall be prescribed by the secretary of state; however, the ballot 75894
question shall read, "shall the tax (or, increase in the rate of 75895
the tax) be retained?75896

        75897

 Yes 75898
 No  " 75899

        75900

The question covered by the petition shall be submitted as a75901
separate proposition, but it may be printed on the same ballot75902
with any other proposition submitted at the same election other75903
than the election of officers.75904

       (B) If a majority of the qualified electors voting on the75905
question of repeal of either a county permissive tax or an75906
increase in the rate of a county permissive tax approve the75907
repeal, the board of elections shall notify the board of county75908
commissioners and the tax commissioner of the result of the75909
election immediately after the result has been declared. The board 75910
of county commissioners shall, on the first day of the month75911
calendar quarter following the expiration of thirtysixty-five75912
days after the date it receives the board and the tax commissioner 75913
receive the notice, in the case of a repeal of a county permissive 75914
tax, cease to levy the tax, or, in the case of a repeal of an 75915
increase in the rate of a county permissive tax, levy the tax at 75916
the rate at which it was imposed immediately prior to the increase 75917
in rate and cease to levy the increased rate.75918

       (C) Upon receipt from a board of elections of a notice of the 75919
results of an election required by division (B) of this section, 75920
the tax commissioner shall provide notice of a tax repeal or rate 75921
change in a manner that is reasonably accessible to all affected 75922
vendors. The commissioner shall provide this notice at least sixty 75923
days prior to the effective date of the rate change. The 75924
commissioner, by rule, may establish the method by which notice 75925
will be provided.75926

       (D) If a vendor that is registered with the central 75927
electronic registration system provided for in section 5740.05 of 75928
the Revised Code makes a sale in this state by printed catalog and 75929
the consumer computed the tax on the sale based on local rates 75930
published in the catalog, any tax repealed or rate changed under 75931
this section shall not apply to such a sale until the first day of 75932
a calendar quarter following the expiration of one hundred twenty 75933
days from the date of notice by the tax commissioner pursuant to 75934
division (C) of this section.75935

       Sec. 5739.023.  (A)(1) For the purpose of providing75936
additional general revenues for a transit authority and paying the75937
expenses of administering such levy, any transit authority as75938
defined in division (U) of section 5739.01 of the Revised Code may75939
levy a tax upon every retail sale made in the territory of the75940
transit authority, except sales of watercraft and outboard motors75941
required to be titled pursuant to Chapter 1548. of the Revised75942
Code and sales of motor vehicles, at a rate of not more than one75943
and one-half per cent at any multiple of one-fourth of one per75944
cent and may increase the existing rate of tax to not more than75945
one and one-half per cent at any multiple of one-fourth of one per75946
cent. The tax shall be levied and the rate increased pursuant to a 75947
resolution of the legislative authority of the transit authority75948
and a certified copy of the resolution shall be delivered by the75949
fiscal officer to the board of elections as provided in section75950
3505.071 of the Revised Code and to the tax commissioner. The 75951
resolution shall specify the number of years for which the tax is 75952
to be in effect or that the tax is for a continuing period of 75953
time, and the date of the election on the question of the tax 75954
pursuant to section 306.70 of the Revised Code. The board of 75955
elections shall certify the results of the election to the transit 75956
authority and tax commissioner.75957

       (2) Except as provided in division (C) of this section, the75958
tax levied by the resolution shall become effective on the first75959
day of a calendar quarter next following the sixtiethsixty-fifth75960
day following the date the tax commissioner receives from the 75961
board of elections the certification of the results of the75962
election on the question of the tax by the board of elections.75963

       (B) The legislative authority may, at any time while the tax75964
is in effect, by resolution fix the rate of the tax at any rate75965
authorized by this section and not in excess of that approved by75966
the voters pursuant to section 306.70 of the Revised Code. Except75967
as provided in division (C) of this section, any change in the75968
rate of the tax shall be made effective on the first day of a75969
calendar quarter next following the sixtiethsixty-fifth day 75970
following the date the tax commissioner receives the certification 75971
of the resolution to the tax commissioner; provided, that in any 75972
case where bonds, or notes in anticipation of bonds, of a regional 75973
transit authority have been issued under section 306.40 of the 75974
Revised Code without a vote of the electors while the tax proposed 75975
to be reduced was in effect, the board of trustees of the regional 75976
transit authority shall continue to levy and collect under 75977
authority of the original election authorizing the tax a rate of 75978
tax that the board of trustees reasonably estimates will produce 75979
an amount in that year equal to the amount of principal of and 75980
interest on those bonds as is payable in that year.75981

       (C) Upon receipt from the board of elections of the 75982
certification of the results of the election required by division 75983
(A) of this section, or from the legislative authority of the 75984
certification of a resolution under division (B) of this section, 75985
the tax commissioner shall provide notice of a tax rate change in 75986
a manner that is reasonably accessible to all affected vendors. 75987
The commissioner shall provide this notice at least sixty days 75988
prior to the effective date of the rate change. The commissioner, 75989
by rule, may establish the method by which notice will be 75990
provided.75991

       (D) If a vendor that is registered with the central75992
electronic registration system provided for in section 5740.05 of75993
the Revised Code makes a sale in this state by printed catalog and 75994
the consumer computed the tax on the sale based on local rates75995
published in the catalog, any tax levied or rate changed under75996
this section shall not apply to such a sale until the first day of75997
a calendar quarter following the expiration of one hundred twenty75998
days from the date of notice by the tax commissioner to the75999
vendor, or to the vendor's certified service provider, if the76000
vendor has selected onepursuant to division (C) of this section.76001

       (D)(E) The tax on every retail sale subject to a tax levied76002
pursuant to this section is in addition to the tax levied by76003
section 5739.02 of the Revised Code and any tax levied pursuant to76004
section 5739.021 or 5739.026 of the Revised Code.76005

       (E)(F) The additional tax levied by the transit authority76006
shall be collected pursuant to section 5739.025 of the Revised76007
Code.76008

       (F)(G) Any tax levied pursuant to this section is subject to76009
the exemptions provided in section 5739.02 of the Revised Code and76010
in addition shall not be applicable to sales not within the taxing76011
power of a transit authority under the constitution of the United76012
States or the constitution of this state.76013

       (G)(H) The rate of a tax levied under this section is subject76014
to reduction under section 5739.028 of the Revised Code, if a76015
ballot question is approved by voters pursuant to that section.76016

       Sec. 5739.025.  As used in this section, "local tax" means a 76017
tax imposed pursuant to section 5739.021, 5739.023, 5739.026,76018
5741.021, 5741.022, or 5741.023 of the Revised Code.76019

       (A) The taxes levied by sections 5739.02 and 5741.02 of the 76020
Revised Code shall be collected as follows:76021

       (1) On and after July 1, 2003, and on or before June 30, 76022
2005, in accordance with the following schedule:76023

If the price The amount of 76024
is at least But not more than the tax is 76025
$ .01 $ .15 No tax 76026
  .16   .16   1¢ 76027
  .17   .33   2¢ 76028
  .34   .50   3¢ 76029
  .51   .66   4¢ 76030
  .67   .83   5¢ 76031
  .84  1.00   6¢ 76032

       If the price exceeds one dollar, the tax is six cents on each 76033
one dollar. If the price exceeds one dollar or a multiple thereof 76034
by not more than seventeen cents, the amount of tax is six cents 76035
for each one dollar plus one cent. If the price exceeds one dollar 76036
or a multiple thereof by more than seventeen cents, the amount of 76037
tax is six cents for each one dollar plus the amount of tax for 76038
prices eighteen cents through ninety-nine cents in accordance with 76039
the schedule above.76040

       (2) On and after July 1, 2005, and on and before December 31, 76041
2005, in accordance with the following schedule:76042

If the price But not The amount 76043
is at least more than of the tax is 76044

$ .01 $ .15 No tax 76045
.16 .20 1¢ 76046
.21 .40 2¢ 76047
.41 .60 3¢ 76048
.61 .80 4¢ 76049
.81 1.00 5¢ 76050

       If the price exceeds one dollar, the tax is five cents on76051
each one dollar. If the price exceeds one dollar or a multiple76052
thereof by not more than twenty cents, the amount of tax is five76053
cents for each one dollar plus one cent. If the price exceeds one 76054
dollar or a multiple thereof by more than twenty cents, the amount 76055
of tax is five cents for each one dollar plus the amount of tax 76056
for prices twenty-one cents through ninety-nine cents in76057
accordance with the schedule above.76058

       (B) TheOn and after July 1, 2003, and on and before June 30, 76059
2005, the combined taxes levied by sections 5739.02 and 5741.02 76060
and pursuant to sections 5739.021, 5739.023, 5739.026, 5741.021, 76061
5741.022, and 5741.023 of the Revised Code shall be collected in 76062
accordance with the following schedules:76063

       (1) When the combined rate of state and local tax is six and 76064
one-fourth per cent:76065

If the price The amount of 76066
is at least But not more than the tax is 76067
$ .01 $ .15 No tax 76068
  .16   .16   1¢ 76069
  .17   .32   2¢ 76070
  .33   .48   3¢ 76071
  .49   .64   4¢ 76072
  .65   .80   5¢ 76073
  .81   .96   6¢ 76074
  .97  1.12   7¢ 76075
 1.13  1.28   8¢ 76076
 1.29  1.44   9¢ 76077
 1.45  1.60  10¢ 76078
 1.61  1.76  11¢ 76079
 1.77  1.92  12¢ 76080
 1.93  2.08  13¢ 76081
 2.09  2.24  14¢ 76082
 2.25  2.40  15¢ 76083
 2.41  2.56  16¢ 76084
 2.57  2.72  17¢ 76085
 2.73  2.88  18¢ 76086
 2.89  3.04  19¢ 76087
 3.05  3.20  20¢ 76088
 3.21  3.36  21¢ 76089
 3.37  3.52  22¢ 76090
 3.53  3.68  23¢ 76091
 3.69  3.84  24¢ 76092
 3.85  4.00  25¢ 76093

       If the price exceeds four dollars, the tax is twenty-five 76094
cents on each four dollars. If the price exceeds four dollars or a 76095
multiple thereof by not more than sixteen cents, the amount of tax 76096
is twenty-five cents for each four dollars plus one cent. If the 76097
price exceeds four dollars or a multiple thereof by more than 76098
sixteen cents, the amount of tax is twenty-five cents for each 76099
four dollars plus the amount of tax for prices seventeen cents 76100
through three dollars and ninety-nine cents in accordance with the 76101
schedule above.76102

       (2) When the combined rate of state and local tax is six and 76103
one-half per cent:76104

If the price The amount of 76105
is at least But not more than the tax is 76106
$ .01 $ .15 No tax 76107
  .16   .30   2¢ 76108
  .31   .46   3¢ 76109
  .47   .61   4¢ 76110
  .62   .76   5¢ 76111
  .77   .92   6¢ 76112
  .93  1.07   7¢ 76113
 1.08  1.23   8¢ 76114
 1.24  1.38   9¢ 76115
 1.39  1.53  10¢ 76116
 1.54  1.69  11¢ 76117
 1.70  1.84  12¢ 76118
 1.85  2.00  13¢ 76119

       If the price exceeds two dollars, the tax is thirteen cents 76120
on each two dollars. If the price exceeds two dollars or a 76121
multiple thereof by not more than fifteen cents, the amount of tax 76122
is thirteen cents for each two dollars plus one cent. If the price 76123
exceeds two dollars or a multiple thereof by more than fifteen 76124
cents, the amount of tax is thirteen cents for each two dollars 76125
plus the amount of tax for prices sixteen cents through one dollar 76126
and ninety-nine cents in accordance with the schedule above.76127

       (3) When the combined rate of state and local tax is six and 76128
three-fourths per cent:76129

If the price The amount of 76130
is at least But not more than the tax is 76131
$ .01 $ .15 No tax 76132
  .16   .29   2¢ 76133
  .30   .44   3¢ 76134
  .45   .59   4¢ 76135
  .60   .74   5¢ 76136
  .75   .88   6¢ 76137
  .89  1.03   7¢ 76138
 1.04  1.18   8¢ 76139
 1.19  1.33   9¢ 76140
 1.34  1.48  10¢ 76141
 1.49  1.62  11¢ 76142
 1.63  1.77  12¢ 76143
 1.78  1.92  13¢ 76144
 1.93  2.07  14¢ 76145
 2.08  2.22  15¢ 76146
 2.23  2.37  16¢ 76147
 2.38  2.51  17¢ 76148
 2.52  2.66  18¢ 76149
 2.67  2.81  19¢ 76150
 2.82  2.96  20¢ 76151
 2.97  3.11  21¢ 76152
 3.12  3.25  22¢ 76153
 3.26  3.40  23¢ 76154
 3.41  3.55  24¢ 76155
 3.56  3.70  25¢ 76156
 3.71  3.85  26¢ 76157
 3.86  4.00  27¢ 76158

       If the price exceeds four dollars, the tax is twenty-seven 76159
cents on each four dollars. If the price exceeds four dollars or a 76160
multiple thereof by not more than fourteen cents, the amount of 76161
tax is twenty-seven cents for each four dollars plus one cent. If 76162
the price exceeds four dollars or a multiple thereof by more than 76163
fourteen but by not more than twenty-nine cents, the amount of tax 76164
is twenty-seven cents for each four dollars plus two cents. If the 76165
price exceeds four dollars or a multiple thereof by more than 76166
twenty-nine cents the amount of tax is twenty-seven cents for each 76167
four dollars plus the amount of tax for prices thirty cents 76168
through three dollars and ninety-nine cents in accordance with the 76169
schedule above.76170

        (4) When the combined rate of state and local tax is seven 76171
per cent:76172

If the price The amount of 76173
is at least But not more than the tax is 76174
$ .01 $ .15 No tax 76175
  .16   .28   2¢ 76176
  .29   .42   3¢ 76177
  .43   .57   4¢ 76178
  .58   .71   5¢ 76179
  .72   .85   6¢ 76180
  .86  1.00   7¢ 76181

       If the price exceeds one dollar, the tax is seven cents on 76182
each one dollar. If the price exceeds one dollar or a multiple 76183
thereof by not more than fifteen cents, the amount of tax is seven 76184
cents for each one dollar plus one cent. If the price exceeds one 76185
dollar or a multiple thereof by more than fifteen cents, the 76186
amount of tax is seven cents for each one dollar plus the amount 76187
of tax for prices sixteen cents through ninety-nine cents in 76188
accordance with the schedule above.76189

       (5) When the combined rate of state and local tax is seven 76190
and one-fourth per cent:76191

If the price The amount of 76192
is at least But not more than the tax is 76193
$ .01 $ .15 No tax 76194
  .16   .27   2¢ 76195
  .28   .41   3¢ 76196
  .42   .55   4¢ 76197
  .56   .68   5¢ 76198
  .69   .82   6¢ 76199
  .83   .96   7¢ 76200
  .97  1.10   8¢ 76201
 1.11  1.24   9¢ 76202
 1.25  1.37  10¢ 76203
 1.38  1.51  11¢ 76204
 1.52  1.65  12¢ 76205
 1.66  1.79  13¢ 76206
 1.80  1.93  14¢ 76207
 1.94  2.06  15¢ 76208
 2.07  2.20  16¢ 76209
 2.21  2.34  17¢ 76210
 2.35  2.48  18¢ 76211
 2.49  2.62  19¢ 76212
 2.63  2.75  20¢ 76213
 2.76  2.89  21¢ 76214
 2.90  3.03  22¢ 76215
 3.04  3.17  23¢ 76216
 3.18  3.31  24¢ 76217
 3.32  3.44  25¢ 76218
 3.45  3.58  26¢ 76219
 3.59  3.72  27¢ 76220
 3.73  3.86  28¢ 76221
 3.87  4.00  29¢ 76222

       If the price exceeds four dollars, the tax is twenty-nine 76223
cents on each four dollars. If the price exceeds four dollars or a 76224
multiple thereof by not more than thirteen cents, the amount of 76225
tax is twenty-nine cents for each four dollars plus one cent. If 76226
the price exceeds four dollars or a multiple thereof by more than 76227
thirteen cents but by not more than twenty-seven cents, the amount 76228
of tax is twenty-nine cents for each four dollars plus two cents. 76229
If the price exceeds four dollars or a multiple thereof by more 76230
than twenty-seven cents, the amount of tax is twenty-nine cents 76231
for each four dollars plus the amount of tax for prices 76232
twenty-eight cents through three dollars and ninety-nine cents in 76233
accordance with the schedule above.76234

       (6) When the combined rate of state and local tax is seven 76235
and one-half per cent:76236

If the price The amount of 76237
is at least But not more than the tax is 76238
$ .01 $ .15 No tax 76239
  .16   .26   2¢ 76240
  .27   .40   3¢ 76241
  .41   .53   4¢ 76242
  .54   .65   5¢ 76243
  .66   .80   6¢ 76244
  .81   .93   7¢ 76245
  .94  1.06   8¢ 76246
 1.07  1.20   9¢ 76247
 1.21  1.33  10¢ 76248
 1.34  1.46  11¢ 76249
 1.47  1.60  12¢ 76250
 1.61  1.73  13¢ 76251
 1.74  1.86  14¢ 76252
 1.87  2.00  15¢ 76253

       If the price exceeds two dollars, the tax is fifteen cents on 76254
each two dollars. If the price exceeds two dollars or a multiple 76255
thereof by not more than fifteen cents, the amount of tax is 76256
fifteen cents for each two dollars plus one cent. If the price 76257
exceeds two dollars or a multiple thereof by more than fifteen 76258
cents, the amount of tax is fifteen cents for each two dollars 76259
plus the amount of tax for prices sixteen cents through one dollar 76260
and ninety-nine cents in accordance with the schedule above.76261

       (7) When the combined rate of state and local tax is seven 76262
and three-fourths per cent:76263

If the price The amount of 76264
is at least But not more than the tax is 76265
$ .01 $ .15 No tax 76266
  .16   .25   2¢ 76267
  .26   .38   3¢ 76268
  .39   .51   4¢ 76269
  .52   .64   5¢ 76270
  .65   .77   6¢ 76271
  .78   .90   7¢ 76272
  .91  1.03   8¢ 76273
 1.04  1.16   9¢ 76274
 1.17  1.29  10¢ 76275
 1.30  1.41  11¢ 76276
 1.42  1.54  12¢ 76277
 1.55  1.67  13¢ 76278
 1.68  1.80  14¢ 76279
 1.81  1.93  15¢ 76280
 1.94  2.06  16¢ 76281
 2.07  2.19  17¢ 76282
 2.20  2.32  18¢ 76283
 2.33  2.45  19¢ 76284
 2.46  2.58  20¢ 76285
 2.59  2.70  21¢ 76286
 2.71  2.83  22¢ 76287
 2.84  2.96  23¢ 76288
 2.97  3.09  24¢ 76289
 3.10  3.22  25¢ 76290
 3.23  3.35  26¢ 76291
 3.36  3.48  27¢ 76292
 3.49  3.61  28¢ 76293
 3.62  3.74  29¢ 76294
 3.75  3.87  30¢ 76295
 3.88  4.00  31¢ 76296

       If the price exceeds four dollars, the tax is thirty-one 76297
cents on each four dollars. If the price exceeds four dollars or a 76298
multiple thereof by not more than twelve cents, the amount of tax 76299
is thirty-one cents for each four dollars plus one cent. If the 76300
price exceeds four dollars or a multiple thereof by more than 76301
twelve cents but by not more than twenty-five cents, the amount of 76302
tax is thirty-one cents for each four dollars plus two cents. If 76303
the price exceeds four dollars or a multiple thereof by more than 76304
twenty-five cents, the amount of tax is thirty-one cents for each 76305
four dollars plus the amount of tax for prices twenty-six cents 76306
through three dollars and ninety-nine cents in accordance with the 76307
schedule above.76308

        (8) When the combined rate of state and local tax is eight 76309
per cent:76310

If the price The amount of 76311
is at least But not more than the tax is 76312
$ .01 $ .15 No tax 76313
  .16   .25   2¢ 76314
  .26   .37   3¢ 76315
  .38   .50   4¢ 76316
  .51   .62   5¢ 76317
  .63   .75   6¢ 76318
  .76   .87   7¢ 76319
  .88  1.00   8¢ 76320

       If the price exceeds one dollar, the tax is eight cents on 76321
each one dollar. If the price exceeds one dollar or a multiple 76322
thereof by not more than twelve cents, the amount of tax is eight 76323
cents for each one dollar plus one cent. If the price exceeds one 76324
dollar or a multiple thereof by more than twelve cents but not 76325
more than twenty-five cents, the amount of tax is eight cents for 76326
each one dollar plus two cents. If the price exceeds one dollar or 76327
a multiple thereof by more than twenty-five cents, the amount of 76328
tax is eight cents for each one dollar plus the amount of tax for 76329
prices twenty-six cents through ninety-nine cents in accordance 76330
with the schedule above.76331

       (9) When the combined rate of state and local tax is eight 76332
and one-fourth per cent:76333

If the price The amount of 76334
is at least But not more than the tax is 76335
$ .01 $ .15 No tax 76336
  .16   .24   2¢ 76337
  .25   .36   3¢ 76338
  .37   .48   4¢ 76339
  .49   .60   5¢ 76340
  .61   .72   6¢ 76341
  .73   .84   7¢ 76342
  .85   .96   8¢ 76343
  .97  1.09   9¢ 76344
 1.10  1.21  10¢ 76345
 1.22  1.33  11¢ 76346
 1.34  1.45  12¢ 76347
 1.46  1.57  13¢ 76348
 1.58  1.69  14¢ 76349
 1.70  1.81  15¢ 76350
 1.82  1.93  16¢ 76351
 1.94  2.06  17¢ 76352
 2.07  2.18  18¢ 76353
 2.19  2.30  19¢ 76354
 2.31  2.42  20¢ 76355
 2.43  2.54  21¢ 76356
 2.55  2.66  22¢ 76357
 2.67  2.78  23¢ 76358
 2.79  2.90  24¢ 76359
 2.91  3.03  25¢ 76360
 3.04  3.15  26¢ 76361
 3.16  3.27  27¢ 76362
 3.28  3.39  28¢ 76363
 3.40  3.51  29¢ 76364
 3.52  3.63  30¢ 76365
 3.64  3.75  31¢ 76366
 3.76  3.87  32¢ 76367
 3.88  4.00  33¢ 76368

       If the price exceeds four dollars, the tax is thirty-three 76369
cents on each four dollars. If the price exceeds four dollars or a 76370
multiple thereof by not more than eleven cents, the amount of tax 76371
is thirty-three cents for each four dollars plus one cent. If the 76372
price exceeds four dollars or a multiple thereof by more than 76373
eleven cents but by not more than twenty-four cents, the amount of 76374
tax is thirty-three cents for each four dollars plus two cents. If 76375
the price exceeds four dollars or a multiple thereof by more than 76376
twenty-four cents, the amount of tax is thirty-three cents for 76377
each four dollars plus the amount of tax for prices twenty-six 76378
cents through three dollars and ninety-nine cents in accordance 76379
with the schedule above.76380

       (10) When the combined rate of state and local tax is eight 76381
and one-half per cent:76382

If the price The amount of 76383
is at least But not more than the tax is 76384
$ .01 $ .15 No tax 76385
  .16   .23   2¢ 76386
  .24   .35   3¢ 76387
  .36   .47   4¢ 76388
  .48   .58   5¢ 76389
  .59   .70   6¢ 76390
  .71   .82   7¢ 76391
  .83   .94   8¢ 76392
  .95  1.05   9¢ 76393
 1.06  1.17  10¢ 76394
 1.18  1.29  11¢ 76395
 1.30  1.41  12¢ 76396
 1.42  1.52  13¢ 76397
 1.53  1.64  14¢ 76398
 1.65  1.76  15¢ 76399
 1.77  1.88  16¢ 76400
 1.89  2.00  17¢ 76401

       If the price exceeds two dollars, the tax is seventeen cents 76402
on each two dollars. If the price exceeds two dollars or a 76403
multiple thereof by not more than eleven cents, the amount of tax 76404
is seventeen cents for each two dollars plus one cent. If the 76405
price exceeds two dollars or a multiple thereof by more than 76406
eleven cents but by not more than twenty-three cents, the amount 76407
of tax is seventeen cents for each two dollars plus two cents. If 76408
the price exceeds two dollars or a multiple thereof by more than 76409
twenty-three cents, the amount of tax is seventeen cents for each 76410
two dollars plus the amount of tax for prices twenty-four cents 76411
through one dollar and ninety-nine cents in accordance with the 76412
schedule above.76413

        (11) When the combined rate of state and local tax is eight 76414
and three-fourths per cent:76415

If the price The amount of 76416
is at least But not more than the tax is 76417
$ .01 $ .15 No tax 76418
  .16   .22   2¢ 76419
  .23   .34   3¢ 76420
  .35   .45   4¢ 76421
  .46   .57   5¢ 76422
  .58   .68   6¢ 76423
  .69   .80   7¢ 76424
  .81   .91   8¢ 76425
  .92  1.02   9¢ 76426
 1.03  1.14  10¢ 76427
 1.15  1.25  11¢ 76428
 1.26  1.37  12¢ 76429
 1.38  1.48  13¢ 76430
 1.49  1.60  14¢ 76431
 1.61  1.71  15¢ 76432
 1.72  1.82  16¢ 76433
 1.83  1.94  17¢ 76434
 1.95  2.05  18¢ 76435
 2.06  2.17  19¢ 76436
 2.18  2.28  20¢ 76437
 2.29  2.40  21¢ 76438
 2.41  2.51  22¢ 76439
 2.52  2.62  23¢ 76440
 2.63  2.74  24¢ 76441
 2.75  2.85  25¢ 76442
 2.86  2.97  26¢ 76443
 2.98  3.08  27¢ 76444
 3.09  3.20  28¢ 76445
 3.21  3.31  29¢ 76446
 3.32  3.42  30¢ 76447
 3.43  3.54  31¢ 76448
 3.55  3.65  32¢ 76449
 3.66  3.77  33¢ 76450
 3.78  3.88  34¢ 76451
 3.89  4.00  35¢ 76452

       If the price exceeds four dollars, the tax is thirty-five 76453
cents on each four dollars. If the price exceeds four dollars or a 76454
multiple thereof by not more than eleven cents, the amount of tax 76455
is thirty-five cents for each four dollars plus one cent. If the 76456
price exceeds four dollars or a multiple thereof by more than 76457
eleven cents but by not more than twenty-two cents, the amount of 76458
tax is thirty-five cents for each four dollars plus two cents. If 76459
the price exceeds four dollars or a multiple thereof by more than 76460
twenty-two cents, the amount of tax is thirty-five cents for each 76461
four dollars plus the amount of tax for prices twenty-three cents 76462
through three dollars and ninety-nine cents in accordance with the 76463
schedule above.76464

        (12) When the combined rate of state and local tax is nine 76465
per cent:76466

If the price The amount of 76467
is at least But not more than the tax is 76468
$ .01 $ .15 No tax 76469
  .16   .22   2¢ 76470
  .23   .33   3¢ 76471
  .34   .44   4¢ 76472
  .45   .55   5¢ 76473
  .56   .66   6¢ 76474
  .67   .77   7¢ 76475
  .78   .88   8¢ 76476
  .89  1.00   9¢ 76477

       If the price exceeds one dollar, the tax is nine cents on 76478
each one dollar. If the price exceeds one dollar or a multiple 76479
thereof by not more than eleven cents, the amount of tax is nine 76480
cents for each one dollar plus one cent. If the price exceeds one 76481
dollar or a multiple thereof by more than eleven cents but by not 76482
more than twenty-two cents, the amount of tax is nine cents for 76483
each one dollar plus two cents. If the price exceeds one dollar or 76484
a multiple thereof by more than twenty-two cents, the amount of 76485
tax is nine cents for each one dollar plus the amount of tax for 76486
prices twenty-three cents through ninety-nine cents in accordance 76487
with the schedule above.76488

       (C) On and after July 1, 2005, and on and before December 31, 76489
2005, the combined taxes levied by sections 5739.02 and 5741.02 76490
and pursuant to sections 5739.021, 5739.023, 5739.026, 5741.021, 76491
5741.022, and 5741.023 of the Revised Code shall be collected in 76492
accordance with the following schedules:76493

       (1) When the total rate of local tax is one-fourth per cent:76494

If the price But not The amount 76495
is at least more than of the tax is 76496

$ .01 $ .15 No tax 76497
.16 .19 1¢ 76498
.20 .38 2¢ 76499
.39 .57 3¢ 76500
.58 .76 4¢ 76501
.77 .95 5¢ 76502
.96 1.14 6¢ 76503
1.15 1.33 7¢ 76504
1.34 1.52 8¢ 76505
1.53 1.71 9¢ 76506
1.72 1.90 10¢ 76507
1.91 2.09 11¢ 76508
2.10 2.28 12¢ 76509
2.29 2.47 13¢ 76510
2.48 2.66 14¢ 76511
2.67 2.85 15¢ 76512
2.86 3.04 16¢ 76513
3.05 3.23 17¢ 76514
3.24 3.42 18¢ 76515
3.43 3.61 19¢ 76516
3.62 3.80 20¢ 76517
3.81 4.00 21¢ 76518

       If the price exceeds four dollars, the tax is twenty-one76519
cents on each four dollars. If the price exceeds four dollars or a 76520
multiple thereof by not more than nineteen cents, the amount of76521
tax is twenty-one cents for each four dollars plus one cent. If76522
the price exceeds four dollars or a multiple thereof by more than76523
nineteen cents, the amount of tax is twenty-one cents for each76524
four dollars plus the amount of tax for prices twenty cents76525
through three dollars and ninety-nine cents in accordance with the 76526
schedule above.76527

       (2) When the combined rate of local tax is one-half per cent:76528

If the price But not The amount 76529
is at least more than of the tax is 76530

$ .01 $ .15 No tax 76531
.16 .18 1¢ 76532
.19 .36 2¢ 76533
.37 .54 3¢ 76534
.55 .72 4¢ 76535
.73 .90 5¢ 76536
.91 1.09 6¢ 76537
1.10 1.27 7¢ 76538
1.28 1.46 8¢ 76539
1.47 1.64 9¢ 76540
1.65 1.82 10¢ 76541
1.83 2.00 11¢ 76542

       If the price exceeds two dollars, the tax is eleven cents on 76543
each two dollars. If the price exceeds two dollars or a multiple 76544
thereof by not more than eighteen cents, the amount of tax is 76545
eleven cents for each two dollars plus one cent. If the price 76546
exceeds two dollars or a multiple thereof by more than eighteen 76547
cents, the amount of tax is eleven cents for each two dollars plus 76548
the amount of tax for prices nineteen cents through one dollar and 76549
ninety-nine cents in accordance with the schedule above.76550

       (3) When the combined rate of local tax is three-fourths per 76551
cent:76552

If the price But not The amount 76553
is at least more than of the tax is 76554

$ .01 $ .15 No tax 76555
.16 .17 1¢ 76556
.18 .34 2¢ 76557
.35 .52 3¢ 76558
.53 .69 4¢ 76559
.70 .86 5¢ 76560
.87 1.04 6¢ 76561
1.05 1.21 7¢ 76562
1.22 1.39 8¢ 76563
1.40 1.56 9¢ 76564
1.57 1.73 10¢ 76565
1.74 1.91 11¢ 76566
1.92 2.08 12¢ 76567
2.09 2.26 13¢ 76568
2.27 2.43 14¢ 76569
2.44 2.60 15¢ 76570
2.61 2.78 16¢ 76571
2.79 2.95 17¢ 76572
2.96 3.13 18¢ 76573
3.14 3.30 19¢ 76574
3.31 3.47 20¢ 76575
3.48 3.65 21¢ 76576
3.66 3.82 22¢ 76577
3.83 4.00 23¢ 76578

       If the price exceeds four dollars, the tax is twenty-three76579
cents on each four dollars. If the price exceeds four dollars or a 76580
multiple thereof by not more than seventeen cents, the amount of 76581
tax is twenty-three cents for each four dollars plus one cent. If 76582
the price exceeds four dollars or a multiple thereof by more than 76583
seventeen cents, the amount of tax is twenty-three cents for each 76584
four dollars plus the amount of tax for prices eighteen cents 76585
through three dollars and ninety-nine cents in accordance with the 76586
schedule above.76587

       (4) When the combined rate of local tax is one per cent:76588

If the price But not The amount 76589
is at least more than of the tax is 76590

$ .01 $ .15 No tax 76591
.16 .17 1¢ 76592
.18 .34 2¢ 76593
.35 .50 3¢ 76594
.51 .67 4¢ 76595
.68 .83 5¢ 76596
.84 1.00 6¢ 76597

       If the price exceeds one dollar, the tax is six cents on each 76598
one dollar. If the price exceeds one dollar or a multiple thereof 76599
by not more than seventeen cents, the amount of tax is six cents 76600
for each one dollar plus one cent. If the price exceeds one dollar 76601
or a multiple thereof by more than seventeen cents, the amount of 76602
tax is six cents for each one dollar plus the amount of tax for 76603
prices eighteen cents through ninety-nine cents in accordance with 76604
the schedule above.76605

       (5) When the combined rate of local tax is one and one-fourth 76606
per cent:76607

If the price But not The amount 76608
is at least more than of the tax is 76609

$ .01 $ .15 No tax 76610
.16 .16 1¢ 76611
.17 .32 2¢ 76612
.33 .48 3¢ 76613
.49 .64 4¢ 76614
.65 .80 5¢ 76615
.81 .96 6¢ 76616
.97 1.12 7¢ 76617
1.13 1.28 8¢ 76618
1.29 1.44 9¢ 76619
1.45 1.60 10¢ 76620
1.61 1.76 11¢ 76621
1.77 1.92 12¢ 76622
1.93 2.08 13¢ 76623
2.09 2.24 14¢ 76624
2.25 2.40 15¢ 76625
2.41 2.56 16¢ 76626
2.57 2.72 17¢ 76627
2.73 2.88 18¢ 76628
2.89 3.04 19¢ 76629
3.05 3.20 20¢ 76630
3.21 3.36 21¢ 76631
3.37 3.52 22¢ 76632
3.53 3.68 23¢ 76633
3.69 3.84 24¢ 76634
3.85 4.00 25¢ 76635

       If the price exceeds four dollars, the tax is twenty-five76636
cents on each four dollars. If the price exceeds four dollars or a 76637
multiple thereof by not more than sixteen cents, the amount of tax 76638
is twenty-five cents for each four dollars plus one cent. If the 76639
price exceeds four dollars or a multiple thereof by more than76640
sixteen cents, the amount of tax is twenty-five cents for each76641
four dollars plus the amount of tax for prices seventeen cents76642
through three dollars and ninety-nine cents in accordance with the 76643
schedule above.76644

       (6) When the combined rate of local tax is one and one-half 76645
per cent:76646

If the price But not The amount 76647
is at least more than of the tax is 76648

$ .01 $ .15 No tax 76649
.16 .30 2¢ 76650
.31 .46 3¢ 76651
.47 .61 4¢ 76652
.62 .76 5¢ 76653
.77 .92 6¢ 76654
.93 1.07 7¢ 76655
1.08 1.23 8¢ 76656
1.24 1.38 9¢ 76657
1.39 1.53 10¢ 76658
1.54 1.69 11¢ 76659
1.70 1.84 12¢ 76660
1.85 2.00 13¢ 76661

       If the price exceeds two dollars, the tax is thirteen cents76662
on each two dollars. If the price exceeds two dollars or a76663
multiple thereof by not more than fifteen cents, the amount of tax 76664
is thirteen cents for each two dollars plus one cent. If the price 76665
exceeds two dollars or a multiple thereof by more than fifteen 76666
cents, the amount of tax is thirteen cents for each two dollars 76667
plus the amount of tax for prices sixteen cents through one dollar 76668
and ninety-nine cents in accordance with the schedule above.76669

       (7) When the combined rate of local tax is one and76670
three-fourths per cent:76671

If the price But not The amount 76672
is at least more than of the tax is 76673

$ .01 $ .15 No tax 76674
.16 .29 2¢ 76675
.30 .44 3¢ 76676
.45 .59 4¢ 76677
.60 .74 5¢ 76678
.75 .88 6¢ 76679
.89 1.03 7¢ 76680
1.04 1.18 8¢ 76681
1.19 1.33 9¢ 76682
1.34 1.48 10¢ 76683
1.49 1.62 11¢ 76684
1.63 1.77 12¢ 76685
1.78 1.92 13¢ 76686
1.93 2.07 14¢ 76687
2.08 2.22 15¢ 76688
2.23 2.37 16¢ 76689
2.38 2.51 17¢ 76690
2.52 2.66 18¢ 76691
2.67 2.81 19¢ 76692
2.82 2.96 20¢ 76693
2.97 3.11 21¢ 76694
3.12 3.25 22¢ 76695
3.26 3.40 23¢ 76696
3.41 3.55 24¢ 76697
3.56 3.70 25¢ 76698
3.71 3.85 26¢ 76699
3.86 4.00 27¢ 76700

       If the price exceeds four dollars, the tax is twenty-seven76701
cents on each four dollars. If the price exceeds four dollars or a 76702
multiple thereof by not more than fourteen cents, the amount of76703
tax is twenty-seven cents for each four dollars plus one cent. If 76704
the price exceeds four dollars or a multiple thereof by more than 76705
fourteen but by not more than twenty-nine cents, the amount of tax 76706
is twenty-seven cents for each four dollars plus two cents. If the 76707
price exceeds four dollars or a multiple thereof by more than 76708
twenty-nine cents the amount of tax is twenty-seven cents for each 76709
four dollars plus the amount of tax for prices thirty cents 76710
through three dollars and ninety-nine cents in accordance with the 76711
schedule above.76712

       (8) When the combined rate of local tax is two per cent:76713

If the price But not The amount 76714
is at least more than of the tax is 76715

$ .01 $ .15 No tax 76716
.16 .28 2¢ 76717
.29 .42 3¢ 76718
.43 .57 4¢ 76719
.58 .71 5¢ 76720
.72 .85 6¢ 76721
.86 1.00 7¢ 76722

       If the price exceeds one dollar, the tax is seven cents on76723
each one dollar. If the price exceeds one dollar or a multiple76724
thereof by not more than fifteen cents, the amount of tax is seven 76725
cents for each one dollar plus one cent. If the price exceeds one 76726
dollar or a multiple thereof by more than fifteen cents, the 76727
amount of tax is seven cents for each one dollar plus the amount 76728
of tax for prices sixteen cents through ninety-nine cents in 76729
accordance with the schedule above.76730

       (9) When the combined rate of local tax is two and one-fourth 76731
per cent:76732

If the price But not The amount 76733
is at least more than of the tax is 76734

$ .01 $ .15 No tax 76735
.16 .27 2¢ 76736
.28 .41 3¢ 76737
.42 .55 4¢ 76738
.56 .68 5¢ 76739
.69 .82 6¢ 76740
.83 .96 7¢ 76741
.97 1.10 8¢ 76742
1.11 1.24 9¢ 76743
1.25 1.37 10¢ 76744
1.38 1.51 11¢ 76745
1.52 1.65 12¢ 76746
1.66 1.79 13¢ 76747
1.80 1.93 14¢ 76748
1.94 2.06 15¢ 76749
2.07 2.20 16¢ 76750
2.21 2.34 17¢ 76751
2.35 2.48 18¢ 76752
2.49 2.62 19¢ 76753
2.63 2.75 20¢ 76754
2.76 2.89 21¢ 76755
2.90 3.03 22¢ 76756
3.04 3.17 23¢ 76757
3.18 3.31 24¢ 76758
3.32 3.44 25¢ 76759
3.45 3.58 26¢ 76760
3.59 3.72 27¢ 76761
3.73 3.86 28¢ 76762
3.87 4.00 29¢ 76763

       If the price exceeds four dollars, the tax is twenty-nine76764
cents on each four dollars. If the price exceeds four dollars or a 76765
multiple thereof by not more than thirteen cents, the amount of76766
tax is twenty-nine cents for each four dollars plus one cent. If76767
the price exceeds four dollars or a multiple thereof by more than76768
thirteen cents but by not more than twenty-seven cents, the amount 76769
of tax is twenty-nine cents for each four dollars plus two cents. 76770
If the price exceeds four dollars or a multiple thereof by more 76771
than twenty-seven cents, the amount of tax is twenty-nine cents 76772
for each four dollars plus the amount of tax for prices76773
twenty-eight cents through three dollars and ninety-nine cents in76774
accordance with the schedule above.76775

       (10) When the combined rate of local tax is two and one-half 76776
per cent:76777

If the price But not The amount 76778
is at least more than of the tax is 76779

$ .01 $ .15 No tax 76780
.16 .26 2¢ 76781
.27 .40 3¢ 76782
.41 .53 4¢ 76783
.54 .65 5¢ 76784
.66 .80 6¢ 76785
.81 .93 7¢ 76786
.94 1.06 8¢ 76787
1.07 1.20 9¢ 76788
1.21 1.33 10¢ 76789
1.34 1.46 11¢ 76790
1.47 1.60 12¢ 76791
1.61 1.73 13¢ 76792
1.74 1.86 14¢ 76793
1.87 2.00 15¢ 76794

       If the price exceeds two dollars, the tax is fifteen cents on 76795
each two dollars. If the price exceeds two dollars or a multiple 76796
thereof by not more than fifteen cents, the amount of tax is 76797
fifteen cents for each two dollars plus one cent. If the price 76798
exceeds two dollars or a multiple thereof by more than fifteen 76799
cents, the amount of tax is fifteen cents for each two dollars 76800
plus the amount of tax for prices sixteen cents through one dollar 76801
and ninety-nine cents in accordance with the schedule above.76802

       (11) When the combined rate of local tax is two and76803
three-fourths per cent:76804

If the price But not The amount 76805
is at least more than of the tax is 76806

$ .01 $ .15 No tax 76807
.16 .25 2¢ 76808
.26 .38 3¢ 76809
.39 .51 4¢ 76810
.52 .64 5¢ 76811
.65 .77 6¢ 76812
.78 .90 7¢ 76813
.91 1.03 8¢ 76814
1.04 1.16 9¢ 76815
1.17 1.29 10¢ 76816
1.30 1.41 11¢ 76817
1.42 1.54 12¢ 76818
1.55 1.67 13¢ 76819
1.68 1.80 14¢ 76820
1.81 1.93 15¢ 76821
1.94 2.06 16¢ 76822
2.07 2.19 17¢ 76823
2.20 2.32 18¢ 76824
2.33 2.45 19¢ 76825
2.46 2.58 20¢ 76826
2.59 2.70 21¢ 76827
2.71 2.83 22¢ 76828
2.84 2.96 23¢ 76829
2.97 3.09 24¢ 76830
3.10 3.22 25¢ 76831
3.23 3.35 26¢ 76832
3.36 3.48 27¢ 76833
3.49 3.61 28¢ 76834
3.62 3.74 29¢ 76835
3.75 3.87 30¢ 76836
3.88 4.00 31¢ 76837

       If the price exceeds four dollars, the tax is thirty-one76838
cents on each four dollars. If the price exceeds four dollars or a 76839
multiple thereof by not more than twelve cents, the amount of tax 76840
is thirty-one cents for each four dollars plus one cent. If the 76841
price exceeds four dollars or a multiple thereof by more than76842
twelve cents but not more than twenty-five cents, the amount of76843
tax is thirty-one cents for each four dollars plus two cents. If76844
the price exceeds four dollars or a multiple thereof by more than76845
twenty-five cents, the amount of tax is thirty-one cents for each76846
four dollars plus the amount of tax for prices twenty-six cents76847
through three dollars and ninety-nine cents in accordance with the 76848
schedule above.76849

       (12) When the combined rate of local tax is three per cent:76850

If the price But not The amount 76851
is at least more than of the tax is 76852

$ .01 $ .15 No tax 76853
.16 .25 2¢ 76854
.26 .37 3¢ 76855
.38 .50 4¢ 76856
.51 .62 5¢ 76857
.63 .75 6¢ 76858
.76 .87 7¢ 76859
.88 1.00 8¢ 76860

       If the price exceeds one dollar, the tax is eight cents on76861
each one dollar. If the price exceeds one dollar or a multiple76862
thereof by not more than twelve cents, the amount of tax is eight76863
cents for each one dollar plus one cent. If the price exceeds one 76864
dollar or a multiple thereof by more than twelve cents but not 76865
more than twenty-five cents, the amount of tax is eight cents for 76866
each one dollar plus two cents. If the price exceeds one dollar or 76867
a multiple thereof by more than twenty-five cents, the amount of 76868
tax is eight cents for each one dollar plus the amount of tax for 76869
prices twenty-six cents through ninety-nine cents in accordance 76870
with the schedule above.76871

       (C)(D) In lieu of collecting the tax pursuant to the76872
schedules set forth in divisions (A) and, (B), and (C) of this 76873
section, a vendor may compute the tax on each sale as follows:76874

       (1) On sales of fifteen cents or less, no tax shall apply.76875

       (2) On sales in excess of fifteen cents, multiply the price 76876
by the aggregate rate of taxes in effect under sections 5739.0176877
5739.02 and 5741.02 and sections 5739.021, 5739.023, 5739.026,76878
5741.021, 5741.022, and 5741.023 of the Revised Code. The76879
computation shall be carried out to six decimal places. If the76880
result is a fractional amount of a cent, the calculated tax shall76881
be increased to the next highest cent and that amount shall be76882
collected by the vendor.76883

       (D)(E) On and after January 1, 2006, a vendor shall compute 76884
the tax on each sale by multiplying the price by the aggregate 76885
rate of taxes in effect under sections 5739.02 and 5741.02, and 76886
sections 5739.021, 5739.023, 5739.026, 5741.021, 5741.022, and 76887
5741.023 of the Revised Code. The computation shall be carried out 76888
to three decimal places. If the result is a fractional amount of a 76889
cent, the calculated tax shall be rounded to a whole cent using a 76890
method that rounds up to the next cent whenever the third decimal 76891
place is greater than four. A vendor may elect to compute the tax 76892
due on a transaction on an item or an invoice basis.76893

       (F) In auditing a vendor, the tax commissioner shall consider 76894
the method prescribed by this section that was used by the vendor 76895
in determining and collecting the tax due under this chapter on 76896
taxable transactions. If the vendor correctly collects and remits 76897
the tax due under this chapter in accordance with the schedules in 76898
divisions (A) and, (B), and (C) of this section or in accordance 76899
with the computation prescribed in division (C)(D) or (E) of this 76900
section, the commissioner shall not assess any additional tax on 76901
those transactions.76902

       (G)(1) With respect to a sale of a fractional ownership 76903
program aircraft used primarily in a fractional aircraft ownership 76904
program, including all accessories attached to such aircraft, the 76905
tax shall be calculated pursuant to divisions (A) to (E) of this 76906
section, provided that the tax commissioner shall modify those 76907
calculations so that the maximum tax on each program aircraft is 76908
eight hundred dollars. In the case of a sale of a fractional 76909
interest that is less than one hundred per cent of the program 76910
aircraft, the tax charged on the transaction shall be eight 76911
hundred dollars multiplied by a fraction, the numerator of which 76912
is the percentage of ownership or possession in the aircraft being 76913
purchased in the transaction, and the denominator of which is one 76914
hundred per cent.76915

       (2) Notwithstanding any other provision of law to the 76916
contrary, the tax calculated under division (G)(1) of this section 76917
and paid with respect to the sale of a fractional ownership 76918
program aircraft used primarily in a fractional aircraft ownership 76919
program shall be credited to the general revenue fund.76920

       Sec. 5739.026.  (A) A board of county commissioners may levy76921
a tax of one-fourth or one-half of one per cent on every retail76922
sale in the county, except sales of watercraft and outboard motors76923
required to be titled pursuant to Chapter 1548. of the Revised76924
Code and sales of motor vehicles, and may increase an existing76925
rate of one-fourth of one per cent to one-half of one per cent, to76926
pay the expenses of administering the tax and, except as provided76927
in division (A)(6) of this section, for any one or more of the76928
following purposes provided that the aggregate levy for all such76929
purposes does not exceed one-half of one per cent:76930

       (1) To provide additional revenues for the payment of bonds76931
or notes issued in anticipation of bonds issued by a convention76932
facilities authority established by the board of county76933
commissioners under Chapter 351. of the Revised Code and to76934
provide additional operating revenues for the convention76935
facilities authority;76936

       (2) To provide additional revenues for a transit authority76937
operating in the county;76938

       (3) To provide additional revenue for the county's general76939
fund;76940

       (4) To provide additional revenue for permanent improvements76941
within the county to be distributed by the community improvements76942
board in accordance with section 307.283 and to pay principal,76943
interest, and premium on bonds issued under section 307.284 of the76944
Revised Code;76945

       (5) To provide additional revenue for the acquisition,76946
construction, equipping, or repair of any specific permanent76947
improvement or any class or group of permanent improvements, which76948
improvement or class or group of improvements shall be enumerated76949
in the resolution required by division (D) of this section, and to76950
pay principal, interest, premium, and other costs associated with76951
the issuance of bonds or notes in anticipation of bonds issued76952
pursuant to Chapter 133. of the Revised Code for the acquisition,76953
construction, equipping, or repair of the specific permanent76954
improvement or class or group of permanent improvements;76955

       (6) To provide revenue for the implementation and operation76956
of a 9-1-1 system in the county. If the tax is levied or the rate76957
increased exclusively for such purpose, the tax shall not be76958
levied or the rate increased for more than five years. At the end76959
of the last year the tax is levied or the rate increased, any76960
balance remaining in the special fund established for such purpose76961
shall remain in that fund and be used exclusively for such purpose76962
until the fund is completely expended, and, notwithstanding76963
section 5705.16 of the Revised Code, the board of county76964
commissioners shall not petition for the transfer of money from76965
such special fund, and the tax commissioner shall not approve such76966
a petition.76967

       If the tax is levied or the rate increased for such purpose76968
for more than five years, the board of county commissioners also76969
shall levy the tax or increase the rate of the tax for one or more76970
of the purposes described in divisions (A)(1) to (5) of this76971
section and shall prescribe the method for allocating the revenues76972
from the tax each year in the manner required by division (C) of76973
this section.76974

       (7) To provide additional revenue for the operation or76975
maintenance of a detention facility, as that term is defined under76976
division (F) of section 2921.01 of the Revised Code;76977

       (8) To provide revenue to finance the construction or76978
renovation of a sports facility, but only if the tax is levied for76979
that purpose in the manner prescribed by section 5739.028 of the76980
Revised Code.76981

       As used in division (A)(8) of this section:76982

       (a) "Sports facility" means a facility intended to house76983
major league professional athletic teams.76984

       (b) "Constructing" or "construction" includes providing76985
fixtures, furnishings, and equipment.76986

       (9) To provide additional revenue for the acquisition of76987
agricultural easements, as defined in section 5301.67 of the76988
Revised Code; to pay principal, interest, and premium on bonds76989
issued under section 133.60 of the Revised Code; and for the76990
supervision and enforcement of agricultural easements held by the76991
county.76992

       Pursuant to section 755.171 of the Revised Code, a board of76993
county commissioners may pledge and contribute revenue from a tax76994
levied for the purpose of division (A)(5) of this section to the76995
payment of debt charges on bonds issued under section 755.17 of76996
the Revised Code.76997

       The rate of tax shall be a multiple of one-fourth of one per76998
cent, unless a portion of the rate of an existing tax levied under76999
section 5739.023 of the Revised Code has been reduced, and the77000
rate of tax levied under this section has been increased, pursuant77001
to section 5739.028 of the Revised Code, in which case the77002
aggregate of the rates of tax levied under this section and77003
section 5739.023 of the Revised Code shall be a multiple of77004
one-fourth of one per cent. The tax shall be levied and the rate77005
increased pursuant to a resolution adopted by a majority of the77006
members of the board. The board shall deliver a certified copy of 77007
the resolution to the tax commissioner, not later than the 77008
sixty-fifth day prior to the date on which the tax is to become 77009
effective, which shall be the first day of a calendar quarter.77010

       Prior to the adoption of any resolution to levy the tax or to77011
increase the rate of tax exclusively for the purpose set forth in77012
division (A)(3) of this section, the board of county commissioners77013
shall conduct two public hearings on the resolution, the second77014
hearing to be no fewer than three nor more than ten days after the77015
first. Notice of the date, time, and place of the hearings shall77016
be given by publication in a newspaper of general circulation in77017
the county once a week on the same day of the week for two77018
consecutive weeks, the second publication being no fewer than ten77019
nor more than thirty days prior to the first hearing. Except as77020
provided in division (E) of this section, the resolution shall77021
become effective on the first day of a calendar quarter following 77022
the expiration of sixty days from the date of its adoption,be77023
subject to a referendum as provided in sections 305.31 to 305.41 77024
of the Revised Code. If the resolution is adopted as an emergency 77025
measure necessary for the immediate preservation of the public 77026
peace, health, or safety, it must receive an affirmative vote of 77027
all of the members of the board of county commissioners and shall 77028
state the reasons for the necessity.77029

       If the tax is for more than one of the purposes set forth in77030
divisions (A)(1) to (7) and (9) of this section or is exclusively77031
for one of the purposes set forth in division (A)(1), (2), (4),77032
(5), (6), (7), or (9) of this section, the resolution shall not go77033
into effect unless it is approved by a majority of the electors77034
voting on the question of the tax.77035

       (B) The board of county commissioners shall adopt a77036
resolution under section 351.02 of the Revised Code creating the77037
convention facilities authority, or under section 307.283 of the77038
Revised Code creating the community improvements board, before77039
adopting a resolution levying a tax for the purpose of a77040
convention facilities authority under division (A)(1) of this77041
section or for the purpose of a community improvements board under77042
division (A)(4) of this section.77043

       (C)(1) If the tax is to be used for more than one of the77044
purposes set forth in divisions (A)(1) to (7) and (9) of this77045
section, the board of county commissioners shall establish the77046
method that will be used to determine the amount or proportion of77047
the tax revenue received by the county during each year that will77048
be distributed for each of those purposes, including, if77049
applicable, provisions governing the reallocation of a convention77050
facilities authority's allocation if the authority is dissolved77051
while the tax is in effect. The allocation method may provide that77052
different proportions or amounts of the tax shall be distributed77053
among the purposes in different years, but it shall clearly77054
describe the method that will be used for each year. Except as77055
otherwise provided in division (C)(2) of this section, the 77056
allocation method established by the board is not subject to77057
amendment during the life of the tax.77058

       (2) Subsequent to holding a public hearing on the proposed77059
amendment, the board of county commissioners may amend the77060
allocation method established under division (C)(1) of this77061
section for any year, if the amendment is approved by the77062
governing board of each entity whose allocation for the year would77063
be reduced by the proposed amendment. In the case of a tax that is 77064
levied for a continuing period of time, the board may not so amend 77065
the allocation method for any year before the sixth year that the 77066
tax is in effect.77067

       (a) If the additional revenues provided to the convention77068
facilities authority are pledged by the authority for the payment77069
of convention facilities authority revenue bonds for as long as77070
such bonds are outstanding, no reduction of the authority's77071
allocation of the tax shall be made for any year except to the77072
extent that the reduced authority allocation, when combined with77073
the authority's other revenues pledged for that purpose, is77074
sufficient to meet the debt service requirements for that year on77075
such bonds.77076

       (b) If the additional revenues provided to the county are77077
pledged by the county for the payment of bonds or notes described77078
in division (A)(4) or (5) of this section, for as long as such77079
bonds or notes are outstanding, no reduction of the county's or77080
the community improvements board's allocation of the tax shall be77081
made for any year, except to the extent that the reduced county or77082
community improvements board allocation is sufficient to meet the77083
debt service requirements for that year on such bonds or notes.77084

       (c) If the additional revenues provided to the transit77085
authority are pledged by the authority for the payment of revenue77086
bonds issued under section 306.37 of the Revised Code, for as long77087
as such bonds are outstanding, no reduction of the authority's77088
allocation of tax shall be made for any year, except to the extent77089
that the authority's reduced allocation, when combined with the77090
authority's other revenues pledged for that purpose, is sufficient77091
to meet the debt service requirements for that year on such bonds.77092

       (d) If the additional revenues provided to the county are77093
pledged by the county for the payment of bonds or notes issued77094
under section 133.60 of the Revised Code, for so long as the bonds77095
or notes are outstanding, no reduction of the county's allocation77096
of the tax shall be made for any year, except to the extent that77097
the reduced county allocation is sufficient to meet the debt77098
service requirements for that year on the bonds or notes.77099

       (D)(1) The resolution levying the tax or increasing the rate77100
of tax shall state the rate of the tax or the rate of the77101
increase; the purpose or purposes for which it is to be levied;77102
the number of years for which it is to be levied or that it is for77103
a continuing period of time; the allocation method required by77104
division (C) of this section; and if required to be submitted to77105
the electors of the county under division (A) of this section, the77106
date of the election at which the proposal shall be submitted to77107
the electors of the county, which shall be not less than77108
seventy-five days after the certification of a copy of the77109
resolution to the board of elections and, if the tax is to be77110
levied exclusively for the purpose set forth in division (A)(3) of77111
this section, shall not occur in February or August of any year.77112
Upon certification of the resolution to the board of elections,77113
the board of county commissioners shall notify the tax77114
commissioner in writing of the levy question to be submitted to77115
the electors. If approved by a majority of the electors, the tax77116
shall become effective on the first day of a calendar quarter next 77117
following the sixtiethsixty-fifth day following the certification 77118
of the results of the election todate the board of county 77119
commissioners and the tax commissioner byreceive from the board 77120
of elections the certification of the results of the election, 77121
except as provided in division (E) of this section.77122

       (2)(a) A resolution specifying that the tax is to be used77123
exclusively for the purpose set forth in division (A)(3) of this77124
section that is not adopted as an emergency measure may direct the77125
board of elections to submit the question of levying the tax or77126
increasing the rate of the tax to the electors of the county at a77127
special election held on the date specified by the board of county77128
commissioners in the resolution, provided that the election occurs77129
not less than seventy-five days after the resolution is certified77130
to the board of elections and the election is not held in February77131
or August of any year. Upon certification of the resolution to the 77132
board of elections, the board of county commissioners shall notify 77133
the tax commissioner in writing of the levy question to be77134
submitted to the electors. No resolution adopted under division77135
(D)(2)(a) of this section shall go into effect unless approved by77136
a majority of those voting upon it and, except as provided in77137
division (E) of this section, not until the first day of a77138
calendar quarter following the expiration of sixty-five days from 77139
the date of the notice to the tax commissioner byreceives notice 77140
from the board of elections of the affirmative vote.77141

       (b) A resolution specifying that the tax is to be used77142
exclusively for the purpose set forth in division (A)(3) of this77143
section that is adopted as an emergency measure shall become77144
effective as provided in division (A) of this section, but may77145
direct the board of elections to submit the question of repealing77146
the tax or increase in the rate of the tax to the electors of the77147
county at the next general election in the county occurring not77148
less than seventy-five days after the resolution is certified to77149
the board of elections. Upon certification of the resolution to77150
the board of elections, the board of county commissioners shall77151
notify the tax commissioner in writing of the levy question to be77152
submitted to the electors. The ballot question shall be the same77153
as that prescribed in section 5739.022 of the Revised Code. The77154
board of elections shall notify the board of county commissioners77155
and the tax commissioner of the result of the election immediately77156
after the result has been declared. If a majority of the qualified 77157
electors voting on the question of repealing the tax or increase 77158
in the rate of the tax vote for repeal of the tax or repeal of the 77159
increase, the board of county commissioners, on the first day of a 77160
calendar quarter following the expiration of sixty-five days after 77161
the date itthe board and tax commissioner received notice of the77162
result of the election, shall, in the case of a repeal of the tax,77163
cease to levy the tax, or, in the case of a repeal of an increase77164
in the rate of the tax, cease to levy the increased rate and levy77165
the tax at the rate at which it was imposed immediately prior to77166
the increase in rate.77167

       (c) A board of county commissioners, by resolution, may77168
reduce the rate of a tax levied exclusively for the purpose set77169
forth in division (A)(3) of this section to a lower rate77170
authorized by this section. Any such reduction shall be made77171
effective on the first day of the calendar quarter specified in77172
the resolution, but not sooner than the first day of the month77173
next following the sixtiethsixty-fifth day after the resolution 77174
is certified to the tax commissioner receives a certified copy of 77175
the resolution from the board.77176

       (E) If a vendor that is registered with the central77177
electronic registration system provided for in section 5740.05 of77178
the Revised Code makes a sale in this state by printed catalog and 77179
the consumer computed the tax on the sale based on local rates77180
published in the catalog, any tax levied or repealed or rate 77181
changed under this section shall not apply to such a sale until 77182
the first day of a calendar quarter following the expiration of 77183
one hundred twenty days from the date of notice by the tax 77184
commissioner to the vendor, or to the vendor's certified service 77185
provider, if the vendor has selected onepursuant to division (G) 77186
of this section.77187

       (F) The tax levied pursuant to this section shall be in77188
addition to the tax levied by section 5739.02 of the Revised Code77189
and any tax levied pursuant to section 5739.021 or 5739.023 of the77190
Revised Code.77191

       A county that levies a tax pursuant to this section shall77192
levy a tax at the same rate pursuant to section 5741.023 of the77193
Revised Code.77194

       The additional tax levied by the county shall be collected77195
pursuant to section 5739.025 of the Revised Code.77196

       Any tax levied pursuant to this section is subject to the77197
exemptions provided in section 5739.02 of the Revised Code and in77198
addition shall not be applicable to sales not within the taxing77199
power of a county under the Constitution of the United States or77200
the Ohio Constitution.77201

       (G) Upon receipt from a board of county commissioners of a 77202
certified copy of a resolution required by division (A) of this 77203
section, or from the board of elections a notice of the results of 77204
an election required by division (D)(1), (2)(a), (b), or (c) of 77205
this section, the tax commissioner shall provide notice of a tax 77206
rate change in a manner that is reasonably accessible to all 77207
affected vendors. The commissioner shall provide this notice at 77208
least sixty days prior to the effective date of the rate change. 77209
The commissioner, by rule, may establish the method by which 77210
notice will be provided.77211

       Sec. 5739.03.  Except as provided in section 5739.05 of the77212
Revised Code, the tax imposed by or pursuant to section 5739.02,77213
5739.021, 5739.023, or 5739.026 of the Revised Code shall be paid77214
by the consumer to the vendor, and each vendor shall collect from77215
the consumer, as a trustee for the state of Ohio, the full and77216
exact amount of the tax payable on each taxable sale, in the77217
manner and at the times provided as follows:77218

       (A) If the price is, at or prior to the provision of the77219
service or the delivery of possession of the thing sold to the77220
consumer, paid in currency passed from hand to hand by the77221
consumer or the consumer's agent to the vendor or the vendor's77222
agent, the vendor or the vendor's agent shall collect the tax with77223
and at the same time as the price;77224

       (B) If the price is otherwise paid or to be paid, the vendor77225
or the vendor's agent shall, at or prior to the provision of the77226
service or the delivery of possession of the thing sold to the77227
consumer, charge the tax imposed by or pursuant to section77228
5739.02, 5739.021, 5739.023, or 5739.026 of the Revised Code to77229
the account of the consumer, which amount shall be collected by77230
the vendor from the consumer in addition to the price. Such sale77231
shall be reported on and the amount of the tax applicable thereto77232
shall be remitted with the return for the period in which the sale77233
is made, and the amount of the tax shall become a legal charge in77234
favor of the vendor and against the consumer.77235

       If any sale is claimed to be exempt under division (E) of77236
section 5739.01 of the Revised Code or under section 5739.02 of77237
the Revised Code, with the exception of divisions (B)(1) to (11)77238
or (28) of section 5739.02 of the Revised Code, the consumer must77239
furnish to the vendor, and the vendor must obtain from the77240
consumer, a certificate specifying the reason that the sale is not77241
legally subject to the tax. If the transaction is claimed to be77242
exempt under division (B)(13) of section 5739.02 of the Revised77243
Code, the exemption certificate shall be signed by both the77244
contractor and the contractee and such contractee shall be deemed77245
to be the consumer of all items purchased under such claim of77246
exemption in the event it is subsequently determined that the77247
exemption is not properly claimed. The certificate shall be in77248
such form as the tax commissioner by regulation prescribes. If no77249
certificate is furnished or obtained within the period for filing77250
the return for the period in which such sale is consummated, it77251
shall be presumed that the tax applies. The Failure to have so77252
furnished, or to have so obtained, a certificate shall not prevent77253
a vendor or consumer from establishing that the sale is not77254
subjuctsubject to the tax within sixty one hundred twenty days of77255
the giving of notice by the commissioner of intention to levy an77256
assassmentassessment, in which event the tax shall not apply.77257

       Certificates need not be obtained nor furnished where the77258
identity of the consumer is such that the transaction is never77259
subject to the tax imposed or where the item of tangible personal77260
property sold or the service provided is never subject to the tax77261
imposed, regardless of use, or when the sale is in interstate77262
commerce.77263

       (C) As used in this division, "contractee" means a person who 77264
seeks to enter or enters into a contract or agreement with a77265
contractor or vendor for the construction of real property or for77266
the sale and installation onto real property of tangible personal77267
property.77268

       Any contractor or vendor may request from any contractee a77269
certification of what portion of the property to be transferred77270
under such contract or agreement is to be incorporated into the77271
realty and what portion will retain its status as tangible77272
personal property after installation is completed. The contractor77273
or vendor shall request the certification by certified mail77274
delivered to the contractee, return receipt requested. Upon77275
receipt of such request and prior to entering into the contract or77276
agreement, the contractee shall furnish to the contractor or77277
vendor a certification sufficiently detailed to enable the77278
contractor or vendor to ascertain the resulting classification of77279
all materials purchased or fabricated by the contractor or vendor77280
and transferred to the contractee. This requirement applies to a77281
contractee regardless of whether the contractee holds a direct77282
payment permit under section 5739.031 of the Revised Code or77283
furnishes to the contractor or vendor an exemption certificate as77284
provided under this section.77285

       For the purposes of the taxes levied by this chapter and77286
Chapter 5741. of the Revised Code, the contractor or vendor may in77287
good faith rely on the contractee's certification. Notwithstanding77288
division (B) of section 5739.01 of the Revised Code, if the tax77289
commissioner determines that certain property certified by the77290
contractee as tangible personal property pursuant to this division77291
is, in fact, real property, the contractee shall be considered to77292
be the consumer of all materials so incorporated into that real77293
property and shall be liable for the applicable tax, and the77294
contractor or vendor shall be excused from any liability on those77295
materials.77296

       If a contractee fails to provide such certification upon the77297
request of the contractor or vendor, the contractor or vendor77298
shall comply with the provisions of this chapter and Chapter 5741.77299
of the Revised Code without the certification. If the tax77300
commissioner determines that such compliance has been performed in77301
good faith and that certain property treated as tangible personal77302
property by the contractor or vendor is, in fact, real property,77303
the contractee shall be considered to be the consumer of all77304
materials so incorporated into that real property and shall be77305
liable for the applicable tax and the construction contractor or77306
vendor shall be excused from any liability on those materials.77307

       This division does not apply to any contract or agreement77308
where the tax commissioner determines as a fact that a77309
certification under this division was made solely on the decision77310
or advice of the contractor or vendor.77311

       (D) Notwithstanding division (B) of section 5739.01 of the77312
Revised Code, whenever the total rate of tax imposed under this77313
chapter is increased after the date after a construction contract77314
is entered into, the contractee shall reimburse the construction77315
contractor for any additional tax paid on tangible property77316
consumed or services received pursuant to the contract.77317

       (E) A vendor who files a petition for reassessment contesting 77318
the assessment of tax on sales for which the vendor obtained no 77319
valid exemption certificates and for which the vendor failed to 77320
establish that the sales were properly not subject to the tax 77321
during the one-hundred-twenty-day period allowed under division 77322
(B) of this section, may present to the tax commissioner77323
additional evidence to prove that the sales were properly subject77324
to a claim of exception or exemption. The vendor shall file such77325
evidence within ninety days of the receipt by the vendor of the77326
notice of assessment, except that, upon application and for77327
reasonable cause, the period for submitting such evidence shall be77328
extended thirty days.77329

       The commissioner shall consider such additional evidence in77330
reaching the final determination on the assessment and petition77331
for reassessment.77332

       (F) Whenever a vendor refunds to the consumer the full price77333
of an item of tangible personal property on which the tax imposed77334
under this chapter has been paid, the vendor shall also refund the77335
full amount of the tax paid.77336

       Sec. 5739.032.  (A) If the total amount of tax required to be 77337
paid by a permit holder under section 5739.031 of the Revised Code 77338
for any calendar year indicated in the following schedule equals 77339
or exceeds the amounts prescribed for that year in the schedule77340
seventy-five thousand dollars, the permit holder shall remit each 77341
monthly tax payment in the second ensuing and each succeeding year 77342
by electronic funds transfer as prescribed by division (B) of this 77343
section.77344

Year 1992 1993 through 1999 2000 and thereafter 77345
Tax payment $1,200,000 $600,000 $60,000 77346

       If a permit holder's tax payment for each of two consecutive77347
years beginning with 2000 is less than sixtyseventy-five thousand 77348
dollars, the permit holder is relieved of the requirement to remit 77349
taxes by electronic funds transfer for the year that next follows 77350
the second of the consecutive years in which the tax payment is 77351
less than sixty thousand dollarsthat amount, and is relieved of 77352
that requirement for each succeeding year, unless the tax payment 77353
in a subsequent year equals or exceeds sixtyseventy-five thousand 77354
dollars.77355

       The tax commissioner shall notify each permit holder required77356
to remit taxes by electronic funds transfer of the permit holder's77357
obligation to do so, shall maintain an updated list of those77358
permit holders, and shall timely certify the list and any77359
additions thereto or deletions therefrom to the treasurer of77360
state. Failure by the tax commissioner to notify a permit holder77361
subject to this section to remit taxes by electronic funds77362
transfer does not relieve the permit holder of its obligation to77363
remit taxes by electronic funds transfer.77364

       (B) Permit holders required by division (A) of this section77365
to remit payments by electronic funds transfer shall remit such77366
payments to the treasurer of state in the manner prescribed by 77367
this section and rules adopted by the treasurer of state under 77368
section 113.061 of the Revised Code, and on or before the 77369
following dates:77370

        (1) On or before each of the eleventh, eighteenth,fifteenth77371
and twenty-fifth days of each month, a permit holder shall remit 77372
an amount equal to one-fourththirty-seven and one-half per cent77373
of the permit holder's total tax liability for the same month in 77374
the preceding calendar year.77375

        (2) On or before the twenty-third day of each month, a permit 77376
holder shall report the taxes due for the previous month and shall 77377
remit that amount, less any amounts paid for that month as 77378
required by division (B)(1) of this section.77379

        The payment of taxes by electronic funds transfer does not 77380
affect a permit holder's obligation to file the monthly return as 77381
required under section 5739.031 of the Revised Code.77382

       (C) A permit holder required by this section to remit taxes 77383
by electronic funds transfer may apply to the treasurer of state 77384
in the manner prescribed by the treasurer of state to be excused 77385
from that requirement. The treasurer of state may excuse the 77386
permit holder from remittance by electronic funds transfer for 77387
good cause shown for the period of time requested by the permit 77388
holder or for a portion of that period. The treasurer of state 77389
shall notify the tax commissioner and the permit holder of the 77390
treasurer of state's decision as soon as is practicable.77391

       (D)(1) If a permit holder that is required to remit payments 77392
under division (B) of this section fails to make a payment, the 77393
commissioner may impose an additional charge not to exceed five 77394
per cent of that unpaid amount.77395

        (2) If a permit holder required by this section to remit77396
taxes by electronic funds transfer remits those taxes by some77397
means other than by electronic funds transfer as prescribed by77398
this section and the rules adopted by the treasurer of state, and77399
the tax commissioner determines that such failure was not due to77400
reasonable cause or was due to willful neglect, the commissioner77401
may impose an additional charge not to exceed the lesser of five 77402
per cent of the amount of the taxes required to be paid by 77403
electronic funds transfer or five thousand dollars.77404

       (3) Any additional charge imposed under division (D)(1) or 77405
(2) of this section is in addition to any other penalty or charge77406
imposed under this chapter, and shall be considered as revenue77407
arising from taxes imposed under this chapter. An additional 77408
charge may be collected by assessment in the manner prescribed by 77409
section 5739.13 of the Revised Code. The tax commissioner may 77410
waive all or a portion of such a charge and may adopt rules 77411
governing such waiver.77412

       No additional charge shall be imposed under division (D)(2) 77413
of this section against a permit holder that has been notified of 77414
its obligation to remit taxes under this section and that remits 77415
its first two tax payments after such notification by some means 77416
other than electronic funds transfer. The additional charge may be 77417
imposed upon the remittance of any subsequent tax payment that the 77418
permit holder remits by some means other than electronic funds 77419
transfer.77420

       Sec. 5739.033.  The amount of tax due pursuant to sections77421
5739.02, 5739.021, 5739.023, and 5739.026 of the Revised Code is77422
the sum of the taxes imposed pursuant to those sections at the77423
situs of the sale as determined under this section or, if77424
applicable, under division (C) of section 5739.031 of the Revised77425
Code.77426

       (A) Except as otherwise provided in this section, division77427
(C) of section 5739.031, and section 5739.034 of the Revised Code,77428
the situs of all sales is the vendor's place of business.77429

       (1) If the consumer or the consumer's agent takes possession77430
of the tangible personal property at a place of business of the77431
vendor where the purchase contract or agreement was made, the77432
situs of the sale is that place of business.77433

       (2) If the consumer or the consumer's agent takes possession77434
of the tangible personal property other than at a place of77435
business of the vendor, or takes possession at a warehouse or77436
similar facility of the vendor, the situs of the sale is the77437
vendor's place of business where the purchase contract or77438
agreement was made or the purchase order was received.77439

       (3) If the vendor provides a service specified in division77440
(B)(3)(a), (b), (c), (d), (n), or (o), (r), (s), or (t) of section 77441
5739.01 or makes a sale specified in division (B)(8) of section 77442
5739.01 of the Revised Code, the situs of the sale is the vendor's77443
place of business where the service is performed or the contract77444
or agreement for the service was made or the purchase order was77445
received.77446

       (B) If the vendor is a transient vendor as specified in77447
division (B) of section 5739.17 of the Revised Code, the situs of77448
the sale is the vendor's temporary place of business or, if the77449
transient vendor is the lessor of titled motor vehicles, titled77450
watercraft, or titled outboard motors, at the location where the77451
lessee keeps the leased property.77452

       (C) If the vendor makes sales of tangible personal property77453
from a stock of goods carried in a motor vehicle, from which the77454
purchaser makes selection and takes possession, or from which the77455
vendor sells tangible personal property the quantity of which has77456
not been determined prior to the time the purchaser takes77457
possession, the situs of the sale is the location of the motor77458
vehicle when the sale is made.77459

       (D) If the vendor is a delivery vendor as specified in77460
division (D) of section 5739.17 of the Revised Code, the situs of77461
the sale is the place where the tangible personal property is77462
delivered, where the leased property is used, or where the service77463
is performed or received.77464

       (E) If the vendor provides a service specified in division77465
(B)(3)(e), (g), (h), (j), (k), (l), or (m), (q), or (u) of section 77466
5739.01 of the Revised Code, the situs of the sale is the location 77467
of the consumer where the service is performed or received.77468

       (F) Except as provided in division (I) or (J) of this77469
section:77470

       (1) If the vendor provides a service specified in division77471
(B)(3)(f) or (i) of section 5739.01 of the Revised Code, the situs77472
of the sale is the location of the telephone number or account as77473
reflected in the records of the vendor.77474

       (2) In the case of a telecommunications service, if the77475
telephone number or account is located outside this state, the77476
situs of the sale is the location in this state from which the77477
service originated.77478

       (G) If the vendor provides lodging to transient guests as77479
specified in division (B)(2) of section 5739.01 of the Revised77480
Code, the situs of the sale is the location where the lodging is77481
located.77482

       (H)(G) If the vendor sells a warranty, maintenance or service77483
contract, or similar agreement as specified in division (B)(7) of77484
section 5739.01 of the Revised Code and the vendor is a delivery77485
vendor, the situs of the sale is the location of the consumer. If77486
the vendor is not a delivery vendor, the situs of the sale is the77487
vendor's place of business where the contract or agreement was77488
made, unless the warranty or contract is a component of the sale77489
of a titled motor vehicle, titled watercraft, or titled outboard77490
motor, in which case the situs of the sale is the county of77491
titling.77492

       (I)(H) Except as otherwise provided in this division, if the77493
vendor sells a prepaid authorization number or a prepaid telephone77494
calling card, the situs of the sale is the vendor's place of77495
business and shall be taxed at the time of sale. If the vendor77496
sells a prepaid authorization number or prepaid telephone calling77497
card through a telephone call, electronic commerce, or any other77498
form of remote commerce, the situs of the sale is the consumer's77499
shipping address, or, if there is no item shipped, at the77500
consumer's billing address.77501

       Sec. 5739.034. (A) As used in this section:77502

       (1) "Air-to-ground radiotelephone service" means a radio 77503
service, as defined in 47 C.F.R. 22.99, in which common carriers 77504
are authorized to offer and provide radio telecommunications 77505
service for hire to subscribers in aircraft.77506

       (2) "Call-by-call basis" means any method of charging for 77507
telecommunications services where the price is measured by 77508
individual calls.77509

       (3) "Customer" means the person or entity that contracts with 77510
a seller of telecommunications service. If the end user of 77511
telecommunications service is not the contracting party, the end 77512
user of the telecommunications service is the customer of the 77513
telecommunications service. "Customer" does not include a reseller 77514
of telecommunications service or of mobile telecommunications 77515
service of a serving carrier under an agreement to serve the 77516
customer outside the home service provider's licensed service 77517
area.77518

       (4) "End user" means the person who utilizes the 77519
telecommunications service. In the case of a person other than an 77520
individual, "end user" means the individual who utilizes the 77521
service on behalf of the person.77522

       (5) "Home service provider" has the same meaning as in the 77523
"Mobile Telecommunications Sourcing Act," Pub. L. No. 106-252, 114 77524
Stat. 631 (2000), 4 U.S.C. 124(5), as amended.77525

       (6) "Place of primary use" means the street address 77526
representative of where the customer's use of the 77527
telecommunications service primarily occurs, which must be the 77528
residential street address or the primary business street address 77529
of the customer. In the case of mobile telecommunications 77530
services, "place of primary use" must be within the licensed 77531
service area of the home service provider.77532

       (7) "Post-paid calling service" means the telecommunications 77533
service obtained by making a payment on a call-by-call basis 77534
either through the use of a credit card or payment mechanism such 77535
as a bank card, travel card, credit card, or debit card, or by 77536
charge made to a telephone number that is not associated with the 77537
origination or termination of the telecommunications service. 77538
"Post-paid calling service" includes a telecommunications service 77539
that would be a prepaid calling service, but for the fact that it 77540
is not exclusively a telecommunications service.77541

       (8) "Prepaid calling service" means the right to access 77542
exclusively a telecommunications service that must be paid for in 77543
advance, that enables the origination of calls using an access 77544
number or authorization code, whether manually or electronically 77545
dialed, and that is sold in predetermined units or dollars of 77546
which the number declines with use in a known amount.77547

       (9) "Service address" means:77548

       (a) The location of the telecommunications equipment to which 77549
a customer's call is charged and from which the call originates or 77550
terminates, regardless of where the call is billed or paid.77551

       (b) If the location in division (A)(9)(a) of this section is 77552
not known, "service address" means the origination point of the 77553
signal of the telecommunications service first identified by 77554
either the seller's telecommunications system or in information 77555
received by the seller from its service provider, where the system 77556
used to transport such signals is not that of the seller.77557

       (c) If the locations in divisions (A)(9)(a) and (b) of this 77558
section are not known, "service address" means the location of the 77559
customer's place of primary use.77560

       (B) The amount of tax due pursuant to sections 5739.02, 77561
5739.021, 5739.023, and 5739.026 of the Revised Code on sales of 77562
telecommunications service, information service, or mobile 77563
telecommunications service, is the sum of the taxes imposed 77564
pursuant to those sections at the sourcing location of the sale as 77565
determined under this section.77566

       (C) Except for the telecommunications services described in 77567
division (E) of this section, the sale of telecommunications 77568
service sold on a call-by-call basis shall be sourced to each 77569
level of taxing jurisdiction where the call originates and 77570
terminates in that jurisdiction, or each level of taxing 77571
jurisdiction where the call either originates or terminates and in 77572
which the service address also is located.77573

       (D) Except for the telecommunications services described in 77574
division (E) of this section, a sale of telecommunications 77575
services sold on a basis other than a call-by-call basis shall be 77576
sourced to the customer's place of primary use.77577

       (E) The sale of the following telecommunications services 77578
shall be sourced to each level of taxing jurisdiction, as follows:77579

       (1) A sale of mobile telecommunications service, other than 77580
air-to-ground radiotelephone service and prepaid calling service, 77581
shall be sourced to the customer's place of primary use as 77582
required by the Mobile Telecommunications Sourcing Act.77583

       (2) A sale of post-paid calling service shall be sourced to 77584
the origination point of the telecommunications signal as first 77585
identified by the service provider's telecommunications system, or 77586
information received by the seller from its service provider, 77587
where the system used to transport such signals is not that of the 77588
seller.77589

       (3) A sale of prepaid calling service made prior to January 77590
1, 2004, shall be sourced under division (H) of section 5739.033 77591
of the Revised Code. On and after January 1, 2004, a sale of 77592
mobile telecommunications service that is a prepaid 77593
telecommunications service shall be sourced under division (A)(5) 77594
of section 5739.033 of the Revised Code, but in lieu of sourcing 77595
the sale of the service under that section, it may be sourced to 77596
the location associated with the mobile telephone number.77597

       Sec. 5739.09.  (A)(1) A board of county commissioners may, by77598
resolution adopted by a majority of the members of the board, levy 77599
an excise tax not to exceed three per cent on transactions by77600
which lodging by a hotel is or is to be furnished to transient77601
guests. The board shall establish all regulations necessary to77602
provide for the administration and allocation of the tax. The77603
regulations may prescribe the time for payment of the tax, and may77604
provide for the imposition of a penalty or interest, or both, for77605
late payments, provided that the penalty does not exceed ten per77606
cent of the amount of tax due, and the rate at which interest77607
accrues does not exceed the rate per annum prescribed pursuant to77608
section 5703.47 of the Revised Code. Except as provided in77609
divisions (A)(2), (3), and (4), and (5) of this section, the77610
regulations shall provide, after deducting the real and actual77611
costs of administering the tax, for the return to each municipal77612
corporation or township that does not levy an excise tax on the77613
transactions, a uniform percentage of the tax collected in the77614
municipal corporation or in the unincorporated portion of the77615
township from each transaction, not to exceed thirty-three and77616
one-third per cent. The remainder of the revenue arising from the77617
tax shall be deposited in a separate fund and shall be spent77618
solely to make contributions to the convention and visitors'77619
bureau operating within the county, including a pledge and77620
contribution of any portion of the remainder pursuant to an77621
agreement authorized by section 307.695 of the Revised Code. 77622
Except as provided in division (A)(2), (3), or (4), or (5) or (H)77623
of this section, on and after May 10, 1994, a board of county77624
commissioners may not levy an excise tax pursuant to this division77625
in any municipal corporation or township located wholly or partly77626
within the county that has in effect an ordinance or resolution77627
levying an excise tax pursuant to division (B) of this section.77628
The board of a county that has levied a tax under division (C) of77629
this section may, by resolution adopted within ninety days after77630
July 15, 1985, by a majority of the members of the board, amend77631
the resolution levying a tax under this division to provide for a77632
portion of that tax to be pledged and contributed in accordance77633
with an agreement entered into under section 307.695 of the77634
Revised Code. A tax, any revenue from which is pledged pursuant to 77635
such an agreement, shall remain in effect at the rate at which it 77636
is imposed for the duration of the period for which the revenue 77637
from the tax has been so pledged.77638

       (2) A board of county commissioners that levies an excise tax77639
under division (A)(1) of this section on June 30, 1997, at a rate 77640
of three per cent, and that has pledged revenue from the tax to an 77641
agreement entered into under section 307.695 of the Revised Code,77642
may amend the resolution levying that tax to provide for an77643
increase in the rate of the tax up to five per cent on each77644
transaction; to provide that revenue from the increase in the rate77645
shall be spent solely to make contributions to the convention and77646
visitors' bureau operating within the county to be used77647
specifically for promotion, advertising, and marketing of the77648
region in which the county is located; to provide that the rate in77649
excess of the three per cent levied under division (A)(1) of this77650
section shall remain in effect at the rate at which it is imposed77651
for the duration of the period during which any agreement is in77652
effect that was entered into under section 307.695 of the Revised77653
Code by the board of county commissioners levying a tax under77654
division (A)(1) of this section; and to provide that no portion of77655
that revenue need be returned to townships or municipal77656
corporations as would otherwise be required under division (A)(1)77657
of this section.77658

       (3) A board of county commissioners that levies a tax under77659
division (A)(1) of this section on March 18, 1999, at a rate of77660
three per cent may, by resolution adopted not later than77661
forty-five days after March 18, 1999, amend the resolution levying77662
the tax to provide for all of the following:77663

       (a) That the rate of the tax shall be increased by not more77664
than an additional four per cent on each transaction;77665

       (b) That all of the revenue from the increase in the rate77666
shall be pledged and contributed to a convention facilities77667
authority established by the board of county commissioners under77668
Chapter 351. of the Revised Code on or before November 15, 1998,77669
and used to pay costs of constructing, maintaining, operating, and77670
promoting a facility in the county, including paying bonds, or77671
notes issued in anticipation of bonds, as provided by that77672
chapter;77673

       (c) That no portion of the revenue arising from the increase77674
in rate need be returned to municipal corporations or townships as77675
otherwise required under division (A)(1) of this section;77676

       (d) That the increase in rate shall not be subject to77677
diminution by initiative or referendum or by law while any bonds,77678
or notes in anticipation of bonds, issued by the authority under77679
Chapter 351. of the Revised Code to which the revenue is pledged,77680
remain outstanding in accordance with their terms, unless77681
provision is made by law or by the board of county commissioners77682
for an adequate substitute therefor that is satisfactory to the77683
trustee if a trust agreement secures the bonds.77684

       Division (A)(3) of this section does not apply to the board77685
of county commissioners of any county in which a convention center77686
or facility exists or is being constructed on November 15, 1998,77687
or of any county in which a convention facilities authority levies77688
a tax pursuant to section 351.021 of the Revised Code on that77689
date.77690

       As used in division (A)(3) of this section, "cost" and77691
"facility" have the same meanings as in section 351.01 of the77692
Revised Code, and "convention center" has the same meaning as in77693
section 307.695 of the Revised Code.77694

       (4) A board of county commissioners that levies a tax under77695
division (A)(1) of this section on June 30, 2002, at a rate of77696
three per cent may, by resolution adopted not later than September77697
30, 2002, amend the resolution levying the tax to provide for all77698
of the following:77699

       (a) That the rate of the tax shall be increased by not more77700
than an additional three and one-half per cent on each77701
transaction;77702

       (b) That all of the revenue from the increase in rate shall77703
be pledged and contributed to a convention facilities authority77704
established by the board of county commissioners under Chapter77705
351. of the Revised Code on or before May 15, 2002, and be used to77706
pay costs of constructing, expanding, maintaining, operating, or77707
promoting a convention center in the county, including paying77708
bonds, or notes issued in anticipation of bonds, as provided by77709
that chapter;77710

       (c) That no portion of the revenue arising from the increase77711
in rate need be returned to municipal corporations or townships as77712
otherwise required under division (A)(1) of this section;77713

       (d) That the increase in rate shall not be subject to77714
diminution by initiative or referendum or by law while any bonds,77715
or notes in anticipation of bonds, issued by the authority under77716
Chapter 351. of the Revised Code to which the revenue is pledged,77717
remain outstanding in accordance with their terms, unless77718
provision is made by law or by the board of county commissioners77719
for an adequate substitute therefor that is satisfactory to the77720
trustee if a trust agreement secures the bonds.77721

       As used in division (A)(4) of this section, "cost" has the77722
same meaning as in section 351.01 of the Revised Code, and77723
"convention center" has the same meaning as in section 307.695 of77724
the Revised Code.77725

       (5)(a) As used in division (A)(5) of this section:77726

        (i) "Port authority" means a port authority created under 77727
Chapter 4582. of the Revised Code.77728

        (ii) "Port authority military-use facility" means port 77729
authority facilities on which or adjacent to which is located an 77730
installation of the armed forces of the United States, a reserve 77731
component thereof, or the national guard and at least part of 77732
which is made available for use, for consideration, by the armed 77733
forces of the United States, a reserve component thereof, or the 77734
national guard.77735

        (b) For the purpose of contributing revenue to pay operating 77736
expenses of a port authority that operates a port authority 77737
military-use facility, the board of county commissioners of a 77738
county that created, participated in the creation of, or has 77739
joined such a port authority may do one or both of the following:77740

        (i) Amend a resolution previously adopted under division 77741
(A)(1) of this section to designate some or all of the revenue 77742
from the tax levied under the resolution to be used for that 77743
purpose, notwithstanding that division; 77744

       (ii) Amend a resolution previously adopted under division 77745
(A)(1) of this section to increase the rate of the tax by not more 77746
than an additional two per cent and use the revenue from the 77747
increase exclusively for that purpose.77748

        (c) If a board of county commissioners amends a resolution to 77749
increase the rate of a tax as authorized in division (A)(5)(b)(ii) 77750
of this section, the board also may amend the resolution to 77751
specify that the increase in rate of the tax does not apply to 77752
"hotels," as otherwise defined in section 5739.01 of the Revised 77753
Code, having fewer rooms used for the accommodation of guests than 77754
a number of rooms specified by the board. 77755

       (B)(1) The legislative authority of a municipal corporation77756
or the board of trustees of a township that is not wholly or77757
partly located in a county that has in effect a resolution levying77758
an excise tax pursuant to division (A)(1) of this section may, by77759
ordinance or resolution, levy an excise tax not to exceed three77760
per cent on transactions by which lodging by a hotel is or is to77761
be furnished to transient guests. The legislative authority of the77762
municipal corporation or the board of trustees of the township77763
shall deposit at least fifty per cent of the revenue from the tax77764
levied pursuant to this division into a separate fund, which shall77765
be spent solely to make contributions to convention and visitors'77766
bureaus operating within the county in which the municipal77767
corporation or township is wholly or partly located, and the77768
balance of that revenue shall be deposited in the general fund.77769
The municipal corporation or township shall establish all77770
regulations necessary to provide for the administration and77771
allocation of the tax. The regulations may prescribe the time for77772
payment of the tax, and may provide for the imposition of a77773
penalty or interest, or both, for late payments, provided that the77774
penalty does not exceed ten per cent of the amount of tax due, and77775
the rate at which interest accrues does not exceed the rate per77776
annum prescribed pursuant to section 5703.47 of the Revised Code.77777
The levy of a tax under this division is in addition to any tax77778
imposed on the same transaction by a municipal corporation or a77779
township as authorized by division (A) of section 5739.08 of the77780
Revised Code.77781

       (2) The legislative authority of the most populous municipal77782
corporation located wholly or partly in a county in which the77783
board of county commissioners has levied a tax under division77784
(A)(4) of this section may amend, on or before September 30, 2002,77785
that municipal corporation's ordinance or resolution that levies77786
an excise tax on transactions by which lodging by a hotel is or is77787
to be furnished to transient guests, to provide for all of the77788
following:77789

       (a) That the rate of the tax shall be increased by not more77790
than an additional one per cent on each transaction;77791

       (b) That all of the revenue from the increase in rate shall77792
be pledged and contributed to a convention facilities authority77793
established by the board of county commissioners under Chapter77794
351. of the Revised Code on or before May 15, 2002, and be used to77795
pay costs of constructing, expanding, maintaining, operating, or77796
promoting a convention center in the county, including paying77797
bonds, or notes issued in anticipation of bonds, as provided by77798
that chapter;77799

       (c) That the increase in rate shall not be subject to77800
diminution by initiative or referendum or by law while any bonds,77801
or notes in anticipation of bonds, issued by the authority under77802
Chapter 351. of the Revised Code to which the revenue is pledged,77803
remain outstanding in accordance with their terms, unless77804
provision is made by law, by the board of county commissioners, or77805
by the legislative authority, for an adequate substitute therefor77806
that is satisfactory to the trustee if a trust agreement secures77807
the bonds.77808

       As used in division (B)(2) of this section, "cost" has the77809
same meaning as in section 351.01 of the Revised Code, and77810
"convention center" has the same meaning as in section 307.695 of77811
the Revised Code.77812

       (C) For the purpose of making the payments authorized by77813
section 307.695 of the Revised Code to construct and equip a77814
convention center in the county and to cover the costs of77815
administering the tax, a board of county commissioners of a county77816
where a tax imposed under division (A)(1) of this section is in77817
effect may, by resolution adopted within ninety days after July77818
15, 1985, by a majority of the members of the board, levy an77819
additional excise tax not to exceed three per cent on transactions77820
by which lodging by a hotel is or is to be furnished to transient77821
guests. The tax authorized by this division shall be in addition77822
to any tax that is levied pursuant to division (A) of this77823
section, but it shall not apply to transactions subject to a tax77824
levied by a municipal corporation or township pursuant to the77825
authorization granted by division (A) of section 5739.08 of the77826
Revised Code. The board shall establish all regulations necessary77827
to provide for the administration and allocation of the tax. The77828
regulations may prescribe the time for payment of the tax, and may77829
provide for the imposition of a penalty or interest, or both, for77830
late payments, provided that the penalty does not exceed ten per77831
cent of the amount of tax due, and the rate at which interest77832
accrues does not exceed the rate per annum prescribed pursuant to77833
section 5703.47 of the Revised Code. All revenues arising from the77834
tax shall be expended in accordance with section 307.695 of the77835
Revised Code. A tax imposed under this division shall remain in77836
effect at the rate at which it is imposed for the duration of the77837
period for which the revenue from the tax has been pledged77838
pursuant to that section.77839

       (D) For the purpose of providing contributions under division 77840
(B)(1) of section 307.671 of the Revised Code to enable the 77841
acquisition, construction, and equipping of a port authority77842
educational and cultural facility in the county and, to the extent77843
provided for in the cooperative agreement authorized by that77844
section, for the purpose of paying debt service charges on bonds,77845
or notes in anticipation of bonds, described in division (B)(1)(b)77846
of that section, a board of county commissioners, by resolution77847
adopted within ninety days after December 22, 1992, by a majority77848
of the members of the board, may levy an additional excise tax not77849
to exceed one and one-half per cent on transactions by which77850
lodging by a hotel is or is to be furnished to transient guests.77851
The excise tax authorized by this division shall be in addition to77852
any tax that is levied pursuant to divisions (A), (B), and (C) of77853
this section, to any excise tax levied pursuant to section 5739.08 77854
of the Revised Code, and to any excise tax levied pursuant to 77855
section 351.021 of the Revised Code. The board of county77856
commissioners shall establish all regulations necessary to provide77857
for the administration and allocation of the tax that are not77858
inconsistent with this section or section 307.671 of the Revised77859
Code. The regulations may prescribe the time for payment of the77860
tax, and may provide for the imposition of a penalty or interest,77861
or both, for late payments, provided that the penalty does not77862
exceed ten per cent of the amount of tax due, and the rate at77863
which interest accrues does not exceed the rate per annum77864
prescribed pursuant to section 5703.47 of the Revised Code. All77865
revenues arising from the tax shall be expended in accordance with77866
section 307.671 of the Revised Code and division (D) of this77867
section. The levy of a tax imposed under this division may not77868
commence prior to the first day of the month next following the77869
execution of the cooperative agreement authorized by section77870
307.671 of the Revised Code by all parties to that agreement. The77871
tax shall remain in effect at the rate at which it is imposed for77872
the period of time described in division (C) of section 307.671 of77873
the Revised Code for which the revenue from the tax has been77874
pledged by the county to the corporation pursuant to that section,77875
but, to any extent provided for in the cooperative agreement, for77876
no lesser period than the period of time required for payment of77877
the debt service charges on bonds, or notes in anticipation of 77878
bonds, described in division (B)(1)(b) of that section.77879

       (E) For the purpose of paying the costs of acquiring,77880
constructing, equipping, and improving a municipal educational and77881
cultural facility, including debt service charges on bonds77882
provided for in division (B) of section 307.672 of the Revised77883
Code, and for any additional purposes determined by the county in 77884
the resolution levying the tax or amendments to the resolution,77885
including subsequent amendments providing for paying costs of77886
acquiring, constructing, renovating, rehabilitating, equipping,77887
and improving a port authority educational and cultural performing77888
arts facility, as defined in section 307.674 of the Revised Code,77889
and including debt service charges on bonds provided for in77890
division (B) of section 307.674 of the Revised Code, the77891
legislative authority of a county, by resolution adopted within77892
ninety days after June 30, 1993, by a majority of the members of77893
the legislative authority, may levy an additional excise tax not77894
to exceed one and one-half per cent on transactions by which77895
lodging by a hotel is or is to be furnished to transient guests.77896
The excise tax authorized by this division shall be in addition to77897
any tax that is levied pursuant to divisions (A), (B), (C), and77898
(D) of this section, to any excise tax levied pursuant to section 77899
5739.08 of the Revised Code, and to any excise tax levied pursuant77900
to section 351.021 of the Revised Code. The legislative authority77901
of the county shall establish all regulations necessary to provide77902
for the administration and allocation of the tax. The regulations77903
may prescribe the time for payment of the tax, and may provide for77904
the imposition of a penalty or interest, or both, for late77905
payments, provided that the penalty does not exceed ten per cent77906
of the amount of tax due, and the rate at which interest accrues77907
does not exceed the rate per annum prescribed pursuant to section77908
5703.47 of the Revised Code. All revenues arising from the tax77909
shall be expended in accordance with section 307.672 of the77910
Revised Code and this division. The levy of a tax imposed under77911
this division shall not commence prior to the first day of the77912
month next following the execution of the cooperative agreement77913
authorized by section 307.672 of the Revised Code by all parties77914
to that agreement. The tax shall remain in effect at the rate at77915
which it is imposed for the period of time determined by the77916
legislative authority of the county, but not to exceed fifteen77917
years.77918

       (F) The legislative authority of a county that has levied a77919
tax under division (E) of this section may, by resolution adopted77920
within one hundred eighty days after January 4, 2001, by a77921
majority of the members of the legislative authority, amend the77922
resolution levying a tax under that division to provide for the77923
use of the proceeds of that tax, to the extent that it is no77924
longer needed for its original purpose as determined by the77925
parties to a cooperative agreement amendment pursuant to division77926
(D) of section 307.672 of the Revised Code, to pay costs of77927
acquiring, constructing, renovating, rehabilitating, equipping,77928
and improving a port authority educational and cultural performing77929
arts facility, including debt service charges on bonds provided77930
for in division (B) of section 307.674 of the Revised Code, and to77931
pay all obligations under any guaranty agreements, reimbursement77932
agreements, or other credit enhancement agreements described in77933
division (C) of section 307.674 of the Revised Code. The77934
resolution may also provide for the extension of the tax at the77935
same rate for the longer of the period of time determined by the77936
legislative authority of the county, but not to exceed an77937
additional twenty-five years, or the period of time required to77938
pay all debt service charges on bonds provided for in division (B)77939
of section 307.672 of the Revised Code and on port authority77940
revenue bonds provided for in division (B) of section 307.674 of77941
the Revised Code. All revenues arising from the amendment and77942
extension of the tax shall be expended in accordance with section77943
307.674 of the Revised Code, this division, and division (E) of77944
this section.77945

       (G) For purposes of a tax levied by a county, township, or77946
municipal corporation under this section or section 5739.08 of the 77947
Revised Code, a board of county commissioners, board of township77948
trustees, or the legislative authority of a municipal corporation77949
may adopt a resolution or ordinance at any time specifying that77950
"hotel," as otherwise defined in section 5739.01 of the Revised77951
Code, includes establishments in which fewer than five rooms are77952
used for the accommodation of guests. The resolution or ordinance77953
may apply to a tax imposed pursuant to this section prior to the77954
adoption of the resolution or ordinance if the resolution or77955
ordinance so states, but the tax shall not apply to transactions77956
by which lodging by such an establishment is provided to transient77957
guests prior to the adoption of the resolution or ordinance.77958

       (H)(1) As used in this division:77959

       (a) "Convention facilities authority" has the same meaning as 77960
in section 351.01 of the Revised Code.77961

       (b) "Convention center" has the same meaning as in section 77962
307.695 of the Revised Code.77963

       (2) Notwithstanding any contrary provision of division (D) of 77964
this section, the legislative authority of a county with a 77965
population of one million or more according to the most recent 77966
federal decennial census that has levied a tax under division (D) 77967
of this section may, by resolution adopted by a majority of the 77968
members of the legislative authority, provide for the extension of 77969
such levy and may provide that the proceeds of that tax, to the 77970
extent that they are no longer needed for their original purpose 77971
as defined by a cooperative agreement entered into under section 77972
307.671 of the Revised Code, shall be deposited into the county 77973
general revenue fund. The resolution shall provide for the 77974
extension of the tax at a rate not to exceed the rate specified in 77975
division (D) of this section for a period of time determined by 77976
the legislative authority of the county, but not to exceed an 77977
additional forty years.77978

       (3) The legislative authority of a county with a population 77979
of one million or more that has levied a tax under division (A)(1) 77980
of this section may, by resolution adopted by a majority of the 77981
members of the legislative authority, increase the rate of the tax 77982
levied by such county under division (A)(1) of this section to a 77983
rate not to exceed five per cent on transactions by which lodging 77984
by a hotel is or is to be furnished to transient guests. 77985
Notwithstanding any contrary provision of division (A)(1) of this 77986
section, the resolution may provide that all collections resulting 77987
from the rate levied in excess of three per cent, after deducting 77988
the real and actual costs of administering the tax, shall be 77989
deposited in the county general fund.77990

       (4) The legislative authority of a county with a population 77991
of one million or more that has levied a tax under division (A)(1) 77992
of this section may, by resolution adopted on or before August 30, 77993
2004, by a majority of the members of the legislative authority, 77994
provide that all or a portion of the proceeds of the tax levied 77995
under division (A)(1) of this section, after deducting the real 77996
and actual costs of administering the tax and the amounts required 77997
to be returned to townships and municipal corporations with 77998
respect to the first three per cent levied under division (A)(1) 77999
of this section, shall be deposited in the county general fund, 78000
provided that such proceeds shall be used to satisfy any pledges 78001
made in connection with an agreement entered into under section 78002
307.695 of the Revised Code.78003

       (5) No amount collected from a tax levied, extended, or 78004
required to be deposited in the county general fund under division 78005
(H) of this section shall be contributed to a convention 78006
facilities authority, corporation, or other entity created after 78007
July 1, 2003, for the principal purpose of constructing, 78008
improving, expanding, equipping, financing, or operating a 78009
convention center unless the mayor of the municipal corporation in 78010
which the convention center is to be operated by that convention 78011
facilities authority, corporation, or other entity has consented 78012
to the creation of that convention facilities authority, 78013
corporation, or entity. Notwithstanding any contrary provision of 78014
section 351.04 of the Revised Code, if a tax is levied by a county 78015
under division (H) of this section, the board of county 78016
commissioners of that county may determine the manner of 78017
selection, the qualifications, the number, and terms of office of 78018
the members of the board of directors of any convention facilities 78019
authority, corporation, or other entity described in division 78020
(H)(5) of this section.78021

       (6)(a) No amount collected from a tax levied, extended, or 78022
required to be deposited in the county general fund under division 78023
(H) of this section may be used for any purpose other than paying 78024
the direct and indirect costs of constructing, improving, 78025
expanding, equipping, financing, or operating a convention center 78026
and for the real and actual costs of administering the tax, 78027
unless, prior to the adoption of the resolution of the legislative 78028
authority of the county authorizing the levy, extension, increase, 78029
or deposit, the county and the mayor of the most populous 78030
municipal corporation in that county have entered into an 78031
agreement as to the use of such amounts, provided that such 78032
agreement has been approved by a majority of the mayors of the 78033
other municipal corporations in that county. The agreement shall 78034
provide that the amounts to be used for purposes other than paying 78035
the convention center or administrative costs described in 78036
division (H)(6)(a) of this section be used only for the direct and 78037
indirect costs of capital improvements, including the financing of 78038
capital improvements.78039

       (b) If the county in which the tax is levied has an 78040
association of mayors and city managers, the approval of that 78041
association of an agreement described in division (H)(6)(a) of 78042
this section shall be considered to be the approval of the 78043
majority of the mayors of the other municipal corporations for 78044
purposes of that division.78045

       (7) Each year, the auditor of state shall conduct an audit of 78046
the uses of any amounts collected from taxes levied, extended, or 78047
deposited under division (H) of this section and shall prepare a 78048
report of the auditor of state's findings. The auditor of state 78049
shall submit the report to the legislative authority of the county 78050
that has levied, extended, or deposited the tax, the speaker of 78051
the house of representatives, the president of the senate, and the 78052
leaders of the minority parties of the house of representatives 78053
and the senate.78054

       Sec. 5739.10.  (A) In addition to the tax levied inby78055
section 5739.02 of the Revised Code and any tax levied pursuant to 78056
section 5739.021, 5739.023, or 5739.026 of the Revised Code, and 78057
to secure the same objectives specified in saidthose sections,78058
there is hereby levied upon the privilege of engaging in the78059
business of making retail sales, an excise tax of six per cent on 78060
and after July 1, 2003, and on and before June 30, 2005, and an 78061
excise tax of five per cent on and after July 1, 2005, or, in the 78062
case of retail sales subject to a tax levied pursuant to section 78063
5739.021, 5739.023, or 5739.026 of the Revised Code, a percentage 78064
equal to the aggregate rate of such taxes and the tax levied by 78065
section 5739.02 of the Revised Code of the receipts derived from 78066
all retail sales, except retail sales under sixteen cents and78067
those to which the excise tax imposed by section 5739.02 of the 78068
Revised Code is made inapplicable by division (B) of saidthat78069
section.78070

       (B) For the purpose of this section, no vendor shall be78071
required to maintain records of individual retail sales of78072
tangible personal property under sixteen cents or sales of food78073
for human consumption off the premises where sold, and no78074
assessment shall be made against any vendor for retail sales of78075
less than sixteen cents or for sales of food for human consumption 78076
off the premises where sold, solely because the vendor has no 78077
records of, or has inadequate records of, retail sales of less 78078
than sixteen cents orsuch sales of food for human consumption off 78079
the premises where sold; provided that where a vendor does not 78080
have adequate records of receipts from his retail sales in excess 78081
of fifteen cents orthe vendor's sales of food for human 78082
consumption on the premises where sold, the tax commissioner may78083
refuse to accept the vendor's return and, upon the basis of test78084
checks of the vendor's business for a representative period, and78085
other information relating to the sales made by such vendor,78086
determine the proportion that taxable retail sales bear to all his78087
of the vendor's retail sales. The tax imposed by this section 78088
shall be determined by deducting from the sum representing five or 78089
six per cent, as applicable under division (A) of this section,78090
or, in the case of retail sales subject to a tax levied pursuant78091
to section 5739.021, 5739.023, or 5739.026 of the Revised Code, a78092
percentage equal to the aggregate rate of such taxes and the tax78093
levied by section 5739.02 of the Revised Code of the receipts from 78094
such retail sales, the amount of tax paid to the state or to a 78095
clerk of a court of common pleas. The section does not affect any 78096
duty of the vendor under sections 5739.01 to 5739.19 and 5739.26 78097
to 5739.31 of the Revised Code, nor the liability of any consumer 78098
to pay any tax imposed by or pursuant to section 5739.02, 78099
5739.021, 5739.023, or 5739.026 of the Revised Code.78100

       Sec. 5739.12. (A) Each person who has or is required to have 78101
a vendor's license, on or before the twenty-third day of each78102
month, shall make and file a return for the preceding month, on78103
forms prescribed by the tax commissioner, and shall pay the tax78104
shown on the return to be due. The commissioner may require a 78105
vendor that operates from multiple locations or has multiple 78106
vendor's licenses to report all tax liabilities on one 78107
consolidated return. The return shall show the amount of tax due78108
from the vendor to the state for the period covered by the return78109
and such other information as the commissioner deems necessary for78110
the proper administration of this chapter. The commissioner may78111
extend the time for making and filing returns and paying the tax,78112
and may require that the return for the last month of any annual78113
or semiannual period, as determined by the commissioner, be a78114
reconciliation return detailing the vendor's sales activity for78115
the preceding annual or semiannual period. The reconciliation78116
return shall be filed by the last day of the month following the78117
last month of the annual or semiannual period. The commissioner78118
may remit all or any part of amounts or penalties that may become78119
due under this chapter and may adopt rules relating thereto. Such78120
return shall be filed by mailing it to the tax commissioner,78121
together with payment of the amount of tax shown to be due thereon78122
after deduction of any discount provided for under this section.78123
Remittance shall be made payable to the treasurer of state. The78124
return shall be considered filed when received by the tax78125
commissioner, and the payment shall be considered made when78126
received by the tax commissioner or when credited to an account78127
designated by the treasurer of state or the tax commissioner.78128

       (B) If the return is filed and the amount of tax shown 78129
thereon to be due is paid on or before the date such return is 78130
required to be filed, the vendor shall be entitled to athe 78131
following discount of three-fourths:78132

       (1) On and after July 1, 2003, and on and before June 30, 78133
2005, nine-tenths of one per cent of the amount shown to be due on 78134
the return;78135

       (2) On and after July 1, 2005, three-fourths of one per cent78136
of the amount shown to be due on the return, but a.78137

       A vendor that has selected a certified service provider as 78138
its agent shall not be entitled to the discount. Amounts paid to 78139
the clerk of courts pursuant to section 4505.06 of the Revised 78140
Code shall be subject to the three-fourths of one per cent78141
applicable discount. The discount shall be in consideration for 78142
prompt payment to the clerk of courts and for other services 78143
performed by the vendor in the collection of the tax.78144

       (C)(1) Upon application to the commissioner, a vendor who is78145
required to file monthly returns may be relieved of the78146
requirement to report and pay the actual tax due, provided that78147
the vendor agrees to remit to the tax commissioner payment of not78148
less than an amount determined by the commissioner to be the78149
average monthly tax liability of the vendor, based upon a review78150
of the returns or other information pertaining to such vendor for78151
a period of not less than six months nor more than two years78152
immediately preceding the filing of the application. Vendors who78153
agree to the above conditions shall make and file an annual or78154
semiannual reconciliation return, as prescribed by the78155
commissioner. The reconciliation return shall be filed by mailing78156
or delivering it to the tax commissioner, together with payment of 78157
the amount of tax shown to be due thereon after deduction of any 78158
discount provided in this section. Remittance shall be made78159
payable to the treasurer of state. Failure of a vendor to comply78160
with any of the above conditions may result in immediate78161
reinstatement of the requirement of reporting and paying the78162
actual tax liability on each monthly return, and the commissioner78163
may at the commissioner's discretion deny the vendor the right to78164
report and pay based upon the average monthly liability for a78165
period not to exceed two years. The amount ascertained by the78166
commissioner to be the average monthly tax liability of a vendor78167
may be adjusted, based upon a review of the returns or other78168
information pertaining to the vendor for a period of not less than78169
six months nor more than two years preceding such adjustment.78170

       (2) The commissioner may authorize vendors whose tax 78171
liability is not such as to merit monthly returns, as ascertained 78172
by the commissioner upon the basis of administrative costs to the78173
state, to make and file returns at less frequent intervals. When78174
returns are filed at less frequent intervals in accordance with78175
such authorization, the vendor shall be allowed the discount of78176
three-fourths of one per centprovided in this section in 78177
consideration for prompt payment with the return, provided the 78178
return is filed together with payment of the amount of tax shown 78179
to be due thereon, at the time specified by the commissioner, but 78180
a vendor that has selected a certified service provider as its 78181
agent shall not be entitled to the discount.78182

       (D) Any vendor who fails to file a return or pay the full 78183
amount of the tax shown on the return to be due under this section 78184
and the rules of the commissioner may, for each such return the 78185
vendor fails to file or each such tax the vendor fails to pay in 78186
full as shown on the return within the period prescribed by this 78187
section and the rules of the commissioner, be required to forfeit 78188
and pay into the state treasury an additional charge not exceeding78189
fifty dollars or ten per cent of the tax required to be paid for78190
the reporting period, whichever is greater, as revenue arising78191
from the tax imposed by this chapter, and such sum may be78192
collected by assessment in the manner provided in section 5739.1378193
of the Revised Code. The commissioner may remit all or a portion78194
of the additional charge and may adopt rules relating to the 78195
imposition and remission of the additional charge.78196

       (E) If the amount required to be collected by a vendor from78197
consumers is in excess of five per centthe applicable percentage78198
of the vendor's receipts from sales that are taxable under section 78199
5739.02 of the Revised Code, or in the case of sales subject to a 78200
tax levied pursuant to section 5739.021, 5739.023, or 5739.026 of 78201
the Revised Code, in excess of the percentage equal to the 78202
aggregate rate of such taxes and the tax levied by section 5739.02 78203
of the Revised Code, such excess shall be remitted along with the 78204
remittance of the amount of tax due under section 5739.10 of the 78205
Revised Code.78206

       (F) The commissioner, if the commissioner deems it necessary 78207
in order to insure the payment of the tax imposed by this chapter,78208
may require returns and payments to be made for other than monthly78209
periods. The returns shall be signed by the vendor or the vendor's 78210
authorized agent.78211

       (G) Any vendor required to file a return and pay the tax 78212
under this section, whose total payment in any year indicated in78213
division (A) of section 5739.122 of the Revised Code equals or78214
exceeds the amount shown in that division (A) of section 5739.122 78215
of the Revised Code, shall make each payment required by this 78216
section in the second ensuing and each succeeding year by78217
electronic funds transfer as prescribed by, and on or before the 78218
dates specified in, section 5739.122 of the Revised Code, except 78219
as otherwise prescribed by that section. For a vendor that 78220
operates from multiple locations or has multiple vendor's 78221
licenses, in determining whether the vendor's total payment equals 78222
or exceeds the amount shown in division (A) of that section, the 78223
vendor's total payment amount shall be the amount of the vendor's 78224
total tax liability for the previous calendar year for all of the 78225
vendor's locations or licenses.78226

       Sec. 5739.121. (A) As used in this section, "bad debt" means78227
any debt that has become worthless or uncollectible in the time78228
period between a vendor's preceding return and the present return, 78229
havehas been uncollected for at least six months, and that may be 78230
claimed as a deduction pursuant to the "Internal Revenue Code of 78231
1954," 68A Stat. 50, 26 U.S.C. 166, as amended, and regulations 78232
adopted pursuant thereto, or that could be claimed as such a 78233
deduction if the vendor kept accounts on an accrual basis. "Bad 78234
debt" does not include any interest or sales tax on the purchase 78235
price, uncollectible amounts on property that remains in the 78236
possession of the vendor until the full purchase price is paid, 78237
expenses incurred in attempting to collect any account receivable 78238
or for any portion of the debt recovered, any accounts receivable 78239
that have been sold to a third party for collection, and 78240
repossessed property.78241

       (B) In computing taxable receipts for purposes of this 78242
chapter, a vendor may deduct the amount of bad debts, as defined 78243
in this section. The amount deducted must be charged off as78244
uncollectible on the books of the vendor. A deduction may be78245
claimed only with respect to bad debts on which the taxes pursuant 78246
to sections 5739.10 and 5739.12 of the Revised Code were paid in a 78247
preceding tax period. If the vendor's business consists of taxable 78248
and nontaxable transactions, the deduction shall equal the full 78249
amount of the debt if the debt is documented as a taxable 78250
transaction in the vendor's records. If no such documentation is 78251
available, the maximum deduction on any bad debt shall equal the 78252
amount of the bad debt multiplied by the quotient obtained by 78253
dividing the sales taxed pursuant to this chapter during the 78254
preceding calendar year by all sales during the preceding calendar 78255
year, whether taxed or not. If a consumer or other person pays all 78256
or part of a bad debt with respect to which a vendor claimed a 78257
deduction under this section, the vendor shall be liable for the 78258
amount of taxes deducted in connection with that portion of the 78259
debt for which payment is received and shall remit such taxes in 78260
the vendor's next payment to the tax commissioner.78261

       (C) Any claim for a bad debt deduction under this section 78262
shall be supported by such evidence as the tax commissioner by 78263
rule requires. The commissioner shall review any change in the 78264
rate of taxation applicable to any taxable sales by a vendor 78265
claiming a deduction pursuant to this section and adopt rules for 78266
altering the deduction in the event of such a change in order to 78267
ensure that the deduction on any bad debt does not result in the 78268
vendor claiming the deduction recovering any more or less than the 78269
taxes imposed on the sale that constitutes the bad debt.78270

       (D) In any reporting period in which the amount of bad debt 78271
exceeds the amount of taxable sales for the period, the vendor may 78272
file a refund claim for any tax collected on the bad debt in 78273
excess of the tax reported on the return. The refund claim shall 78274
be filed in the manner provided in section 5739.07 of the Revised 78275
Code, except that the claim may be filed within four years of the 78276
due date of the return on which the bad debt first could have been 78277
claimed.78278

       (E) When the filing responsibilities of a vendor have been 78279
assumed by a certified service provider, the certified service 78280
provider shall claim the bad debt allowance provided by this 78281
section on behalf of the vendor. The certified service provider 78282
shall credit or refund to the vendor the full amount of any bad 78283
debt allowance or refund.78284

       (F) No person other than the vendor in the transaction that 78285
generated the bad debt or, as provided in division (E) of this 78286
section, a certified service provider, may claim the bad debt 78287
allowance provided by this section.78288

       Sec. 5739.122.  (A) If the total amount of tax required to be 78289
paid by a vendor under section 5739.12 of the Revised Code for any 78290
calendar year indicated in the following schedule equals or78291
exceeds the amounts prescribed for that year in the schedule78292
seventy-five thousand dollars, the vendor shall remit each monthly 78293
tax payment in the second ensuing and each succeeding tax year by 78294
electronic funds transfer as prescribed by divisions (B) and (C) 78295
of this section.78296

Year 1992 1993 through 1999 2000 and thereafter 78297
Tax payment $1,200,000 $600,000 $60,000 78298

       If a vendor's tax payment for each of two consecutive years78299
beginning with 2000 is less than sixtyseventy-five thousand 78300
dollars, the vendor is relieved of the requirement to remit taxes 78301
by electronic funds transfer for the year that next follows the78302
second of the consecutive years in which the tax payment is less78303
than sixty thousand dollarsthat amount, and is relieved of that78304
requirement for each succeeding year, unless the tax payment in a78305
subsequent year equals or exceeds sixtyseventy-five thousand78306
dollars.78307

       The tax commissioner shall notify each vendor required to78308
remit taxes by electronic funds transfer of the vendor's78309
obligation to do so, shall maintain an updated list of those78310
vendors, and shall timely certify the list and any additions78311
thereto or deletions therefrom to the treasurer of state. Failure 78312
by the tax commissioner to notify a vendor subject to this section 78313
to remit taxes by electronic funds transfer does not relieve the 78314
vendor of its obligation to remit taxes by electronic funds 78315
transfer.78316

       (B) Vendors required by division (A) of this section to remit 78317
payments by electronic funds transfer shall remit such payments to 78318
the treasurer of state in the manner prescribed by this section 78319
and rules adopted by the treasurer of state under section 113.061 78320
of the Revised Code, and on or before the following dates:78321

        (1) On or before the eleventhfifteenth day of each month, a 78322
vendor shall remit an amount equal to the taxes collected during 78323
the first seveneleven days of the month. On or before the 78324
eighteenth day of each month, a vendor shall remit an amount equal 78325
to the taxes collected on the eighth through the fourteenth day of 78326
the month. On or before the twenty-fifth day of each month, a 78327
vendor shall remit an amount equal to the taxes collected on the 78328
fifteenthtwelfth through the twenty-first day of the month.78329

        (2) In lieu of remitting the actual amounts collected for the 78330
periods specified in division (B)(1) of this section, a vendor 78331
may, on or before each of the eleventh, eighteenth,fifteenth and 78332
twenty-fifth days of each month, remit an amount equal to 78333
one-fourththirty-seven and one-half per cent of the vendor's 78334
total tax liability for the same month in the preceding calendar 78335
year.78336

        (3) On or before the twenty-third day of each month, a vendor 78337
shall report the taxes collected for the previous month and shall 78338
remit that amount, less any amounts paid for that month as 78339
required by division (B)(1) or (2) of this section.78340

        The payment of taxes by electronic funds transfer does not 78341
affect a vendor's obligation to file the monthly return as 78342
required under section 5739.12 of the Revised Code.78343

       (C) A vendor required by this section to remit taxes by78344
electronic funds transfer may apply to the treasurer of state in78345
the manner prescribed by the treasurer of state to be excused from 78346
that requirement. The treasurer of state may excuse the vendor 78347
from remittance by electronic funds transfer for good cause shown 78348
for the period of time requested by the vendor or for a portion of78349
that period. The treasurer of state shall notify the tax 78350
commissioner and the vendor of the treasurer of state's decision 78351
as soon as is practicable.78352

       (D)(1) If a vendor that is required to remit payments under 78353
division (B) of this section fails to make a payment, the 78354
commissioner may impose an additional charge not to exceed five 78355
per cent of that unpaid amount.78356

        (2) If a vendor required by this section to remit taxes by78357
electronic funds transfer remits those taxes by some means other78358
than by electronic funds transfer as prescribed by this section78359
and the rules adopted by the treasurer of state, and the treasurer 78360
of state determines that such failure was not due to reasonable78361
cause or was due to willful neglect, the treasurer of state shall 78362
notify the tax commissioner of the failure to remit by electronic 78363
funds transfer and shall provide the commissioner with any 78364
information used in making that determination. The tax 78365
commissioner may impose an additional charge not to exceed the 78366
lesser of five per cent of the amount of the taxes required to be 78367
paid by electronic funds transfer or five thousand dollars. 78368

       (3) Any additional charge imposed under division (D)(1) or 78369
(2) of this section is in addition to any other penalty or charge78370
imposed under this chapter, and shall be considered as revenue78371
arising from taxes imposed under this chapter. An additional 78372
charge may be collected by assessment in the manner prescribed by 78373
section 5739.13 of the Revised Code. The tax commissioner may 78374
waive all or a portion of such a charge and may adopt rules 78375
governing such waiver.78376

       No additional charge shall be imposed under division (D)(2) 78377
of this section against a vendor that has been notified of its 78378
obligation to remit taxes under this section and that remits its 78379
first two tax payments after such notification by some means other 78380
than electronic funds transfer. The additional charge may be 78381
imposed upon the remittance of any subsequent tax payment that the 78382
vendor remits by some means other than electronic funds transfer.78383

       Sec. 5739.17.  (A) No person shall engage in making retail78384
sales subject to a tax imposed by or pursuant to section 5739.02,78385
5739.021, 5739.023, or 5739.026 of the Revised Code as a business78386
without having a license therefor, except as otherwise provided in78387
divisions (A)(1), (2), and (3) of this section.78388

       (1) In the dissolution of a partnership by death, the78389
surviving partner may operate under the license of the partnership78390
for a period of sixty days.78391

       (2) The heirs or legal representatives of deceased persons,78392
and receivers and trustees in bankruptcy, appointed by any78393
competent authority, may operate under the license of the person78394
so succeeded in possession.78395

       (3) Two or more persons who are not partners may operate a78396
single place of business under one license. In such case neither78397
the retirement of any such person from business at that place of78398
business, nor the entrance of any person, under an existing78399
arrangement, shall affect the license or require the issuance of a78400
new license, unless the person retiring from the business is the78401
individual named on the vendor's license.78402

       Except as otherwise provided in this section, each applicant78403
for a license shall make out and deliver to the county auditor of78404
each county in which the applicant desires to engage in business,78405
upon a blank to be furnished by such auditor for that purpose, a78406
statement showing the name of the applicant, each place of78407
business in the county where the applicant will make retail sales,78408
the nature of the business, and any other information the tax78409
commissioner reasonably prescribes in the form of a statement78410
prescribed by the commissioner.78411

       At the time of making the application, the applicant shall78412
pay into the county treasury a license fee in the sum of78413
twenty-five dollars for each fixed place of business in the county 78414
that will be the situs of retail sales. Upon receipt of the78415
application and exhibition of the county treasurer's receipt,78416
showing the payment of the license fee, the county auditor shall78417
issue to the applicant a license for each fixed place of business78418
designated in the application, authorizing the applicant to engage78419
in business at that location. If a vendor's identity changes, the78420
vendor shall apply for a new license. If a vendor wishes to move78421
an existing fixed place of business to a new location within the78422
same county, the vendor shall obtain a new vendor's license or78423
submit a request to the tax commissioner to transfer the existing78424
vendor's license to the new location. When the new location has78425
been verified as being within the same county, the commissioner78426
shall authorize the transfer and notify the county auditor of the78427
change of location. If a vendor wishes to move an existing fixed78428
place of business to another county, the vendor's license shall78429
not transfer and the vendor shall obtain a new vendor's license78430
from the county in which the business is to be located. The form78431
of the license shall be prescribed by the commissioner. The fees78432
collected shall be credited to the general fund of the county.78433

       A vendor that makes retail sales subject to tax under Chapter78434
5739. of the Revised Code pursuant to a permit issued by the78435
division of liquor control shall obtain a vendor's license in the78436
identical name and for the identical address as shown on the78437
permit.78438

       Except as otherwise provided in this section, if a vendor has78439
no fixed place of business and sells from a vehicle, each vehicle78440
intended to be used within a county constitutes a place of78441
business for the purpose of this section.78442

       (B) As used in this division, "transient vendor" means any78443
person who makes sales of tangible personal property from vending78444
machines located on land owned by others, who leases titled motor78445
vehicles, titled watercraft, or titled outboard motors, who78446
effectuates leases that are taxed according to division 78447
(H)(4)(A)(2) of section 5739.015739.02 of the Revised Code, or78448
who, in the usual course of the person's business, transports 78449
inventory, stock of goods, or similar tangible personal property 78450
to a temporary place of business or temporary exhibition, show, 78451
fair, flea market, or similar event in a county in which the 78452
person has no fixed place of business, for the purpose of making 78453
retail sales of such property. A "temporary place of business" 78454
means any public or quasi-public place including, but not limited 78455
to, a hotel, rooming house, storeroom, building, part of a 78456
building, tent, vacant lot, railroad car, or motor vehicle that is78457
temporarily occupied for the purpose of making retail sales of78458
goods to the public. A place of business is not temporary if the78459
same person conducted business at the place continuously for more78460
than six months or occupied the premises as the person's permanent78461
residence for more than six months, or if the person intends it to78462
be a fixed place of business.78463

       Any transient vendor, in lieu of obtaining a vendor's license78464
under division (A) of this section for counties in which the78465
transient vendor has no fixed place of business, may apply to the78466
tax commissioner, on a form prescribed by the commissioner, for a78467
transient vendor's license. The transient vendor's license78468
authorizes the transient vendor to make retail sales in any county78469
in which the transient vendor does not maintain a fixed place of78470
business. Any holder of a transient vendor's license shall not be78471
required to obtain a separate vendor's license from the county78472
auditor in that county. Upon the commissioner's determination that 78473
an applicant is a transient vendor, the applicant shall pay a78474
license fee in the amount of twenty-five dollars, at which time78475
the tax commissioner shall issue the license. The tax commissioner 78476
may require a vendor to be licensed as a transient vendor if, in 78477
the opinion of the commissioner, such licensing is necessary for 78478
the efficient administration of the tax.78479

       Any holder of a valid transient vendor's license may make78480
retail sales at a temporary place of business or temporary78481
exhibition, show, fair, flea market, or similar event, held78482
anywhere in the state without complying with any provision of78483
section 311.37 of the Revised Code. Any holder of a valid vendor's 78484
license may make retail sales as a transient vendor at a temporary78485
place of business or temporary exhibition, show, fair, flea78486
market, or similar event held in any county in which the vendor78487
maintains a fixed place of business for which the vendor holds a78488
vendor's license without obtaining a transient vendor's license.78489

       (C) As used in this division, "service vendor" means any78490
person who, in the usual course of the person's business, sells78491
services described in division (B)(3)(e), (f), (g), (h), (i), (j),78492
(k), (l), or (m), (q), or (u) of section 5739.01 of the Revised 78493
Code.78494

       Every service vendor shall make application to the tax78495
commissioner for a service vendor's license. Each applicant shall78496
pay a license fee in the amount of twenty-five dollars. Upon the78497
commissioner's determination that an applicant is a service vendor78498
and payment of the fee, the commissioner shall issue the applicant78499
a service vendor's license.78500

       Only sales described in division (B)(3)(e), (f), (g), (h),78501
(i), (j), (k), (l), or (m), (q), or (u) of section 5739.01 of the 78502
Revised Code may be made under authority of a service vendor's 78503
license, and that license authorizes sales to be made at any place 78504
in this state. Any service vendor who makes sales of other 78505
services or tangible personal property subject to the sales tax 78506
also shall be licensed under division (A), (B), or (D) of this 78507
section.78508

       (D) As used in this division, "delivery vendor" means any78509
vendor who engages in one or more of the activities described in78510
divisions (D)(1) to (4) of this section, and who maintains no78511
store, showroom, or similar fixed place of business or other78512
location where merchandise regularly is offered for sale or78513
displayed or shown in catalogs for selection or pick-up by78514
consumers, or where consumers bring goods for repair or other78515
service.78516

       (1) The vendor makes retail sales of tangible personal78517
property;78518

       (2) The vendor rents or leases, at retail, tangible personal78519
property, except titled motor vehicles, titled watercraft, or78520
titled outboard motors;78521

       (3) The vendor provides a service, at retail, described in78522
division (B)(3)(a), (b), (c), or (d) of section 5739.01 of the78523
Revised Code; or78524

       (4) The vendor makes retail sales of warranty, maintenance or 78525
service contracts, or similar agreements as described in division 78526
(B)(7) of section 5739.01 of the Revised Code.78527

       A transient vendor or a seller registered pursuant to section78528
5741.17 of the Revised Code is not a delivery vendor.78529

       Delivery vendors shall apply to the tax commissioner, on a78530
form prescribed by the commissioner, for a delivery vendor's78531
license. Each applicant shall pay a license fee of twenty-five78532
dollars for each delivery vendor's license, to be credited to the78533
general revenue fund. Upon the commissioner's determination that78534
the applicant is a delivery vendor, the commissioner shall issue78535
the license. A delivery vendor's license authorizes retail sales78536
to be made throughout the state. All sales of the vendor must be78537
reported under the delivery license. The commissioner may require78538
a vendor to be licensed as a delivery vendor if, in the opinion of78539
the commissioner, such licensing is necessary for the efficient78540
administration of the tax. The commissioner shall not issue a78541
delivery vendor license to a vendor who holds a license issued78542
under division (A) of this section.78543

       (E) Any transient vendor who is issued a license pursuant to78544
this section shall display the license or a copy of it78545
prominently, in plain view, at every place of business of the78546
transient vendor. Every owner, organizer, or promoter who operates 78547
a fair, flea market, show, exhibition, convention, or similar 78548
event at which transient vendors are present shall keep a78549
comprehensive record of all such vendors, listing the vendor's78550
name, permanent address, vendor's license number, and the type of78551
goods sold. Such records shall be kept for four years and shall be 78552
open to inspection by the tax commissioner.78553

       Sec. 5739.21.  (A) Four and two-tenths per cent of all money 78554
deposited into the state treasury under sections 5739.01 to78555
5739.31 of the Revised Code and not required to be distributed as78556
provided in section 5739.102 of the Revised Code or division (B)78557
of this section shall be credited to the local government fund for 78558
distribution in accordance with section 5747.50 of the Revised 78559
Code, six-tenths of one per cent shall be credited to the local78560
government revenue assistance fund for distribution in accordance 78561
with section 5747.61 of the Revised Code, and ninety-five and 78562
two-tenths per cent shall be credited to the general revenue fund.78563

       (B)(1) In any case where any county or transit authority has78564
levied a tax or taxes pursuant to section 5739.021, 5739.023, or78565
5739.026 of the Revised Code, the tax commissioner shall, within78566
forty-five days after the end of each month, determine and certify 78567
to the director of budget and management the amount of the 78568
proceeds of such tax or taxes received during that month from 78569
billings and assessments received during that month, or shown on78570
associated with tax returns or reports filed during that month, to 78571
be returned to the county or transit authority levying the tax or 78572
taxes. The amount to be returned to each county and transit 78573
authority shall be a fraction of the aggregate amount of money 78574
collected with respect to each area in which one or more of such 78575
taxes are concurrently in effect with the tax levied by section 78576
5739.02 of the Revised Code, the. The numerator of whichthe 78577
fraction is the rate of the tax levied by the county or transit 78578
authority and the denominator of whichthe fraction is the 78579
aggregate rate of such taxes applicable to such area; provided, 78580
that the. The amount to be returned to each county or transit 78581
authority shall be reduced by the amount of any refunds of county 78582
or transit authority tax paid pursuant to section 5739.07 of the 78583
Revised Code during the same month, or transfers made pursuant to 78584
division (B)(2) of section 5703.052 of the Revised Code.78585

       (2) On a periodic basis, using the best information 78586
available, the tax commissioner shall distribute any amount of a 78587
county or transit authority tax that cannot be distributed under 78588
division (B)(1) of this section. Through audit or other means, the 78589
commissioner shall attempt to obtain the information necessary to 78590
make the distribution as provided under that division and, on 78591
receipt of that information, shall make adjustments to 78592
distributions previously made under this division.78593

       (C) The aggregate amount to be returned to any county or 78594
transit authority shall be reduced by one per cent, which shall be78595
certified directly to the credit of the local sales tax78596
administrative fund, which is hereby created in the state78597
treasury. For the purpose of determining the amount to be returned 78598
to a county and transit authority in which the rate of tax imposed 78599
by the transit authority has been reduced under section 5739.028 78600
of the Revised Code, the tax commissioner shall use the respective 78601
rates of tax imposed by the county or transit authority that 78602
results from the change in the rates authorized under that 78603
section. The78604

       (D) The director of budget and management shall transfer,78605
from the same funds and in the same proportions specified in78606
division (A) of this section, to the permissive tax distribution78607
fund created by division (B)(1) of section 4301.423 of the Revised 78608
Code and to the local sales tax administrative fund, the amounts 78609
certified by the tax commissioner. The tax commissioner shall 78610
then, on or before the twentieth day of the month in which such 78611
certification is made, provide for payment of such respective 78612
amounts to the county treasurer and to the fiscal officer of the 78613
transit authority levying the tax or taxes. The amount transferred 78614
to the local sales tax administrative fund is for use by the tax 78615
commissioner in defraying costs incurred in administering such 78616
taxes levied by a county or transit authority.78617

       Sec. 5739.33.  If any corporation, limited liability company, 78618
or business trust required to file returns and to remit tax due to 78619
the state under this chapter, including a holder of a direct 78620
payment permit under section 5739.031 of the Revised Code, fails 78621
for any reason to make the filing or payment, any of its employees 78622
having control or supervision of or charged with the 78623
responsibility of filing returns and making payments, or any of 78624
its officers, members, managers, or trustees who are responsible 78625
for the execution of the corporation's, limited liability78626
company's, or business trust's fiscal responsibilities, shall be 78627
personally liable for the failure. The dissolution, termination, 78628
or bankruptcy of a corporation, limited liability company, or 78629
business trust shall not discharge a responsible officer's, 78630
member's, manager's, employee's, or trustee's liability for a78631
failure of the corporation, limited liability company, or business 78632
trust to file returns or remit tax due. The sum due for the 78633
liability may be collected by assessment in the manner provided in 78634
section 5739.13 of the Revised Code.78635

       Sec. 5741.01.  As used in this chapter:78636

       (A) "Person" includes individuals, receivers, assignees,78637
trustees in bankruptcy, estates, firms, partnerships,78638
associations, joint-stock companies, joint ventures, clubs,78639
societies, corporations, business trusts, governments, and78640
combinations of individuals of any form.78641

       (B) "Storage" means and includes any keeping or retention in78642
this state for use or other consumption in this state.78643

       (C) "Use" means and includes the exercise of any right or78644
power incidental to the ownership of the thing used. A thing is78645
also "used" in this state if its consumer gives or otherwise78646
distributes it, without charge, to recipients in this state.78647

       (D) "Purchase" means acquired or received for a78648
consideration, whether such acquisition or receipt was effected by78649
a transfer of title, or of possession, or of both, or a license to78650
use or consume; whether such transfer was absolute or conditional,78651
and by whatever means the transfer was effected; and whether the78652
consideration was money, credit, barter, or exchange. Purchase78653
includes production, even though the article produced was used,78654
stored, or consumed by the producer. The transfer of copyrighted78655
motion picture films for exhibition purposes is not a purchase,78656
except such films as are used solely for advertising purposes.78657

       (E) "Seller" means the person from whom a purchase is made,78658
and includes every person engaged in this state or elsewhere in78659
the business of selling tangible personal property or providing a78660
service for storage, use, or other consumption or benefit in this78661
state; and when, in the opinion of the tax commissioner, it is78662
necessary for the efficient administration of this chapter, to78663
regard any salesman, representative, peddler, or canvasser as the78664
agent of a dealer, distributor, supervisor, or employer under whom 78665
the person operates, or from whom the person obtains tangible78666
personal property, sold by the person for storage, use, or other78667
consumption in this state, irrespective of whether or not the78668
person is making such sales on the person's own behalf, or on78669
behalf of such dealer, distributor, supervisor, or employer, the78670
commissioner may regard the person as such agent, and may regard78671
such dealer, distributor, supervisor, or employer as the seller.78672
"Seller" does not include any person to the extent the person78673
provides a communications medium, such as, but not limited to,78674
newspapers, magazines, radio, television, or cable television, by78675
means of which sellers solicit purchases of their goods or78676
services.78677

       (F) "Consumer" means any person who has purchased tangible78678
personal property or has been provided a service for storage, use,78679
or other consumption or benefit in this state. "Consumer" does not78680
include a person who receives, without charge, tangible personal78681
property or a service.78682

       A person who performs a facility management or similar78683
service contract for a contractee is a consumer of all tangible78684
personal property and services purchased for use in connection78685
with the performance of such contract, regardless of whether title78686
to any such property vests in the contractee. The purchase of such 78687
property and services is not subject to the exception for resale 78688
under division (E)(1) of section 5739.01 of the Revised Code.78689

       (G)(1) "Price," except as provided in the case of watercraft, 78690
outboard motors, or new motor vehicles, means the aggregate value 78691
in money of anything paid or delivered, or promised to be paid or78692
delivered, by a consumer to a seller in the complete performance78693
of the transaction by which tangible personal property has been78694
purchased or a service has been provided for storage, use, or78695
other consumption or benefit in this state, without any deduction78696
or exclusion on account of the cost of the property sold, cost of78697
materials used, labor or service cost, interest, discount paid or78698
allowed after the sale is consummated, or any other expense. If78699
the transaction consists of the rental or lease of tangible78700
personal property, "price" means the aggregate value in money of78701
anything paid or delivered, or promised to be paid or delivered by78702
the lessee to the lessor, in the complete performance of the78703
rental or lease, without any deduction or exclusion of tax,78704
interest, labor or service charge, damage liability waiver,78705
termination or damage charge, discount paid or allowed after the78706
lease is consummated, or any other expense. Except as provided in78707
division (G)(6) of this section, the tax shall be calculated and78708
collected by the lessor on each payment made by the lessee. If a78709
consumer produces the tangible personal property used by the78710
consumer, the price is the produced cost of such tangible personal78711
property. "Price" does not include delivery charges that are78712
separately stated on the initial invoice or initial billing78713
rendered by the seller.78714

       The tax collected by the seller from the consumer under this78715
chapter is not a part of the price, but is a tax collection for78716
the benefit of the state, and of counties levying an additional78717
use tax pursuant to section 5741.021 or 5741.023 of the Revised78718
Code and of transit authorities levying an additional use tax78719
pursuant to section 5741.022 of the Revised Code and, except for78720
the discount authorized under section 5741.12 of the Revised Code78721
and the effects of any rounding pursuant to section 5703.055 of78722
the Revised Code, no person other than the state or such a county78723
or transit authority shall derive any benefit from the collection78724
or payment of such tax.78725

       As used in divisiondivisions (G)(1)(2) to (6) of this 78726
section, "delivery charges" means charges by the seller for 78727
preparation and delivery to a location designated by the consumer 78728
of tangible personal property or a service, including 78729
transportation, shipping, postage, handling, crating, and packing78730
has the same meaning as in division (H)(1) of section 5739.01 of 78731
the Revised Code.78732

       (2) In the case of watercraft, outboard motors, or new motor78733
vehicles, "price" has the same meaning as in divisiondivisions78734
(H)(2) and (3) of section 5739.01 of the Revised Code.78735

       (3) In the case of a nonresident business consumer that78736
purchases and uses tangible personal property outside this state78737
and subsequently temporarily stores, uses, or otherwise consumes78738
such tangible personal property in the conduct of business in this78739
state, the consumer or the tax commissioner may determine the78740
price based on the value of the temporary storage, use, or other78741
consumption, in lieu of determining the price pursuant to division78742
(G)(1) of this section. A price determination made by the consumer 78743
is subject to review and redetermination by the commissioner.78744

       (4) In the case of tangible personal property held in this78745
state as inventory for sale or lease, and that is temporarily78746
stored, used, or otherwise consumed in a taxable manner, the price78747
is the value of the temporary use. A price determination made by78748
the consumer is subject to review and redetermination by the78749
commissioner.78750

       (5) In the case of tangible personal property originally78751
purchased and used by the consumer outside this state, and that78752
becomes permanently stored, used, or otherwise consumed in this78753
state more than six months after its acquisition by the consumer,78754
the consumer or the commissioner may determine the price based on78755
the current value of such tangible personal property, in lieu of78756
determining the price pursuant to division (G)(1) of this section.78757
A price determination made by the consumer is subject to review78758
and redetermination by the commissioner.78759

       (6) In the case of the purchase or lease of any motor vehicle78760
designed by the manufacturer to carry a load of not more than one78761
ton, watercraft, outboard motor, or aircraft, or the lease of any78762
tangible personal property, other than motor vehicles designed by78763
the manufacturer to carry a load of more than one ton, to be used78764
by the lessee primarily for business purposes, the tax shall be78765
collected by the vendor at the time the lease is consummated and78766
calculated by the vendor on the basis of the total amount to be78767
paid by the lessee under the lease agreement. If the total amount78768
of the consideration for the lease includes amounts that are not78769
calculated at the time the lease is executed, the tax shall be78770
calculated and collected by the vendor at the time such amounts78771
are billed to the lessee. In the case of an open-end lease, the78772
tax shall be calculated by the vendor on the basis of the total78773
amount to be paid during the initial fixed term of the lease, and78774
then for each subsequent renewal period as it comes due. As used78775
in division (G)(6) of this section only, "motor vehicle" has the78776
same meaning as in section 4501.01 of the Revised CodeIf a 78777
consumer produces tangible personal property for sale and removes 78778
that property from inventory for the consumer's own use, the price 78779
is the produced cost of that tangible personal property.78780

       (H) "Nexus with this state" means that the seller engages in78781
continuous and widespread solicitation of purchases from residents78782
of this state or otherwise purposefully directs its business78783
activities at residents of this state.78784

       (I) "Substantial nexus with this state" means that the seller78785
has sufficient contact with this state, in accordance with Section78786
8 of Article I of the Constitution of the United States, to allow78787
the state to require the seller to collect and remit use tax on78788
sales of tangible personal property or services made to consumers78789
in this state. "Substantial nexus with this state" exists when the78790
seller does any of the following:78791

       (1) Maintains a place of business within this state, whether78792
operated by employees or agents of the seller, by a member of an78793
affiliated group, as describeddefined in division (B)(3)(e) of 78794
section 5739.01 of the Revised Code, of which the seller is a78795
member, or by a franchisee using a trade name of the seller;78796

       (2) Regularly has employees, agents, representatives,78797
solicitors, installers, repairmen, salesmen, or other individuals78798
in this state for the purpose of conducting the business of the78799
seller;78800

       (3) Uses a person in this state for the purpose of receiving78801
or processing orders of the seller's goods or services;78802

       (4) Makes regular deliveries of tangible personal property78803
into this state by means other than common carrier;78804

       (5) Has membership in an affiliated group, as described in78805
division (B)(3)(e) of section 5739.01 of the Revised Code, at78806
least one other member of which has substantial nexus with this78807
state;78808

       (6) Owns tangible personal property that is rented or leased78809
to a consumer in this state, or offers tangible personal property,78810
on approval, to consumers in this state;78811

       (7) Except as provided in section 5703.65 of the Revised78812
Code, is registered with the secretary of state to do business in78813
this state or is registered or licensed by any state agency,78814
board, or commission to transact business in this state or to make78815
sales to persons in this state;78816

       (8) Has any other contact with this state that would allow78817
this state to require the seller to collect and remit use tax78818
under Section 8 of Article I of the Constitution of the United78819
States.78820

       (J) "Fiscal officer" means, with respect to a regional78821
transit authority, the secretary-treasurer thereof, and with78822
respect to a county which is a transit authority, the fiscal78823
officer of the county transit board appointed pursuant to section78824
306.03 of the Revised Code or, if the board of county78825
commissioners operates the county transit system, the county78826
auditor.78827

       (K) "Territory of the transit authority" means all of the78828
area included within the territorial boundaries of a transit78829
authority as they from time to time exist. Such territorial78830
boundaries must at all times include all the area of a single78831
county or all the area of the most populous county which is a part78832
of such transit authority. County population shall be measured by78833
the most recent census taken by the United States census bureau.78834

       (L) "Transit authority" means a regional transit authority78835
created pursuant to section 306.31 of the Revised Code or a county78836
in which a county transit system is created pursuant to section78837
306.01 of the Revised Code. For the purposes of this chapter, a78838
transit authority must extend to at least the entire area of a78839
single county. A transit authority which includes territory in78840
more than one county must include all the area of the most78841
populous county which is a part of such transit authority. County78842
population shall be measured by the most recent census taken by78843
the United States census bureau.78844

       (M) "Providing a service" has the same meaning as in division78845
(X) of section 5739.01 of the Revised Code.78846

       (N) "Other consumption" includes receiving the benefits of a78847
service.78848

       (O) "Lease" means any transfer for a consideration of the78849
possession of and right to use, but not title to, tangible78850
personal property for a fixed period of time greater than thirty78851
days or for an open-ended period of time with a minimum fixed78852
period of more than thirty daysor "rental" has the same meaning 78853
as in division (UU) of section 5739.01 of the Revised Code.78854

       (P) "Certified service provider" has the same meaning as in78855
section 5740.01 of the Revised Code.78856

       Sec. 5741.02.  (A)(1) For the use of the general revenue fund78857
of the state, an excise tax is hereby levied on the storage, use,78858
or other consumption in this state of tangible personal property78859
or the benefit realized in this state of any service provided. The78860
tax shall be collected pursuant to the schedulesas provided in 78861
section 5739.025 of the Revised Code, provided that on and after 78862
July 1, 2003, and on or before June 30, 2005, the rate of the tax 78863
shall be six per cent. On and after July 1, 2005, the rate of the 78864
tax shall be five per cent.78865

       (2) In the case of the lease or rental, with a fixed term of 78866
more than thirty days or an indefinite term with a minimum period 78867
of more than thirty days, of any motor vehicles designed by the 78868
manufacturer to carry a load of not more than one ton, watercraft, 78869
outboard motor, or aircraft, or of any tangible personal property, 78870
other than motor vehicles designed by the manufacturer to carry a 78871
load of more than one ton, to be used by the lessee or renter 78872
primarily for business purposes, the tax shall be collected by the 78873
seller at the time the lease or rental is consummated and shall be 78874
calculated by the seller on the basis of the total amount to be 78875
paid by the lessee or renter under the lease or rental agreement. 78876
If the total amount of the consideration for the lease or rental 78877
includes amounts that are not calculated at the time the lease or 78878
rental is executed, the tax shall be calculated and collected by 78879
the seller at the time such amounts are billed to the lessee or 78880
renter. In the case of an open-end lease or rental, the tax shall 78881
be calculated by the seller on the basis of the total amount to be 78882
paid during the initial fixed term of the lease or rental, and for 78883
each subsequent renewal period as it comes due. As used in this 78884
division, "motor vehicle" has the same meaning as in section 78885
4501.01 of the Revised Code, and "watercraft" includes an outdrive 78886
unit attached to the watercraft.78887

       (3) Except as provided in division (A)(2) of this section, in 78888
the case of a transaction, the price of which consists in whole or 78889
part of the lease or rental of tangible personal property, the tax 78890
shall be measured by the installments of those leases or rentals.78891

       (B) Each consumer, storing, using, or otherwise consuming in78892
this state tangible personal property or realizing in this state78893
the benefit of any service provided, shall be liable for the tax,78894
and such liability shall not be extinguished until the tax has78895
been paid to this state; provided, that the consumer shall be78896
relieved from further liability for the tax if the tax has been78897
paid to a seller in accordance with section 5741.04 of the Revised78898
Code or prepaid by the seller in accordance with section 5741.0678899
of the Revised Code.78900

       (C) The tax does not apply to the storage, use, or78901
consumption in this state of the following described tangible78902
personal property or services, nor to the storage, use, or78903
consumption or benefit in this state of tangible personal property78904
or services purchased under the following described circumstances:78905

       (1) When the sale of property or service in this state is78906
subject to the excise tax imposed by sections 5739.01 to 5739.3178907
of the Revised Code, provided said tax has been paid;78908

       (2) Except as provided in division (D) of this section,78909
tangible personal property or services, the acquisition of which,78910
if made in Ohio, would be a sale not subject to the tax imposed by78911
sections 5739.01 to 5739.31 of the Revised Code;78912

       (3) Property or services, the storage, use, or other78913
consumption of or benefit from which this state is prohibited from78914
taxing by the Constitution of the United States, laws of the78915
United States, or the Constitution of this state. This exemption78916
shall not exempt from the application of the tax imposed by this78917
section the storage, use, or consumption of tangible personal78918
property that was purchased in interstate commerce, but that has78919
come to rest in this state, provided that fuel to be used or78920
transported in carrying on interstate commerce that is stopped78921
within this state pending transfer from one conveyance to another78922
is exempt from the excise tax imposed by this section and section78923
5739.02 of the Revised Code;78924

       (4) Transient use of tangible personal property in this state 78925
by a nonresident tourist or vacationer, or a non-business use 78926
within this state by a nonresident of this state, if the property 78927
so used was purchased outside this state for use outside this 78928
state and is not required to be registered or licensed under the 78929
laws of this state;78930

       (5) Tangible personal property or services rendered, upon78931
which taxes have been paid to another jurisdiction to the extent78932
of the amount of the tax paid to such other jurisdiction. Where78933
the amount of the tax imposed by this section and imposed pursuant78934
to section 5741.021, 5741.022, or 5741.023 of the Revised Code78935
exceeds the amount paid to another jurisdiction, the difference78936
shall be allocated between the tax imposed by this section and any78937
tax imposed by a county or a transit authority pursuant to section78938
5741.021, 5741.022, or 5741.023 of the Revised Code, in proportion78939
to the respective rates of such taxes.78940

       As used in this subdivision, "taxes paid to another78941
jurisdiction" means the total amount of retail sales or use tax or78942
similar tax based upon the sale, purchase, or use of tangible78943
personal property or services rendered legally, levied by and paid78944
to another state or political subdivision thereof, or to the78945
District of Columbia, where the payment of such tax does not78946
entitle the taxpayer to any refund or credit for such payment.78947

       (6) The transfer of a used manufactured home or used mobile78948
home, as defined by section 5739.0210 of the Revised Code, made on78949
or after January 1, 2000;78950

       (7) Drugs that are or are intended to be distributed free of78951
charge to a practitioner licensed to prescribe, dispense, and78952
administer drugs to a human being in the course of a professional78953
practice and that by law may be dispensed only by or upon the78954
order of such a practitioner.78955

       (D) The tax applies to the storage, use, or other consumption 78956
in this state of tangible personal property or services, the 78957
acquisition of which at the time of sale was excepted under 78958
division (E)(1) of section 5739.01 of the Revised Code from the 78959
tax imposed by section 5739.02 of the Revised Code, but which has 78960
subsequently been temporarily or permanently stored, used, or 78961
otherwise consumed in a taxable manner.78962

       (E)(1) If any transaction is claimed to be exempt under78963
division (E) of section 5739.01 of the Revised Code or under78964
section 5739.02 of the Revised Code, with the exception of78965
divisions (B)(1) to (11) or (28) of section 5739.02 of the Revised78966
Code, the consumer shall provide to the seller, and the seller78967
shall obtain from the consumer, a certificate specifying the78968
reason that the transaction is not subject to the tax. The78969
certificate shall be provided either in a hard copy form or78970
electronic form, as prescribed by the tax commissioner. If the78971
transaction is claimed to be exempt under division (B)(13) of78972
section 5739.02 of the Revised Code, the exemption certificate78973
shall be provided by both the contractor and contractee. Such78974
contractee shall be deemed to be the consumer of all items78975
purchased under the claim of exemption if it is subsequently78976
determined that the exemption is not properly claimed. The78977
certificate shall be in such form as the tax commissioner by rule78978
prescribes. The seller shall maintain records, including exemption 78979
certificates, of all sales on which a consumer has claimed an 78980
exemption, and provide them to the tax commissioner on request.78981

       (2) If no certificate is provided or obtained within the78982
period for filing the return for the period in which the78983
transaction is consummated, it shall be presumed that the tax78984
applies. The failure to have so provided or obtained a certificate 78985
shall not preclude a seller or consumer from establishing, within 78986
one hundred twenty days of the giving of notice by the 78987
commissioner of intention to levy an assessment, that the 78988
transaction is not subject to the tax.78989

       (F) A seller who files a petition for reassessment contesting 78990
the assessment of tax on transactions for which the seller 78991
obtained no valid exemption certificates, and for which the seller 78992
failed to establish that the transactions were not subject to the 78993
tax during the one-hundred-twenty-day period allowed under78994
division (E) of this section, may present to the tax commissioner78995
additional evidence to prove that the transactions were exempt.78996
The seller shall file such evidence within ninety days of the78997
receipt by the seller of the notice of assessment, except that,78998
upon application and for reasonable cause, the tax commissioner78999
may extend the period for submitting such evidence thirty days.79000

       (G) For the purpose of the proper administration of sections79001
5741.01 to 5741.22 of the Revised Code, and to prevent the evasion79002
of the tax hereby levied, it shall be presumed that any use,79003
storage, or other consumption of tangible personal property in79004
this state is subject to the tax until the contrary is79005
established.79006

       (H) The tax collected by the seller from the consumer under 79007
this chapter is not part of the price, but is a tax collection for 79008
the benefit of the state, and of counties levying an additional 79009
use tax pursuant to section 5741.021 or 5741.023 of the Revised 79010
Code and of transit authorities levying an additional use tax 79011
pursuant to section 5741.022 of the Revised Code. Except for the 79012
discount authorized under section 5741.12 of the Revised Code and 79013
the effects of any rounding pursuant to section 5703.055 of the 79014
Revised Code, no person other than the state or such a county or 79015
transit authority shall derive any benefit from the collection of 79016
such tax.79017

       Sec. 5741.021.  (A) For the purpose of providing additional 79018
general revenues for the county or supporting criminal and79019
administrative justice services in the county, or both, and to pay 79020
the expenses of administering such levy, any county which levies a79021
tax pursuant to section 5739.021 of the Revised Code shall levy a79022
tax at the same rate levied pursuant to section 5739.021 of the79023
Revised Code on the storage, use, or other consumption in the79024
county of the following:79025

       (1) Motor vehicles acquired on or after May 1, 1970, and79026
watercraft and outboard motors required to be titled in the county 79027
pursuant to Chapter 1548. of the Revised Code and acquired on or 79028
after April 1, 1990, by a transaction subject to the tax imposed 79029
by section 5739.02 of the Revised Code;79030

       (2) In addition to the tax imposed by section 5741.02 of the 79031
Revised Code, tangible personal property and services subject to 79032
the tax levied by this state as provided in section 5741.02 of the 79033
Revised Code, and tangible personal property and services79034
purchased in another county within this state by a transaction79035
subject to the tax imposed by section 5739.02 of the Revised Code.79036

       The tax shall be levied pursuant to a resolution of the board 79037
of county commissioners which shall be adopted after publication 79038
of notice and hearing in the same manner as provided in section 79039
5739.021 of the Revised Code. Such resolution shall be adopted and 79040
shall become effective on the same day as the resolution adopted 79041
by the board of county commissioners levying a sales tax pursuant 79042
to section 5739.021 of the Revised Code and shall remain in effect 79043
until such sales tax is repealed.79044

       (B) The tax levied pursuant to this section on the storage, 79045
use, or other consumption of tangible personal property and on the 79046
benefit of a service realized shall be in addition to the tax 79047
levied by section 5741.02 of the Revised Code and, except as 79048
provided in division (D) of this section, any tax levied pursuant 79049
to sections 5741.022 and 5741.023 of the Revised Code.79050

       (C) The additional tax levied by the county shall be79051
collected pursuant to the schedules in section 5739.025 of the79052
Revised Code. If the additional tax or some portion thereof is 79053
levied for the purpose of criminal and administrative justice 79054
services, the revenue from the tax, or the amount or rate 79055
apportioned to that purpose, shall be credited to a special fund 79056
created in the county treasury for receipt of that revenue.79057

       (D) The tax levied pursuant to this section shall not be79058
applicable to any benefit of a service realized or to any storage, 79059
use, or consumption of property not within the taxing power of a 79060
county under the constitution of the United States or the 79061
constitution of this state, or to property or services on which a 79062
tax levied by a county or transit authority pursuant to this 79063
section or section 5739.021, 5739.023, 5739.026, 5741.022, or 79064
5741.023 of the Revised Code has been paid, if the sum of the79065
taxes paid pursuant to those sections is equal to or greater than79066
the sum of the taxes due under this section and sections 5741.02279067
and 5741.023 of the Revised Code. If the sum of the taxes paid is 79068
less than the sum of the taxes due under this section and sections 79069
5741.022 and 5741.023 of the Revised Code, the amount of tax paid 79070
shall be credited against the amount of tax due.79071

       (E) As used in this section, "criminal and administrative 79072
justice services" has the same meaning as in section 5739.021 of 79073
the Revised Code.79074

       Sec. 5741.022.  (A) For the purpose of providing additional 79075
general revenues for the transit authority and paying the expenses 79076
of administering such levy, any transit authority as defined in 79077
section 5741.01 of the Revised Code that levies a tax pursuant to 79078
section 5739.023 of the Revised Code shall levy a tax at the same 79079
rate levied pursuant to such section on the storage, use, or other 79080
consumption in the territory of the transit authority of the 79081
following:79082

       (1) Motor vehicles acquired on or after June 29, 1974, and79083
watercraft and outboard motors required to be titled in the county 79084
pursuant to Chapter 1548. of the Revised Code and acquired on or 79085
after April 1, 1990, by a transaction subject to the tax imposed 79086
by section 5739.02 of the Revised Code;79087

       (2) In addition to the tax imposed by section 5741.02 of the 79088
Revised Code, tangible personal property and services subject to 79089
the tax levied by this state as provided in section 5741.02 of the 79090
Revised Code, and tangible personal property and services79091
purchased in another county within this state by a transaction79092
subject to the tax imposed by section 5739.02 of the Revised Code.79093

       The tax shall be in effect at the same time and at the same79094
rate and shall be levied pursuant to the resolution of the79095
legislative authority of the transit authority levying a sales tax 79096
pursuant to section 5739.023 of the Revised Code.79097

       (B) The tax levied pursuant to this section on the storage, 79098
use, or other consumption of tangible personal property and on the 79099
benefit of a service realized shall be in addition to the tax 79100
levied by section 5741.02 of the Revised Code and, except as 79101
provided in division (D) of this section, any tax levied pursuant 79102
to sections 5741.021 and 5741.023 of the Revised Code.79103

       (C) The additional tax levied by the authority shall be79104
collected pursuant to the schedules in section 5739.025 of the79105
Revised Code.79106

       (D) The tax levied pursuant to this section shall not be79107
applicable to any benefit of a service realized or to any storage, 79108
use, or consumption of property not within the taxing power of a 79109
transit authority under the constitution of the United States or 79110
the constitution of this state, or to property or services on 79111
which a tax levied by a county or transit authority pursuant to 79112
this section or section 5739.021, 5739.023, 5739.026, 5741.021, or 79113
5741.023 of the Revised Code has been paid, if the sum of the 79114
taxes paid pursuant to those sections is equal to or greater than 79115
the sum of the taxes due under this section and sections 5741.021 79116
and 5741.023 of the Revised Code. If the sum of the taxes paid is 79117
less than the sum of the taxes due under this section and sections 79118
5741.021 and 5741.023 of the Revised Code, the amount of tax paid 79119
shall be credited against the amount of tax due.79120

       (E) The rate of a tax levied under this section is subject to79121
reduction under section 5739.028 of the Revised Code if a ballot 79122
question is approved by voters pursuant to that section.79123

       Sec. 5741.023.  (A) For the same purposes for which it has79124
imposed a tax under section 5739.026 of the Revised Code, any79125
county whichthat levies a tax pursuant to such section shall levy 79126
a tax at the same rate levied pursuant to such section on the79127
storage, use, or other consumption in the county of the following:79128

       (1) Motor vehicles, and watercraft and outboard motors79129
required to be titled in the county pursuant to Chapter 1548. of79130
the Revised Code, acquired by a transaction subject to the tax79131
imposed by section 5739.02 of the Revised Code;79132

       (2) In addition to the tax imposed by section 5741.02 of the 79133
Revised Code, tangible personal property and services subject to 79134
the tax levied by this state as provided in section 5741.02 of the 79135
Revised Code, and tangible personal property and services79136
purchased in another county within this state by a transaction79137
subject to the tax imposed by section 5739.02 of the Revised Code.79138

       The tax shall be levied pursuant to a resolution of the board 79139
of county commissioners, which shall be adopted in the same manner 79140
as provided in section 5739.026 of the Revised Code. Such79141
resolution shall be adopted and shall become effective on the same 79142
day as the resolution adopted by the board of county commissioners 79143
levying a sales tax pursuant to such section and shall remain in 79144
effect until such sales tax is repealed or expires.79145

       (B) The tax levied pursuant to this section shall be in79146
addition to the tax levied by section 5741.02 of the Revised Code79147
and, except as provided in division (D) of this section, any tax79148
levied pursuant to sections 5741.021 and 5741.022 of the Revised79149
Code.79150

       (C) The additional tax levied by the county shall be79151
collected pursuant to the schedules in section 5739.025 of the79152
Revised Code.79153

       (D) The tax levied pursuant to this section shall not be79154
applicable to any benefit of a service realized or to any storage, 79155
use, or consumption of property not within the taxing power of a 79156
county under the constitution of the United States or the 79157
constitution of this state, or to property or services on which 79158
tax levied by a county or transit authority pursuant to this 79159
section or section 5739.021, 5739.023, 5739.026, 5741.021, or 79160
5741.022 of the Revised Code has been paid, if the sum of the79161
taxes paid pursuant to those sections is equal to or greater than79162
the sum of the taxes due under this section and sections 5741.02179163
and 5741.022 of the Revised Code. If the sum of the taxes paid is 79164
less than the sum of the taxes due under this section and sections 79165
5741.021 and 5741.022 of the Revised Code, the amount of tax paid 79166
shall be credited against the amount of tax due.79167

       Sec. 5741.121.  (A) If the total amount of tax required to be 79168
paid by a seller or consumer under section 5741.12 of the Revised 79169
Code for any year indicated in the following schedule equals or79170
exceeds the amount prescribed for that year in the schedule79171
seventy-five thousand dollars, the seller or consumer shall remit 79172
each monthly tax payment in the second ensuing and each succeeding 79173
year by electronic funds transfer as prescribed by division (B) of 79174
this section.79175

Year 1992 1993 through 1999 2000 and thereafter 79176
Tax payment $1,200,000 $600,000 $60,000 79177

       If a seller's or consumer's tax payment for each of two 79178
consecutive years beginning with 2000 is less than sixty79179
seventy-five thousand dollars, the seller or consumer is relieved 79180
of the requirement to remit taxes by electronic funds transfer for 79181
the year that next follows the second of the consecutive years in 79182
which the tax payment is less than sixty thousand dollarsthat 79183
amount, and is relieved of that requirement for each succeeding 79184
year, unless the tax payment in a subsequent year equals or 79185
exceeds sixtyseventy-five thousand dollars.79186

       The tax commissioner shall notify each seller or consumer 79187
required to remit taxes by electronic funds transfer of the 79188
seller's or consumer's obligation to do so, shall maintain an 79189
updated list of those sellers and consumers, and shall timely 79190
certify the list and any additions thereto or deletions therefrom 79191
to the treasurer of state. Failure by the tax commissioner to 79192
notify a seller or consumer subject to this section to remit taxes 79193
by electronic funds transfer does not relieve the seller or 79194
consumer of the obligation to remit taxes by electronic funds 79195
transfer.79196

       (B) Sellers and consumers required by division (A) of this 79197
section to remit payments by electronic funds transfer shall remit 79198
such payments to the treasurer of state in the manner prescribed 79199
by this section and rules adopted by the treasurer of state under 79200
section 113.061 of the Revised Code, and on or before the 79201
following dates:79202

        (1)(a) On or before the eleventhfifteenth day of each month, 79203
a seller shall remit an amount equal to the taxes collected during 79204
the first seveneleven days of the month. On or before the 79205
eighteenth day of each month, a seller shall remit an amount equal 79206
to the taxes collected on the eighth through the fourteenth day of 79207
the month. On or before the twenty-fifth day of each month, a 79208
seller shall remit an amount equal to the taxes collected on the 79209
fifteenthtwelfth through the twenty-first day of the month.79210

        (b) In lieu of remitting the actual amounts collected for the 79211
periods specified in division (B)(1)(a) of this section, a seller 79212
may, on or before each of the eleventh, eighteenth,fifteenth and 79213
twenty-fifth days of each month, remit an amount equal to 79214
one-fourththirty-seven and one-half per cent of the seller's 79215
total tax liability for the same month in the preceding calendar 79216
year.79217

        (2) On or before each of the eleventh, eighteenth,fifteenth79218
and twenty-fifth days of each month, a consumer shall remit an 79219
amount equal to one-fourththirty-seven and one-half per cent of 79220
the consumer's total tax liability for the same month in the 79221
preceding calendar year.79222

        (3) On or before the twenty-third day of each month, a seller 79223
shall report the taxes collected and a consumer shall report the 79224
taxes due for the previous month and shall remit that amount, less 79225
any amounts paid for that month as required by division (B)(1)(a) 79226
or (b) or (B)(2) of this section.79227

        The payment of taxes by electronic funds transfer does not 79228
affect a seller's or consumer's obligation to file the monthly 79229
return as required under section 5741.12 of the Revised Code.79230

       (C) A seller or consumer required by this section to remit 79231
taxes by electronic funds transfer may apply to the treasurer of 79232
state in the manner prescribed by the treasurer of state to be 79233
excused from that requirement. The treasurer of state may excuse 79234
the seller or consumer from remittance by electronic funds 79235
transfer for good cause shown for the period of time requested by 79236
the seller or consumer or for a portion of that period. The 79237
treasurer of state shall notify the tax commissioner and the 79238
seller or consumer of the treasurer of state's decision as soon as 79239
is practicable.79240

       (D)(1) If a seller or consumer that is required to remit 79241
payments under division (B) of this section fails to make a 79242
payment, the commissioner may impose an additional charge not to 79243
exceed five per cent of that unpaid amount.79244

        (2) If a seller or consumer required by this section to remit 79245
taxes by electronic funds transfer remits those taxes by some 79246
means other than by electronic funds transfer as prescribed by the79247
rules adopted by the treasurer of state, and the treasurer of 79248
state determines that such failure was not due to reasonable cause 79249
or was due to willful neglect, the treasurer of state shall notify 79250
the tax commissioner of the failure to remit by electronic funds 79251
transfer and shall provide the commissioner with any information 79252
used in making that determination. The tax commissioner may impose 79253
an additional charge not to exceed the lesser of five per cent of 79254
the amount of the taxes required to be paid by electronic funds 79255
transfer or five thousand dollars. 79256

       (3) Any additional charge imposed under this section is in 79257
addition to any other penalty or charge imposed under this 79258
chapter, and shall be considered as revenue arising from taxes 79259
imposed under this chapter. An additional charge may be collected 79260
by assessment in the manner prescribed by section 5741.13 of the 79261
Revised Code. The tax commissioner may waive all or a portion of 79262
such a charge and may adopt rules governing such waiver.79263

       No additional charge shall be imposed under division (D)(2) 79264
of this section against a seller or consumer that has been 79265
notified of the obligation to remit taxes under this section and 79266
that remits its first two tax payments after such notification by 79267
some means other than electronic funds transfer. The additional 79268
charge may be imposed upon the remittance of any subsequent tax 79269
payment that the seller or consumer remits by some means other 79270
than electronic funds transfer.79271

       Sec. 5741.25. If any corporation, limited liability company, 79272
or business trust registered or required to be registered under 79273
section 5741.17 of the Revised Code and required to file returns 79274
and remit tax due to the state under this chapter fails for any 79275
reason to make the filing or payment, any of its employees having 79276
control or supervision of or charged with the responsibility of 79277
filing returns and making payments, or any of its officers, 79278
members, managers, or trustees who are responsible for the 79279
execution of the corporation's, limited liability company's, or 79280
business trust's fiscal responsibilities, shall be personally 79281
liable for the failure. The dissolution, termination, or 79282
bankruptcy of a corporation, limited liability company, or 79283
business trust shall not discharge a responsible officer's, 79284
member's, manager's, employee's, or trustee's liability for a 79285
failure of the corporation, limited liability company, or business 79286
trust to file returns or remit tax due. The sum due for the 79287
liability may be collected by assessment in the manner provided in 79288
section 5741.11 or 5741.13 of the Revised Code.79289

       Sec. 5743.05.  All stamps provided for by section 5743.03 of79290
the Revised Code, when procured by the tax commissioner, shall be79291
immediately delivered to the treasurer of state, who shall execute79292
a receipt therefor showing the number and aggregate face value of79293
each denomination received by the treasurer of state and any other79294
information that the commissioner requires to enforce the79295
collection and distribution of all taxes imposed under section79296
5743.024 or 5743.026 of the Revised Code, and deliver the receipt79297
to the commissioner. The treasurer of state shall sell the stamps79298
and, on the fifth day of each month, make a report showing all79299
sales made during the preceding month, with the names of79300
purchasers, the number of each denomination, the aggregate face79301
value purchased by each, and any other information as the79302
commissioner requires to enforce the collection and distribution79303
of all taxes imposed under section 5743.024 of the Revised Code,79304
and deliver it to the commissioner. The treasurer of state shall79305
be accountable for all stamps received and unsold. The stamps79306
shall be sold and accounted for at their face value, except the79307
commissioner shall, by rule certified to the treasurer of state,79308
authorize the sale of stamps and meter impressions to wholesale or79309
retail dealers in this state, or to wholesale dealers outside this79310
state, at a discount of not less than one and eight-tenths per79311
cent or more than ten per cent of their face value, as a79312
commission for affixing and canceling the stamps or meter79313
impressions.79314

       The commissioner, by rule certified to the treasurer of79315
state, shall authorize the delivery of stamps and meter79316
impressions to wholesale and retail dealers in this state and to79317
wholesale dealers outside this state on credit when the purchaser79318
files. If such a dealer has not been in good credit standing with 79319
this state for five consecutive years preceding the purchase, the 79320
tax commissioner shall require the dealer to file with the 79321
commissioner a bond to the state in the amount and in the form 79322
prescribed by the commissioner, and with surety to the79323
satisfaction of the treasurer of statecommissioner, conditioned 79324
on payment to the treasurer of state within thirty days for stamps 79325
or meter impressions delivered within that time. If such a dealer 79326
has been in good credit standing with this state for five 79327
consecutive years preceding the purchase, the tax commissioner 79328
shall not require that the dealer file such a bond but shall 79329
require payment for the stamps and meter impressions within thirty 79330
days after purchase of the stamps and meter impressions. Stamps 79331
and meter impressions sold to a dealer not required to file a bond 79332
shall be sold at face value. The maximum amount that may be sold 79333
on credit to a dealer not required to file a bond shall equal one 79334
hundred ten per cent of the dealer's average monthly purchases 79335
over the preceding calendar year. The maximum amount shall be 79336
adjusted to reflect any changes in the tax rate and may be 79337
adjusted, upon application to the tax commissioner by the dealer, 79338
to reflect changes in the business operations of the dealer. The 79339
maximum amount shall be applicable to the period of July through 79340
April. Payment by a dealer not required to file a bond shall be 79341
remitted by electronic funds transfer as prescribed by section 79342
5743.051 of the Revised Code. If a dealer not required to file a 79343
bond fails to make the payment in full within the thirty-day 79344
period, the treasurer of state shall not thereafter sell stamps or 79345
meter impressions to that dealer until the dealer pays the 79346
outstanding amount, including penalty and interest on that amount 79347
as prescribed in this chapter, and the commissioner thereafter may 79348
require the dealer to file a bond until the dealer is restored to 79349
good standing. The commissioner shall limit delivery of stamps and 79350
meter impressions on credit to the period running from the first 79351
day of July of the fiscal year until the first day of the 79352
following May. Any discount allowed as a commission for affixing 79353
and canceling stamps or meter impressions shall be allowed with 79354
respect to sales of stamps and meter impressions on credit.79355

       The treasurer of state shall redeem and pay for any79356
destroyed, unused, or spoiled tax stamps and any unused meter79357
impressions at their net value, and shall refund to wholesale79358
dealers the net amount of state and county taxes paid erroneously79359
or paid on cigarettes that have been sold in interstate or foreign 79360
commerce or that have become unsalable, and the net amount of 79361
county taxes that were paid on cigarettes that have been sold at 79362
retail or for retail sale outside a taxing county.79363

       An application for a refund of tax shall be filed with the79364
tax commissioner, on the form prescribed by the commissioner for79365
that purpose, within three years from the date the tax stamps are79366
destroyed or spoiled, from the date of the erroneous payment, or79367
from the date that cigarettes on which taxes have been paid have79368
been sold in interstate or foreign commerce or have become79369
unsalable.79370

       On the filing of the application, the commissioner shall79371
determine the amount of refund to which the applicant is entitled, 79372
payable from receipts of the state tax, and, if applicable, 79373
payable from receipts of a county tax . If the amount is less than 79374
that claimed, the commissioncommissioner shall certify the amount 79375
to the director of budget and management and treasurer of state 79376
for payment from the tax refund fund created by section 5703.052 79377
of the Revised Code. If the amount is less than that claimed, the 79378
commissioner shall proceed in accordance with section 5703.70 of 79379
the Revised Code.79380

       If a refund is granted for payment of an illegal or erroneous79381
assessment issued by the department, the refund shall include79382
interest on the amount of the refund from the date of the79383
overpayment. The interest shall be computed at the rate per annum79384
prescribed by section 5703.47 of the Revised Code.79385

       Sec. 5743.051. This section applies to any wholesale or 79386
retail cigarette dealer required by section 5743.05 of the Revised 79387
Code to remit payment for tax stamps and meter impressions by 79388
electronic funds transfer. The tax commissioner shall notify each 79389
dealer of the dealer's obligation to do so and shall maintain an 79390
updated list of those dealers. Failure by the tax commissioner to 79391
notify a dealer subject to this section to remit taxes by 79392
electronic funds transfer does not relieve the dealer of its 79393
obligation to remit taxes by electronic funds transfer.79394

       A dealer required to remit payments by electronic funds 79395
transfer shall remit such payments to the treasurer of state in 79396
the manner prescribed by rules adopted by the treasurer of state 79397
under section 113.061 of the Revised Code and within the time 79398
prescribed for such a dealer by section 5743.05 of the Revised 79399
Code.79400

       A dealer required to remit taxes by electronic funds transfer 79401
may apply to the tax commissioner in the manner prescribed by the 79402
tax commissioner to be excused from that requirement. The tax 79403
commissioner may excuse the dealer from remittance by electronic 79404
funds transfer for good cause shown for the period of time 79405
requested by the dealer or for a portion of that period.79406

        If a dealer required to remit taxes by electronic funds 79407
transfer remits those taxes by some other means, the treasurer of 79408
state shall notify the tax commissioner of the failure to remit by 79409
electronic funds transfer. If the tax commissioner determines that 79410
such failure was not due to reasonable cause or was due to willful 79411
neglect, the tax commissioner may collect an additional charge by 79412
assessment in the manner prescribed by section 5743.081 of the 79413
Revised Code. The additional charge shall equal five per cent of 79414
the amount of the taxes required to be paid by electronic funds 79415
transfer but shall not exceed five thousand dollars. Any 79416
additional charge assessed under this section is in addition to 79417
any other penalty or charge imposed under this chapter and shall 79418
be considered as revenue arising from taxes imposed under this 79419
chapter. The tax commissioner may abate all or a portion of such a 79420
charge and may adopt rules governing such remissions.79421

       No additional charge shall be assessed under this section79422
against a dealer that has been notified of its obligation to remit 79423
taxes under this section and that remits its first two tax79424
payments after such notification by some means other than79425
electronic funds transfer. The additional charge may be assessed79426
upon the remittance of any subsequent tax payment that the dealer79427
remits by some means other than electronic funds transfer.79428

       Sec. 5743.21.  (A) No person shall affix a stamp required by79429
section 5743.03 of the Revised Code to any package that:79430

       (1) Bears any label or notice prescribed by the United States79431
to identify cigarettes exempt from taxation by the United States79432
pursuant to section 5704(b) of the "Internal Revenue Code of79433
1986," 100 Stat. 2085, 26 U.S.C.A. 5704(b), including any notice 79434
or label described in 27 C.F.R. 290.185;79435

       (2) Is not labeled in conformity with the "Federal Cigarette79436
Labeling and Advertising Act," 79 Stat. 282, 15 U.S.C.A. 1331 79437
(1965), or any other federal requirement for the placement of79438
labels, warnings, or other information applicable to packages of 79439
cigarettes intended for domestic consumption;79440

       (3) Has been altered by anyone other than the manufacturer or79441
a person authorized by the manufacturer, including by the 79442
placement of a sticker to cover information on or add information 79443
to the package;79444

       (4) Has been imported or brought into the United States after 79445
January 1, 2000, in violation of section 5754 of the "Internal 79446
Revenue Code of 1986," 100 Stat. 2085, 26 U.S.C.A. 5754, or 79447
regulations adopted under that section;79448

       (5) Is produced by a tobacco product manufacturer or is part 79449
of a brand family that is not included in the directory 79450
established under section 1346.05 of the Revised Code.79451

       (B) No person shall sell or offer to sell any roll-your-own 79452
tobacco to any person in this state if the roll-your-own tobacco 79453
is not included in the directory established under section 1346.05 79454
of the Revised Code. Any roll-your-own tobacco in the possession 79455
of a retail dealer in this state shall be prima facie evidence of 79456
offering to sell to a person in this state.79457

       (C) Whenever the tax commissioner discovers any packages to 79458
which stamps have been affixed in violation of this section, or 79459
any roll-your-own tobacco sold or offered for sale in violation of 79460
this section, the tax commissioner may seize the packages or 79461
roll-your-own tobacco, which shall thereupon be forfeited to the 79462
state, and shall order theirthe destruction of the packages or 79463
roll-your-own tobacco, provided that the seizure and destruction 79464
shall not exempt any person from prosecution or from the fine or 79465
imprisonment provided for the violation of this section.79466

       (D) As used in this section, "roll-your-own" has the same 79467
meaning as in section 1346.01 of the Revised Code, and "tobacco 79468
product manufacturer" and "brand family" have the same meanings as 79469
in section 1346.04 of the Revised Code.79470

       Sec. 5743.45.  (A) As used in this section, "felony" has the 79471
same meaning as in section 109.511 of the Revised Code.79472

       (B) For purposes of enforcing this chapter and Chapters 79473
5728., 5735., 5739., 5741., and 5747. of the Revised Code and 79474
subject to division (C) of this section, the tax commissioner, by 79475
journal entry, may delegate any investigation powers of the 79476
commissioner to an employee of the department of taxation who has 79477
been certified by the Ohio peace officer training commission and 79478
who is engaged in the enforcement of those chapters. A separate 79479
journal entry shall be entered for each employee to whom that 79480
power is delegated. Each journal entry shall be a matter of public 79481
record and shall be maintained in an administrative portion of the 79482
journal as provided for in division (L) of section 5703.05 of the 79483
Revised Code. When that journal entry is completed, the employee 79484
to whom it pertains, while engaged within the scope of the 79485
employee's duties in enforcing the provisions of this chapter or 79486
Chapter 5728., 5735., 5739., 5741., or 5747. of the Revised Code, 79487
has the power of a police officer to carry concealed weapons, make 79488
arrests, and obtain warrants for violations of any provision in 79489
those chapters. The commissioner, at any time, may suspend or 79490
revoke that the commissioner's delegation by journal entry. No 79491
employee of the department shall divulge any information acquired79492
as a result of an investigation pursuant to this chapter or 79493
Chapter 5728., 5735., 5739., 5741., or 5747. of the Revised Code, 79494
except as may be required by the commissioner or a court.79495

       (C)(1) The tax commissioner shall not delegate any 79496
investigation powers to an employee of the department of taxation 79497
pursuant to division (B) of this section on a permanent basis, on 79498
a temporary basis, for a probationary term, or on other than a 79499
permanent basis if the employee previously has been convicted of 79500
or has pleaded guilty to a felony.79501

       (2)(a) The tax commissioner shall revoke the delegation of 79502
investigation powers to an employee to whom the delegation was 79503
made pursuant to division (B) of this section if that employee 79504
does either of the following:79505

       (i) Pleads guilty to a felony;79506

       (ii) Pleads guilty to a misdemeanor pursuant to a negotiated 79507
plea agreement as provided in division (D) of section 2929.29 of 79508
the Revised Code in which the employee agrees to surrender the 79509
certificate awarded to that employee under section 109.77 of the 79510
Revised Code.79511

       (b) The tax commissioner shall suspend the delegation of 79512
investigation powers to an employee to whom the delegation was 79513
made pursuant to division (B) of this section if that employee is 79514
convicted, after trial, of a felony. If the employee files an 79515
appeal from that conviction and the conviction is upheld by the 79516
highest court to which the appeal is taken or if the employee does 79517
not file a timely appeal, the commissioner shall revoke the 79518
delegation of investigation powers to that employee. If the 79519
employee files an appeal that results in that employee's acquittal 79520
of the felony or conviction of a misdemeanor, or in the dismissal 79521
of the felony charge against that employee, the commissioner shall 79522
reinstate the delegation of investigation powers to that employee. 79523
The suspension, revocation, and reinstatement of the delegation of 79524
investigation powers to an employee under division (C)(2) of this 79525
section shall be made by journal entry pursuant to division (B) of 79526
this section. An employee to whom the delegation of investigation 79527
powers is reinstated under division (C)(2)(b) of this section 79528
shall not receive any back pay for the exercise of those 79529
investigation powers unless that employee's conviction of the 79530
felony was reversed on appeal, or the felony charge was dismissed, 79531
because the court found insufficient evidence to convict the 79532
employee of the felony.79533

       (3) Division (C) of this section does not apply regarding an 79534
offense that was committed prior to January 1, 1997.79535

       (4) The suspension or revocation of the delegation of 79536
investigation powers to an employee under division (C)(2) of this 79537
section shall be in accordance with Chapter 119. of the Revised 79538
Code.79539

       Sec. 5745.01.  As used in this chapter:79540

       (A) "Electric company," and "combined company," and 79541
"telephone company," have the same meanings as in section 5727.01 79542
of the Revised Code, except "telephone company" does not include a 79543
non profit corporation.79544

       (B) "Electric light company" has the same meaning as in79545
section 4928.01 of the Revised Code, and includes the activities79546
of a combined company as an electric company, but excludes79547
nonprofit companies and municipal corporations.79548

       (C) "Taxpayer" means aneither of the following:79549

       (1) An electric light company subject to taxation by a 79550
municipal corporation in this state for a taxable year, excluding 79551
an electric light company that is not an electric company or a 79552
combined company and for which an election made under section 79553
5745.031 of the Revised Code is not in effect with respect to the 79554
taxable year. If such a company is a qualified subchapter S 79555
subsidiary as defined in section 1361 of the Internal Revenue Code 79556
or a disregarded entity, the company's parent S corporation or 79557
owner is the taxpayer for the purposes of this chapter and is79558
hereby deemed to have nexus with this state under the Constitution79559
of the United States for the purposes of this chapter.79560

       (2) A telephone company subject to taxation by a municipal 79561
corporation in this state for a taxable year. A telephone company 79562
is subject to taxation under this chapter for any taxable year 79563
that begins on or after January 1, 2004. A telephone company with 79564
a taxable year ending in 2004 shall compute the tax imposed under 79565
this chapter, or shall compute its net operating loss carried 79566
forward for that taxable year, by multiplying the tax owed, or the 79567
loss for the taxable year, by fifty per cent.79568

       (D) "Disregarded entity" means an entity that, for its79569
taxable year, is by default, or has elected to be, disregarded as79570
an entity separate from its owner pursuant to 26 C.F.R.79571
301.7701-3.79572

       (E) "Taxable year" of a taxpayer is the taxpayer's taxable79573
year for federal income tax purposes.79574

       (F) "Federal taxable income" means taxable income, before79575
operating loss deduction and special deductions, as required to be79576
reported for the taxpayer's taxable year under the Internal79577
Revenue Code.79578

       (G) "Adjusted federal taxable income" means federal taxable79579
income adjusted as follows:79580

       (1) Deduct intangible income as defined in section 718.01 of79581
the Revised Code to the extent included in federal taxable income;79582

       (2) Add expenses incurred in the production of such79583
intangible income;79584

       (3) If, with respect to a qualifying taxpayer and a79585
qualifying asset there occurs a qualifying taxable event, the79586
qualifying taxpayer shall reduce its federal taxable income, as 79587
defined in division (F) of this section, by the amount of the79588
book-tax differentialdifference for that qualifying asset if the 79589
book-tax differentialdifference is greater than zero, and shall79590
increase its federal taxable income by the absolute value of the79591
amount of the book-tax differentialdifference for that qualifying 79592
asset if the book-tax differentialdifference is less than zero. 79593
The adjustments provided in division (G)(3) of this section are79594
subject to divisions (B)(3), (4), and (5) of section 5733.0510 of 79595
the Revised Code to the extent those divisions apply to the79596
adjustments in that section for the taxable year. A taxpayer shall 79597
not deduct or add any amount under division (G)(3) of this section79598
with respect to a qualifying asset the sale, exchange, or other79599
disposition of which resulted in the recognition of a gain or loss79600
that the taxpayer deducted or added, respectively, under division 79601
(G)(1) or (2) of this section.79602

       For the purposes of division (G)(3) of this section, "net79603
income" has the same meaning as in section 5733.04 of the Revised79604
Code, and "book-tax differentialdifference," "qualifying 79605
taxpayer," "qualifying asset," and "qualifying taxable event" have 79606
the same meanings as in section 5733.0510 of the Revised Code.79607

       (4) If the taxpayer is not a C corporation and is not an 79608
individual, the taxpayer shall compute "adjusted federal taxable 79609
income" as if the taxpayer were a C corporation, except:79610

        (a) Guaranteed payments and other similar amounts paid or 79611
accrued to a partner, former partner, or member or former member 79612
shall not be allowed as a deductible expense; and79613

        (b) With respect to each owner or owner-employee of the 79614
taxpayer, amounts paid or accrued to a qualified self-employed 79615
retirement plan and amounts paid or accrued to or for health 79616
insurance or life insurance shall not be allowed as a deduction.79617

        Nothing in this division shall be construed as allowing the 79618
taxpayer to deduct any amount more than once.79619

       (5) Add or deduct the amounts described in section 5733.0511 79620
of the Revised Code for qualifying telephone company taxpayers.79621

       (H) "Internal Revenue Code" means the "Internal Revenue Code79622
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amendedit existed on 79623
December 31, 2001.79624

       (I) "Ohio net income" means the amount determined under79625
division (B) of section 5745.02 of the Revised Code.79626

       Sec. 5745.02.  (A) The annual report filed under section79627
5745.03 of the Revised Code determines a taxpayer's Ohio net79628
income and the portion of Ohio net income to be apportioned to a79629
municipal corporation.79630

       (B) A taxpayer's Ohio net income is determined by multiplying 79631
the taxpayer's adjusted federal taxable income by the sum of the 79632
property factor multiplied by one-third, the payroll factor 79633
multiplied by one-third, and the sales factor multiplied by79634
one-third. If the denominator of one of the factors is zero, the79635
remaining two factors each shall be multiplied by one-half instead79636
of one-third; if the denominator of two of the factors is zero,79637
the remaining factor shall be multiplied by one. The property,79638
payroll, and sales factors shall be determined in the manner79639
prescribed by divisions (B)(1), (2), and (3) of this section.79640

       (1) The property factor is a fraction, the numerator of which79641
is the average value of the taxpayer's real and tangible personal79642
property owned or rented, and used in business in this state79643
during the taxable year, and the denominator of which is the79644
average value of all the taxpayer's real and tangible personal79645
property owned or rented, and used in business everywhere during79646
such year. Property owned by the taxpayer is valued at its79647
original cost. Property rented by the taxpayer is valued at eight79648
times the net annual rental rate. "Net annual rental rate" means79649
the annual rental rate paid by the taxpayer less any annual rental79650
rate received by the taxpayer from subrentals. The average value79651
of property shall be determined by averaging the values at the79652
beginning and the end of the taxable year, but the tax79653
commissioner may require the averaging of monthly values during79654
the taxable year, if reasonably required to reflect properly the79655
average value of the taxpayer's property.79656

       (2) The payroll factor is a fraction, the numerator of which79657
is the total amount paid in this state during the taxable year by79658
the taxpayer for compensation, and the denominator of which is the79659
total compensation paid everywhere by the taxpayer during such79660
year. Compensation means any form of remuneration paid to an79661
employee for personal services. Compensation is paid in this state 79662
if: (a) the recipient's service is performed entirely within this 79663
state, (b) the recipient's service is performed both within and 79664
without this state, but the service performed without this state 79665
is incidental to the recipient's service within this state, or (c) 79666
some of the service is performed within this state and either the 79667
base of operations, or if there is no base of operations, the 79668
place from which the service is directed or controlled is within 79669
this state, or the base of operations or the place from which the 79670
service is directed or controlled is not in any state in which 79671
some part of the service is performed, but the recipient's 79672
residence is in this state.79673

       (3) The sales factor is a fraction, the numerator of which is79674
the total sales in this state by the taxpayer during the taxable79675
year, and the denominator of which is the total sales by the79676
taxpayer everywhere during such year. Sales of electricity shall79677
be sitused to this state in the manner provided under section79678
5733.059 of the Revised Code. In determining the numerator and79679
denominator of the sales factor, receipts from the sale or other79680
disposal of a capital asset or an asset described in section 123179681
of the Internal Revenue Code shall be eliminated. Also, in79682
determining the numerator and denominator of the sales factor, in79683
the case of a reporting taxpayer owning at least eighty per cent79684
of the issued and outstanding common stock of one or more79685
insurance companies or public utilities, except an electric79686
company, a combined company, or a telephone company, or owning at79687
least twenty-five per cent of the issued and outstanding common79688
stock of one or more financial institutions, receipts received by79689
the reporting taxpayer from such utilities, insurance companies, 79690
and financial institutions shall be eliminated.79691

       For the purpose of division (B)(3) of this section, sales of79692
tangible personal property are in this state where such property79693
is received in this state by the purchaser. In the case of79694
delivery of tangible personal property by common carrier or by79695
other means of transportation, the place at which such property is79696
ultimately received after all transportation has been completed79697
shall be considered as the place at which such property is79698
received by the purchaser. Direct delivery in this state, other79699
than for purposes of transportation, to a person or firm79700
designated by a purchaser constitutes delivery to the purchaser in79701
this state, and direct delivery outside this state to a person or79702
firm designated by a purchaser does not constitute delivery to the79703
purchaser in this state, regardless of where title passes or other79704
conditions of sale.79705

       Sales, other than sales of electricity or tangible personal79706
property, are in this state if either the income-producing 79707
activity is performed solely in this state, or the 79708
income-producing activity is performed both within and without 79709
this state and a greater proportion of the income-producing 79710
activity is performed within this state than in any other state, 79711
based on costs of performance.79712

       For the purposes of division (B)(3) of this section, the tax 79713
commissioner may adopt rules to apportion sales within this state.79714

       (C) The portion of a taxpayer's Ohio net income taxable by79715
each municipal corporation imposing an income tax shall be79716
determined by multiplying the taxpayer's Ohio net income by the79717
sum of the municipal property factor multiplied by one-third, the79718
municipal payroll factor multiplied by one-third, and the79719
municipal sales factor multiplied by one-third, and subtracting79720
from the product so obtained any "municipal net operating loss79721
carryforward from prior taxable years." If the denominator of one79722
of the factors is zero, the remaining two factors each shall be79723
multiplied by one-half instead of one-third; if the denominator of79724
two of the factors is zero, the remaining factor shall be79725
multiplied by one. In calculating the "municipal net operating79726
loss carryforward from prior taxable years" for each municipal79727
corporation, net operating losses are apportioned in and out of a79728
municipal corporation for the taxable year in which the net79729
operating loss occurs in the same manner that positive net income79730
would have been so apportioned. Any net operating loss for a79731
municipal corporation may be applied to subsequent net income in79732
that municipal corporation to reduce that income to zero or until79733
the net operating loss has been fully used as a deduction. The79734
unused portion of net operating losses for each taxable year79735
apportioned to a municipal corporation may only be applied against79736
the income apportioned to that municipal corporation for five79737
subsequent taxable years. Net operating losses occurring in79738
taxable years ending before 2002 may not be subtracted under this79739
section.79740

       A taxpayer's municipal property, municipal payroll, and79741
municipal sales factors for a municipal corporation shall be79742
determined as provided in divisions (C)(1), (2), and (3) of this79743
section.79744

       (1) The municipal property factor is the quotient obtained by79745
dividing (a) the average value of real and tangible personal79746
property owned or rented by the taxpayer and used in business in79747
the municipal corporation during the taxable year by (b) the79748
average value of all of the taxpayer's real and tangible personal79749
property owned or rented and used in business during that taxable79750
year in this state. The value and average value of such property79751
shall be determined in the same manner provided in division (B)(1)79752
of this section.79753

       (2) The municipal payroll factor is the quotient obtained by79754
dividing (a) the total amount of compensation earned in the79755
municipal corporation by the taxpayer's employees during the79756
taxable year for services performed for the taxpayer and that is79757
subject to income tax withholding by the municipal corporation by79758
(b) the total amount of compensation paid by the taxpayer to its79759
employees in this state during the taxable year. Compensation has79760
the same meaning as in division (B)(2) of this section.79761

       (3) The municipal sales factor is a fraction, the numerator79762
of which is the taxpayer's total sales in a municipal corporation79763
during the taxable year, and the denominator of which is the79764
taxpayer's total sales in this state during such year.79765

       For the purpose of division (C)(3) of this section, sales of79766
tangible personal property are in the municipal corporation where79767
such property is received in the municipal corporation by the79768
purchaser. Sales of electricity directly to the consumer, as79769
defined in section 5733.059 of the Revised Code, shall be79770
considered sales of tangible personal property. In the case of the 79771
delivery of tangible personal property by common carrier or by79772
other means of transportation, the place at which such property79773
ultimately is received after all transportation has been completed79774
shall be considered as the place at which the property is received79775
by the purchaser. Direct delivery in the municipal corporation,79776
other than for purposes of transportation, to a person or firm79777
designated by a purchaser constitutes delivery to the purchaser in79778
that municipal corporation, and direct delivery outside the79779
municipal corporation to a person or firm designated by a79780
purchaser does not constitute delivery to the purchaser in that79781
municipal corporation, regardless of where title passes or other79782
conditions of sale. Sales, other than sales of tangible personal79783
property, are in the municipal corporation if either:79784

       (a) The income-producing activity is performed solely in the79785
municipal corporation;79786

       (b) The income-producing activity is performed both within79787
and without the municipal corporation and a greater proportion of79788
the income-producing activity is performed within that municipal79789
corporation than any other location in this state, based on costs79790
of performance.79791

       For the purposes of division (C)(3) of this section, the tax 79792
commissioner may adopt rules to apportion sales within each 79793
municipal corporation.79794

       (D) If a taxpayer is a combined company as defined in section79795
5727.01 of the Revised Code, the municipal property, payroll, and 79796
sales factors under division (C) of this section shall be adjusted 79797
as follows:79798

       (1) The numerator of the municipal property factor shall79799
include only the value, as determined under division (C)(1) of79800
this section, of the company's real and tangible property in the79801
municipal corporation attributed to the company's activity as an79802
electric company using the same methodology prescribed under79803
section 5727.03 of the Revised Code for taxable tangible personal79804
property.79805

       (2) The numerator of the municipal payroll factor shall79806
include only compensation paid in the municipal corporation by the79807
company to its employees for personal services rendered in the79808
company's activity as an electric company.79809

       (3) The numerator of the municipal sales factor shall include 79810
only the sales of tangible personal property and services, as 79811
determined under division (C)(3) of this section, made in the79812
municipal corporation in the course of the company's activity as79813
an electric company.79814

       (E)(1) If the provisions for apportioning adjusted federal79815
taxable income or Ohio net income under divisiondivisions (B),79816
(C), and (D) of this section do not fairly represent business 79817
activity in this state or among municipal corporations, the tax79818
commissioner may adopt rules for apportioning such income by an 79819
alternative method that fairly represents business activity in 79820
this state or among municipal corporations.79821

       (2) If any of the factors determined under division (B), (C), 79822
or (D) of this section does not fairly represent the extent of a 79823
taxpayer's business activity in this state or among municipal79824
corporations, the taxpayer may request, or the tax commissioner79825
may require, that the taxpayer's adjusted federal taxable income79826
or Ohio net income be determined by an alternative method,79827
including any of the alternative methods enumerated in division79828
(B)(2)(d) of section 5733.05 of the Revised Code. A taxpayer79829
requesting an alternative method shall make the request in writing79830
to the tax commissioner either with the annual report, a timely79831
filed amended report, or a timely filed petition for reassessment.79832
When the tax commissioner requires or permits an alternative79833
method under division (E)(2) of this section, the tax commissioner79834
shall cause a written notice to that effect to be delivered to any79835
municipal corporation that would be affected by application of the79836
alternative method. Nothing in this division shall be construed to 79837
extend any statute of limitations under this chapter.79838

       (F)(1) The tax commissioner may adopt rules providing for the 79839
combination of adjusted federal taxable incomes of taxpayers79840
satisfying the ownership or control requirements of section79841
5733.052 of the Revised Code if the tax commissioner finds that79842
such combinations are necessary to properly reflect adjusted79843
federal taxable income, Ohio net income, or the portion of Ohio79844
net income to be taxable by municipal corporations.79845

       (2) A taxpayer satisfying the ownership or control79846
requirements of section 5733.052 of the Revised Code with respect79847
to one or more other taxpayers may not combine their adjusted79848
federal taxable incomes for the purposes of this section unless79849
rules are adopted under division (F)(1) of this section allowing79850
such a combination or the tax commissioner finds that such a79851
combination is necessary to properly reflect the taxpayers'79852
adjusted federal taxable incomes, Ohio net incomes, or the portion79853
of Ohio net incomes to be subject to taxation within a municipal79854
corporation.79855

       (G) The tax commissioner may adopt rules providing for 79856
alternative apportionment methods for a telephone company.79857

       Sec. 5745.04.  (A) As used in this section, "combined tax79858
liability" means the total of a taxpayer's income tax liabilities79859
to all municipal corporations in this state for a taxable year.79860

       (B) Beginning with its taxable year beginning in 2003, each79861
taxpayer shall file a declaration of estimated tax report with,79862
and remit estimated taxes to, the tax commissioner, payable to the79863
treasurer of state, at the times and in the amounts prescribed in79864
divisions (B)(1) to (4) of this section. This division also79865
applies to a taxpayer having a taxable year consisting of fewer79866
than twelve months, at least one of which is in 2002, that ends79867
before January 1, 2003. The first taxable year a taxpayer is 79868
subject to this chapter, the estimated taxes the taxpayer is 79869
required to remit under this section shall be based solely on the 79870
current taxable year and not on the liability for the preceding 79871
taxable year.79872

       (1) Not less than twenty-five per cent of the combined tax79873
liability for the preceding taxable year or twenty per cent of the79874
combined tax liability for the current taxable year shall have79875
been remitted not later than the fifteenth day of the fourth month79876
after the end of the preceding taxable year.79877

       (2) Not less than fifty per cent of the combined tax79878
liability for the preceding taxable year or forty per cent of the79879
combined tax liability for the current taxable year shall have79880
been remitted not later than the fifteenth day of the sixth month79881
after the end of the preceding taxable year.79882

       (3) Not less than seventy-five per cent of the combined tax79883
liability for the preceding taxable year or sixty per cent of the79884
combined tax liability for the current taxable year shall have79885
been remitted not later than the fifteenth day of the ninth month79886
after the end of the preceding taxable year.79887

       (4) Not less than one hundred per cent of the combined tax79888
liability for the preceding taxable year or eighty per cent of the79889
combined tax liability for the current taxable year shall have79890
been remitted not later than the fifteenth day of the twelfth79891
month after the end of the preceding taxable year.79892

       (C) Each taxpayer shall report on the declaration of79893
estimated tax report the portion of the remittance that the79894
taxpayer estimates that it owes to each municipal corporation for79895
the taxable year.79896

       (D) Upon receiving a declaration of estimated tax report and79897
remittance of estimated taxes under this section, the tax79898
commissioner shall immediately forward to the treasurer of state79899
such remittance. The treasurer of state shall credit ninety-eight79900
and one-half per cent of the remittance to the municipal income79901
tax fund and credit the remainder to the municipal income tax79902
administrative fund.79903

       (E) If any remittance of estimated taxes is for one thousand79904
dollars or more, the taxpayer shall make the remittance by79905
electronic funds transfer as prescribed by section 5745.04 of the79906
Revised Code.79907

       (F) Notwithstanding section 5745.08 or 5745.09 of the Revised 79908
Code, no penalty or interest shall be imposed on a taxpayer if the 79909
declaration of estimated tax report is properly filed, and the 79910
estimated tax is paid, within the time prescribed by division (B) 79911
of this section.79912

       Sec. 5747.01.  Except as otherwise expressly provided or79913
clearly appearing from the context, any term used in this chapter79914
has the same meaning as when used in a comparable context in the79915
Internal Revenue Code, and all other statutes of the United States79916
relating to federal income taxes.79917

       As used in this chapter:79918

       (A) "Adjusted gross income" or "Ohio adjusted gross income"79919
means federal adjusted gross income, as defined and used in the79920
Internal Revenue Code, adjusted as provided in this section:79921

       (1) Add interest or dividends on obligations or securities of 79922
any state or of any political subdivision or authority of any79923
state, other than this state and its subdivisions and authorities.79924

       (2) Add interest or dividends on obligations of any79925
authority, commission, instrumentality, territory, or possession79926
of the United States to the extent that the interest or dividends79927
are exempt from federal income taxes but not from state income79928
taxes.79929

       (3) Deduct interest or dividends on obligations of the United 79930
States and its territories and possessions or of any authority, 79931
commission, or instrumentality of the United States to the extent79932
that the interest or dividends are included in federal adjusted 79933
gross income but exempt from state income taxes under the laws of 79934
the United States.79935

       (4) Deduct disability and survivor's benefits to the extent79936
included in federal adjusted gross income.79937

       (5) Deduct benefits under Title II of the Social Security Act 79938
and tier 1 railroad retirement benefits to the extent included in 79939
federal adjusted gross income under section 86 of the Internal79940
Revenue Code.79941

       (6) In the case of a taxpayer who is a beneficiary of a trust 79942
that makes an accumulation distribution as defined in section 665 79943
of the Internal Revenue Code, add, for the beneficiary's taxable 79944
years beginning before 2002 or after 2004, the portion, if any, of79945
such distribution that does not exceed the undistributed net79946
income of the trust for the three taxable years preceding the79947
taxable year in which the distribution is made to the extent that 79948
the portion was not included in the trust's taxable income for any 79949
of the trust's taxable years beginning in 2002, 2003, or 2004.79950
"Undistributed net income of a trust" means the taxable income of79951
the trust increased by (a)(i) the additions to adjusted gross79952
income required under division (A) of this section and (ii) the79953
personal exemptions allowed to the trust pursuant to section79954
642(b) of the Internal Revenue Code, and decreased by (b)(i) the79955
deductions to adjusted gross income required under division (A) of79956
this section, (ii) the amount of federal income taxes attributable79957
to such income, and (iii) the amount of taxable income that has79958
been included in the adjusted gross income of a beneficiary by79959
reason of a prior accumulation distribution. Any undistributed net79960
income included in the adjusted gross income of a beneficiary79961
shall reduce the undistributed net income of the trust commencing79962
with the earliest years of the accumulation period.79963

       (7) Deduct the amount of wages and salaries, if any, not79964
otherwise allowable as a deduction but that would have been79965
allowable as a deduction in computing federal adjusted gross79966
income for the taxable year, had the targeted jobs credit allowed79967
and determined under sections 38, 51, and 52 of the Internal79968
Revenue Code not been in effect.79969

       (8) Deduct any interest or interest equivalent on public79970
obligations and purchase obligations to the extent that the79971
interest or interest equivalent is included in federal adjusted79972
gross income.79973

       (9) Add any loss or deduct any gain resulting from the sale,79974
exchange, or other disposition of public obligations to the extent79975
that the loss has been deducted or the gain has been included in79976
computing federal adjusted gross income.79977

       (10) Deduct or add amounts, as provided under section 5747.70 79978
of the Revised Code, related to contributions to variable college 79979
savings program accounts made or tuition credits purchased79980
pursuant to Chapter 3334. of the Revised Code.79981

       (11)(a) Deduct, to the extent not otherwise allowable as a79982
deduction or exclusion in computing federal or Ohio adjusted gross79983
income for the taxable year, the amount the taxpayer paid during79984
the taxable year for medical care insurance and qualified79985
long-term care insurance for the taxpayer, the taxpayer's spouse,79986
and dependents. No deduction for medical care insurance under79987
division (A)(11) of this section shall be allowed either to any79988
taxpayer who is eligible to participate in any subsidized health79989
plan maintained by any employer of the taxpayer or of the79990
taxpayer's spouse, or to any taxpayer who is entitled to, or on79991
application would be entitled to, benefits under part A of Title79992
XVIII of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C.79993
301, as amended. For the purposes of division (A)(11)(a) of this79994
section, "subsidized health plan" means a health plan for which79995
the employer pays any portion of the plan's cost. The deduction79996
allowed under division (A)(11)(a) of this section shall be the net79997
of any related premium refunds, related premium reimbursements, or79998
related insurance premium dividends received during the taxable79999
year.80000

       (b) Deduct, to the extent not otherwise deducted or excluded80001
in computing federal or Ohio adjusted gross income during the80002
taxable year, the amount the taxpayer paid during the taxable80003
year, not compensated for by any insurance or otherwise, for80004
medical care of the taxpayer, the taxpayer's spouse, and80005
dependents, to the extent the expenses exceed seven and one-half80006
per cent of the taxpayer's federal adjusted gross income.80007

       (c) For purposes of division (A)(11) of this section,80008
"medical care" has the meaning given in section 213 of the80009
Internal Revenue Code, subject to the special rules, limitations,80010
and exclusions set forth therein, and "qualified long-term care"80011
has the same meaning given in section 7702(B)(b) of the Internal80012
Revenue Code.80013

       (12)(a) Deduct any amount included in federal adjusted gross80014
income solely because the amount represents a reimbursement or80015
refund of expenses that in any year the taxpayer had deducted as80016
an itemized deduction pursuant to section 63 of the Internal80017
Revenue Code and applicable United States department of the80018
treasury regulations. The deduction otherwise allowed under80019
division (A)(12)(a) of this section shall be reduced to the extent80020
the reimbursement is attributable to an amount the taxpayer80021
deducted under this section in any taxable year.80022

       (b) Add any amount not otherwise included in Ohio adjusted80023
gross income for any taxable year to the extent that the amount is80024
attributable to the recovery during the taxable year of any amount80025
deducted or excluded in computing federal or Ohio adjusted gross80026
income in any taxable year.80027

       (13) Deduct any portion of the deduction described in section 80028
1341(a)(2) of the Internal Revenue Code, for repaying previously 80029
reported income received under a claim of right, that meets both 80030
of the following requirements:80031

       (a) It is allowable for repayment of an item that was80032
included in the taxpayer's adjusted gross income for a prior80033
taxable year and did not qualify for a credit under division (A)80034
or (B) of section 5747.05 of the Revised Code for that year;80035

       (b) It does not otherwise reduce the taxpayer's adjusted80036
gross income for the current or any other taxable year.80037

       (14) Deduct an amount equal to the deposits made to, and net80038
investment earnings of, a medical savings account during the80039
taxable year, in accordance with section 3924.66 of the Revised80040
Code. The deduction allowed by division (A)(14) of this section80041
does not apply to medical savings account deposits and earnings80042
otherwise deducted or excluded for the current or any other80043
taxable year from the taxpayer's federal adjusted gross income.80044

       (15)(a) Add an amount equal to the funds withdrawn from a80045
medical savings account during the taxable year, and the net80046
investment earnings on those funds, when the funds withdrawn were80047
used for any purpose other than to reimburse an account holder80048
for, or to pay, eligible medical expenses, in accordance with80049
section 3924.66 of the Revised Code;80050

       (b) Add the amounts distributed from a medical savings80051
account under division (A)(2) of section 3924.68 of the Revised80052
Code during the taxable year.80053

       (16) Add any amount claimed as a credit under section80054
5747.059 of the Revised Code to the extent that such amount80055
satisfies either of the following:80056

       (a) The amount was deducted or excluded from the computation80057
of the taxpayer's federal adjusted gross income as required to be80058
reported for the taxpayer's taxable year under the Internal80059
Revenue Code;80060

       (b) The amount resulted in a reduction of the taxpayer's80061
federal adjusted gross income as required to be reported for any80062
of the taxpayer's taxable years under the Internal Revenue Code.80063

       (17) Deduct the amount contributed by the taxpayer to an80064
individual development account program established by a county80065
department of job and family services pursuant to sections 329.1180066
to 329.14 of the Revised Code for the purpose of matching funds80067
deposited by program participants. On request of the tax80068
commissioner, the taxpayer shall provide any information that, in80069
the tax commissioner's opinion, is necessary to establish the80070
amount deducted under division (A)(17) of this section.80071

       (18) Beginning in taxable year 2001, if the taxpayer is80072
married and files a joint return and the combined federal adjusted80073
gross income of the taxpayer and the taxpayer's spouse for the80074
taxable year does not exceed one hundred thousand dollars, or if80075
the taxpayer is single and has a federal adjusted gross income for80076
the taxable year not exceeding fifty thousand dollars, deduct80077
amounts paid during the taxable year for qualified tuition and80078
fees paid to an eligible institution for the taxpayer, the80079
taxpayer's spouse, or any dependent of the taxpayer, who is a80080
resident of this state and is enrolled in or attending a program80081
that culminates in a degree or diploma at an eligible institution.80082
The deduction may be claimed only to the extent that qualified80083
tuition and fees are not otherwise deducted or excluded for any80084
taxable year from federal or Ohio adjusted gross income. The80085
deduction may not be claimed for educational expenses for which80086
the taxpayer claims a credit under section 5747.27 of the Revised80087
Code.80088

       (19) Add any reimbursement received during the taxable year80089
of any amount the taxpayer deducted under division (A)(18) of this80090
section in any previous taxable year to the extent the amount is80091
not otherwise included in Ohio adjusted gross income.80092

       (20)(a)(i) Add five-sixths of the amount of depreciation80093
expense allowed by subsection (k) of section 168 of the Internal80094
Revenue Code, including the taxpayer's proportionate or80095
distributive share of the amount of depreciation expense allowed80096
by that subsection to a pass-through entity in which the taxpayer80097
has a direct or indirect ownership interest. The80098

       (ii) Add five-sixths of the amount of qualifying section 179 80099
depreciation expense, including a person's proportionate or 80100
distributive share of the amount of qualifying section 179 80101
depreciation expense allowed to any pass-through entity in which 80102
the person has a direct or indirect ownership. For the purposes of 80103
this division, "qualifying section 179 depreciation expense" means 80104
the difference between (I) the amount of depreciation expense 80105
directly or indirectly allowed to the taxpayer under section 179 80106
of the Internal Revenue Code, and (II) the amount of depreciation 80107
expense directly or indirectly allowed to the taxpayer under 80108
section 179 of the Internal Revenue Code as that section existed 80109
on December 31, 2002.80110

       The tax commissioner, under procedures established by the 80111
commissioner, may waive the add-backadd-backs related to a 80112
pass-through entity if the taxpayer owns, directly or indirectly, 80113
less than five per cent of the pass-through entity.80114

       (b) Nothing in division (A)(20) of this section shall be80115
construed to adjust or modify the adjusted basis of any asset.80116

       (c) To the extent the add-back required under division80117
(A)(20)(a) of this section is attributable to property generating80118
nonbusiness income or loss allocated under section 5747.20 of the80119
Revised Code, the add-back shall be sitused to the same location80120
as the nonbusiness income or loss generated by the property for80121
the purpose of determining the credit under division (A) of80122
section 5747.05 of the Revised Code. Otherwise, the add-back shall 80123
be apportioned, subject to one or more of the four alternative 80124
methods of apportionment enumerated in section 5747.21 of the 80125
Revised Code.80126

       (d) For the purposes of division (A) of this section, net 80127
operating loss carryback and carryforward shall not include 80128
five-sixths of the allowance of any net operating loss deduction 80129
carryback or carryforward to the taxable year to the extent such 80130
loss resulted from depreciation allowed by section 168(k) of the 80131
Internal Revenue Code and by the qualifying section 179 80132
depreciation expense amount.80133

       (21)(a) If the taxpayer was required to add an amount under80134
division (A)(20)(a) of this section for a taxable year, deduct80135
one-fifth of the amount so added for each of the five succeeding80136
taxable years.80137

       (b) If the amount deducted under division (A)(21)(a) of this80138
section is attributable to an add-back allocated under division80139
(A)(20)(c) of this section, the amount deducted shall be sitused80140
to the same location. Otherwise, the add-back shall be apportioned 80141
using the apportionment factors for the taxable year in which the 80142
deduction is taken, subject to one or more of the four alternative 80143
methods of apportionment enumerated in section 5747.21 of the 80144
Revised Code.80145

       (c) No deduction is available under division (A)(21)(a) of 80146
this section with regard to any depreciation allowed by section 80147
168(k) of the Internal Revenue Code and by the qualifying section 80148
179 depreciation expense amount to the extent that such 80149
depreciation resulted in or increased a federal net operating loss 80150
carryback or carryforward to a taxable year to which division 80151
(A)(20)(d) of this section does not apply.80152

       (B) "Business income" means income, including gain or loss,80153
arising from transactions, activities, and sources in the regular80154
course of a trade or business and includes income, gain, or loss80155
from real property, tangible property, and intangible property if80156
the acquisition, rental, management, and disposition of the80157
property constitute integral parts of the regular course of a80158
trade or business operation. "Business income" includes income,80159
including gain or loss, from a partial or complete liquidation of80160
a business, including, but not limited to, gain or loss from the80161
sale or other disposition of goodwill.80162

       (C) "Nonbusiness income" means all income other than business 80163
income and may include, but is not limited to, compensation, rents 80164
and royalties from real or tangible personal property, capital 80165
gains, interest, dividends and distributions, patent or copyright 80166
royalties, or lottery winnings, prizes, and awards.80167

       (D) "Compensation" means any form of remuneration paid to an80168
employee for personal services.80169

       (E) "Fiduciary" means a guardian, trustee, executor,80170
administrator, receiver, conservator, or any other person acting80171
in any fiduciary capacity for any individual, trust, or estate.80172

       (F) "Fiscal year" means an accounting period of twelve months 80173
ending on the last day of any month other than December.80174

       (G) "Individual" means any natural person.80175

       (H) "Internal Revenue Code" means the "Internal Revenue Code80176
of 1986," 100 Stat. 2085, 26 U.S.C.A. 1, as amended.80177

       (I) "Resident" means any of the following, provided that80178
division (I)(3) of this section applies only to taxable years of a80179
trust beginning in 2002, 2003, or 2004:80180

       (1) An individual who is domiciled in this state, subject to80181
section 5747.24 of the Revised Code;80182

       (2) The estate of a decedent who at the time of death was80183
domiciled in this state. The domicile tests of section 5747.24 of80184
the Revised Code and any election under section 5747.25 of the80185
Revised Code are not controlling for purposes of division (I)(2)80186
of this section.80187

       (3) A trust that, in whole or part, resides in this state. If80188
only part of a trust resides in this state, the trust is a80189
resident only with respect to that part.80190

       For the purposes of division (I)(3) of this section:80191

       (a) A trust resides in this state for the trust's current80192
taxable year to the extent, as described in division (I)(3)(d) of80193
this section, that the trust consists directly or indirectly, in 80194
whole or in part, of assets, net of any related liabilities, that 80195
were transferred, or caused to be transferred, directly or 80196
indirectly, to the trust by any of the following:80197

        (i) A person, a court, or a governmental entity or 80198
instrumentality on account of the death of a decedent, but only if 80199
the trust is described in division (I)(3)(e)(i) or (ii) of this 80200
section;80201

       (ii) A person who was domiciled in this state for the 80202
purposes of this chapter when the person directly or indirectly 80203
transferred assets to an irrevocable trust, but only if at least 80204
one of the trust's qualifying beneficiaries is domiciled in this 80205
state for the purposes of this chapter during all or some portion 80206
of the trust's current taxable year;80207

       (iii) A person who was domiciled in this state for the80208
purposes of this chapter when the trust document or instrument or80209
part of the trust document or instrument became irrevocable, but80210
only if at least one of the trust's qualifying beneficiaries is a 80211
resident domiciled in this state for the purposes of this chapter80212
during all or some portion of the trust's current taxable year.80213

        (b) A trust is irrevocable to the extent that the transferor 80214
is not considered to be the owner of the net assets of the trust 80215
under sections 671 to 678 of the Internal Revenue Code.80216

       (c) With respect to a trust other than a charitable lead80217
trust, "qualifying beneficiary" has the same meaning as "potential80218
current beneficiary" as defined in section 1361(e)(2) of the80219
Internal Revenue Code, and with respect to a charitable lead trust80220
"qualifying beneficiary" is any current, future, or contingent80221
beneficiary, but with respect to any trust "qualifying80222
beneficiary" excludes a person or a governmental entity or80223
instrumentality to any of which a contribution would qualify for80224
the charitable deduction under section 170 of the Internal Revenue80225
Code.80226

        (d) For the purposes of division (I)(3)(a) of this section,80227
the extent to which a trust consists directly or indirectly, in80228
whole or in part, of assets, net of any related liabilities, that80229
were transferred directly or indirectly, in whole or part, to the80230
trust by any of the sources enumerated in that division shall be80231
ascertained by multiplying the fair market value of the trust's80232
assets, net of related liabilities, by the qualifying ratio, which80233
shall be computed as follows:80234

        (i) The first time the trust receives assets, the numerator80235
of the qualifying ratio is the fair market value of those assets80236
at that time, net of any related liabilities, from sources80237
enumerated in division (I)(3)(a) of this section. The denominator80238
of the qualifying ratio is the fair market value of all the80239
trust's assets at that time, net of any related liabilities.80240

        (ii) Each subsequent time the trust receives assets, a80241
revised qualifying ratio shall be computed. The numerator of the80242
revised qualifying ratio is the sum of (1) the fair market value80243
of the trust's assets immediately prior to the subsequent80244
transfer, net of any related liabilities, multiplied by the80245
qualifying ratio last computed without regard to the subsequent80246
transfer, and (2) the fair market value of the subsequently80247
transferred assets at the time transferred, net of any related80248
liabilities, from sources enumerated in division (I)(3)(a) of this80249
section. The denominator of the revised qualifying ratio is the80250
fair market value of all the trust's assets immediately after the80251
subsequent transfer, net of any related liabilities.80252

        (e) For the purposes of division (I)(3)(a)(i) of this80253
section:80254

        (i) A trust is described in division (I)(3)(e)(i) of this80255
section if the trust is a testamentary trust and the testator of80256
that testamentary trust was domiciled in this state at the time of80257
the testator's death for purposes of the taxes levied under80258
Chapter 5731. of the Revised Code.80259

        (ii) A trust is described in division (I)(3)(e)(ii) of this80260
section if the transfer is a qualifying transfer described in any80261
of divisions (I)(3)(f)(i) to (vi) of this section, the trust is an80262
irrevocable inter vivos trust, and at least one of the trust's80263
qualifying beneficiaries is domiciled in this state for purposes80264
of this chapter during all or some portion of the trust's current80265
taxable year.80266

        (f) For the purposes of division (I)(3)(e)(ii) of this80267
section, a "qualifying transfer" is a transfer of assets, net of80268
any related liabilities, directly or indirectly to a trust, if the80269
transfer is described in any of the following:80270

        (i) The transfer is made to a trust, created by the decedent 80271
before the decedent's death and while the decedent was domiciled 80272
in this state for the purposes of this chapter, and, prior to the 80273
death of the decedent, the trust became irrevocable while the 80274
decedent was domiciled in this state for the purposes of this 80275
chapter.80276

        (ii) The transfer is made to a trust to which the decedent,80277
prior to the decedent's death, had directly or indirectly80278
transferred assets, net of any related liabilities, while the80279
decedent was domiciled in this state for the purposes of this80280
chapter, and prior to the death of the decedent the trust became80281
irrevocable while the decedent was domiciled in this state for the80282
purposes of this chapter.80283

        (iii) The transfer is made on account of a contractual80284
relationship existing directly or indirectly between the80285
transferor and either the decedent or the estate of the decedent80286
at any time prior to the date of the decedent's death, and the80287
decedent was domiciled in this state at the time of death for80288
purposes of the taxes levied under Chapter 5731. of the Revised80289
Code.80290

        (iv) The transfer is made to a trust on account of a80291
contractual relationship existing directly or indirectly between80292
the transferor and another person who at the time of the80293
decedent's death was domiciled in this state for purposes of this80294
chapter.80295

        (v) The transfer is made to a trust on account of the will of 80296
a testator.80297

        (vi) The transfer is made to a trust created by or caused to 80298
be created by a court, and the trust was directly or indirectly80299
created in connection with or as a result of the death of an80300
individual who, for purposes of the taxes levied under Chapter80301
5731. of the Revised Code, was domiciled in this state at the time80302
of the individual's death.80303

       (g) The tax commissioner may adopt rules to ascertain the80304
part of a trust residing in this state.80305

       (J) "Nonresident" means an individual or estate that is not a 80306
resident. An individual who is a resident for only part of a80307
taxable year is a nonresident for the remainder of that taxable80308
year.80309

       (K) "Pass-through entity" has the same meaning as in section80310
5733.04 of the Revised Code.80311

       (L) "Return" means the notifications and reports required to80312
be filed pursuant to this chapter for the purpose of reporting the80313
tax due and includes declarations of estimated tax when so80314
required.80315

       (M) "Taxable year" means the calendar year or the taxpayer's80316
fiscal year ending during the calendar year, or fractional part80317
thereof, upon which the adjusted gross income is calculated80318
pursuant to this chapter.80319

       (N) "Taxpayer" means any person subject to the tax imposed by 80320
section 5747.02 of the Revised Code or any pass-through entity80321
that makes the election under division (D) of section 5747.08 of80322
the Revised Code.80323

       (O) "Dependents" means dependents as defined in the Internal80324
Revenue Code and as claimed in the taxpayer's federal income tax80325
return for the taxable year or which the taxpayer would have been80326
permitted to claim had the taxpayer filed a federal income tax80327
return.80328

       (P) "Principal county of employment" means, in the case of a80329
nonresident, the county within the state in which a taxpayer80330
performs services for an employer or, if those services are80331
performed in more than one county, the county in which the major80332
portion of the services are performed.80333

       (Q) As used in sections 5747.50 to 5747.55 of the Revised80334
Code:80335

       (1) "Subdivision" means any county, municipal corporation,80336
park district, or township.80337

       (2) "Essential local government purposes" includes all80338
functions that any subdivision is required by general law to80339
exercise, including like functions that are exercised under a80340
charter adopted pursuant to the Ohio Constitution.80341

       (R) "Overpayment" means any amount already paid that exceeds80342
the figure determined to be the correct amount of the tax.80343

       (S) "Taxable income" or "Ohio taxable income" applies only to 80344
estates and trusts, and means federal taxable income, as defined 80345
and used in the Internal Revenue Code, adjusted as follows:80346

       (1) Add interest or dividends, net of ordinary, necessary,80347
and reasonable expenses not deducted in computing federal taxable80348
income, on obligations or securities of any state or of any80349
political subdivision or authority of any state, other than this80350
state and its subdivisions and authorities, but only to the extent 80351
that such net amount is not otherwise includible in Ohio taxable 80352
income and is described in either division (S)(1)(a) or (b) of 80353
this section:80354

        (a) The net amount is not attributable to the S portion of an 80355
electing small business trust and has not been distributed to80356
beneficiaries for the taxable year;80357

        (b) The net amount is attributable to the S portion of an80358
electing small business trust for the taxable year.80359

       (2) Add interest or dividends, net of ordinary, necessary,80360
and reasonable expenses not deducted in computing federal taxable80361
income, on obligations of any authority, commission,80362
instrumentality, territory, or possession of the United States to80363
the extent that the interest or dividends are exempt from federal80364
income taxes but not from state income taxes, but only to the80365
extent that such net amount is not otherwise includible in Ohio80366
taxable income and is described in either division (S)(1)(a) or80367
(b) of this section;80368

       (3) Add the amount of personal exemption allowed to the80369
estate pursuant to section 642(b) of the Internal Revenue Code;80370

       (4) Deduct interest or dividends, net of related expenses80371
deducted in computing federal taxable income, on obligations of80372
the United States and its territories and possessions or of any80373
authority, commission, or instrumentality of the United States to80374
the extent that the interest or dividends are exempt from state80375
taxes under the laws of the United States, but only to the extent80376
that such amount is included in federal taxable income and is80377
described in either division (S)(1)(a) or (b) of this section;80378

       (5) Deduct the amount of wages and salaries, if any, not80379
otherwise allowable as a deduction but that would have been80380
allowable as a deduction in computing federal taxable income for80381
the taxable year, had the targeted jobs credit allowed under80382
sections 38, 51, and 52 of the Internal Revenue Code not been in80383
effect, but only to the extent such amount relates either to80384
income included in federal taxable income for the taxable year or80385
to income of the S portion of an electing small business trust for80386
the taxable year;80387

       (6) Deduct any interest or interest equivalent, net of80388
related expenses deducted in computing federal taxable income, on80389
public obligations and purchase obligations, but only to the80390
extent that such net amount relates either to income included in80391
federal taxable income for the taxable year or to income of the S80392
portion of an electing small business trust for the taxable year;80393

       (7) Add any loss or deduct any gain resulting from sale,80394
exchange, or other disposition of public obligations to the extent80395
that such loss has been deducted or such gain has been included in80396
computing either federal taxable income or income of the S portion80397
of an electing small business trust for the taxable year;80398

       (8) Except in the case of the final return of an estate, add80399
any amount deducted by the taxpayer on both its Ohio estate tax80400
return pursuant to section 5731.14 of the Revised Code, and on its80401
federal income tax return in determining federal taxable income;80402

       (9)(a) Deduct any amount included in federal taxable income80403
solely because the amount represents a reimbursement or refund of80404
expenses that in a previous year the decedent had deducted as an80405
itemized deduction pursuant to section 63 of the Internal Revenue80406
Code and applicable treasury regulations. The deduction otherwise80407
allowed under division (S)(9)(a) of this section shall be reduced80408
to the extent the reimbursement is attributable to an amount the80409
taxpayer or decedent deducted under this section in any taxable80410
year.80411

       (b) Add any amount not otherwise included in Ohio taxable80412
income for any taxable year to the extent that the amount is80413
attributable to the recovery during the taxable year of any amount80414
deducted or excluded in computing federal or Ohio taxable income80415
in any taxable year, but only to the extent such amount has not80416
been distributed to beneficiaries for the taxable year.80417

       (10) Deduct any portion of the deduction described in section 80418
1341(a)(2) of the Internal Revenue Code, for repaying previously 80419
reported income received under a claim of right, that meets both 80420
of the following requirements:80421

       (a) It is allowable for repayment of an item that was80422
included in the taxpayer's taxable income or the decedent's80423
adjusted gross income for a prior taxable year and did not qualify80424
for a credit under division (A) or (B) of section 5747.05 of the80425
Revised Code for that year.80426

       (b) It does not otherwise reduce the taxpayer's taxable80427
income or the decedent's adjusted gross income for the current or80428
any other taxable year.80429

       (11) Add any amount claimed as a credit under section80430
5747.059 of the Revised Code to the extent that the amount80431
satisfies either of the following:80432

       (a) The amount was deducted or excluded from the computation80433
of the taxpayer's federal taxable income as required to be80434
reported for the taxpayer's taxable year under the Internal80435
Revenue Code;80436

       (b) The amount resulted in a reduction in the taxpayer's80437
federal taxable income as required to be reported for any of the80438
taxpayer's taxable years under the Internal Revenue Code.80439

       (12) Deduct any amount, net of related expenses deducted in80440
computing federal taxable income, that a trust is required to80441
report as farm income on its federal income tax return, but only80442
if the assets of the trust include at least ten acres of land80443
satisfying the definition of "land devoted exclusively to80444
agricultural use" under section 5713.30 of the Revised Code,80445
regardless of whether the land is valued for tax purposes as such80446
land under sections 5713.30 to 5713.38 of the Revised Code. If the80447
trust is a pass-though entity investor, section 5747.231 of the80448
Revised Code applies in ascertaining if the trust is eligible to80449
claim the deduction provided by division (S)(12) of this section80450
in connection with the pass-through entity's farm income.80451

        Except for farm income attributable to the S portion of an80452
electing small business trust, the deduction provided by division80453
(S)(12) of this section is allowed only to the extent that the80454
trust has not distributed such farm income. Division (S)(12) of80455
this section applies only to taxable years of a trust beginning in80456
2002, 2003, or 2004.80457

       (13) Add the net amount of income described in section 641(c)80458
of the Internal Revenue Code to the extent that amount is not80459
included in federal taxable income.80460

       (14) Add or deduct the amount the taxpayer would be required80461
to add or deduct under division (A)(20) or (21) of this section if80462
the taxpayer's Ohio taxable income were computed in the same80463
manner as an individual's Ohio adjusted gross income is computed80464
under this section. In the case of a trust, division (S)(14) of80465
this section applies only to any of the trust's taxable years80466
beginning in 2002, 2003, or 2004.80467

       (T) "School district income" and "school district income tax" 80468
have the same meanings as in section 5748.01 of the Revised Code.80469

       (U) As used in divisions (A)(8), (A)(9), (S)(6), and (S)(7)80470
of this section, "public obligations," "purchase obligations," and80471
"interest or interest equivalent" have the same meanings as in80472
section 5709.76 of the Revised Code.80473

       (V) "Limited liability company" means any limited liability80474
company formed under Chapter 1705. of the Revised Code or under80475
the laws of any other state.80476

       (W) "Pass-through entity investor" means any person who,80477
during any portion of a taxable year of a pass-through entity, is80478
a partner, member, shareholder, or equity investor in that80479
pass-through entity.80480

       (X) "Banking day" has the same meaning as in section 1304.0180481
of the Revised Code.80482

       (Y) "Month" means a calendar month.80483

       (Z) "Quarter" means the first three months, the second three80484
months, the third three months, or the last three months of the80485
taxpayer's taxable year.80486

       (AA)(1) "Eligible institution" means a state university or80487
state institution of higher education as defined in section80488
3345.011 of the Revised Code, or a private, nonprofit college,80489
university, or other post-secondary institution located in this80490
state that possesses a certificate of authorization issued by the80491
Ohio board of regents pursuant to Chapter 1713. of the Revised80492
Code or a certificate of registration issued by the state board of80493
career colleges and schools under Chapter 3332. of the Revised80494
Code.80495

       (2) "Qualified tuition and fees" means tuition and fees80496
imposed by an eligible institution as a condition of enrollment or80497
attendance, not exceeding two thousand five hundred dollars in80498
each of the individual's first two years of post-secondary80499
education. If the individual is a part-time student, "qualified80500
tuition and fees" includes tuition and fees paid for the academic80501
equivalent of the first two years of post-secondary education80502
during a maximum of five taxable years, not exceeding a total of80503
five thousand dollars. "Qualified tuition and fees" does not80504
include:80505

       (a) Expenses for any course or activity involving sports,80506
games, or hobbies unless the course or activity is part of the80507
individual's degree or diploma program;80508

       (b) The cost of books, room and board, student activity fees,80509
athletic fees, insurance expenses, or other expenses unrelated to 80510
the individual's academic course of instruction;80511

       (c) Tuition, fees, or other expenses paid or reimbursed80512
through an employer, scholarship, grant in aid, or other80513
educational benefit program.80514

       (BB)(1) "Modified business income" means the business income80515
included in a trust's Ohio taxable income after such taxable80516
income is first reduced by the qualifying trust amount, if any.80517

       (2) "Qualifying trust amount" of a trust means capital gains80518
and losses from the sale, exchange, or other disposition of equity80519
or ownership interests in, or debt obligations of, a qualifying80520
investee to the extent included in the trust's Ohio taxable 80521
income, but only if the following requirements are satisfied:80522

        (a) The book value of the qualifying investee's physical 80523
assets in this state and everywhere, as of the last day of the 80524
qualifying investee's fiscal or calendar year ending immediately 80525
prior to the date on which the trust recognizes the gain or loss, 80526
is available to the trust.80527

       (b) The requirements of section 5747.011 of the Revised Code80528
are satisfied for the trust's taxable year in which the trust80529
recognizes the gain or loss.80530

        Any gain or loss that is not a qualifying trust amount is80531
modified business income, qualifying investment income, or80532
modified nonbusiness income, as the case may be.80533

       (3) "Modified nonbusiness income" means a trust's Ohio80534
taxable income other than modified business income, other than the80535
qualifying trust amount, and other than qualifying investment80536
income, as defined in section 5747.012 of the Revised Code, to the80537
extent such qualifying investment income is not otherwise part of80538
modified business income.80539

       (4) "Modified Ohio taxable income" applies only to trusts,80540
and means the sum of the amounts described in divisions (BB)(4)(a) 80541
to (c) of this section:80542

       (a) The fraction, calculated under division (B)(2) of section 80543
5733.05, and applying section 5733.057 of the Revised Code, as if 80544
the trust were a corporation subject to the tax imposed by section 80545
5733.06 of the Revised Code, multiplied by the sum of the 80546
following amounts:80547

        (i) The trust's modified business income;80548

        (ii) The trust's qualifying investment income, as defined in 80549
section 5747.012 of the Revised Code, but only to the extent the 80550
qualifying investment income does not otherwise constitute80551
modified business income and does not otherwise constitute a80552
qualifying trust amount.80553

       (b) The qualifying trust amount multiplied by a fraction, the 80554
numerator of which is the sum of the book value of the qualifying 80555
investee's physical assets in this state on the last day of the 80556
qualifying investee's fiscal or calendar year ending immediately 80557
prior to the day on which the trust recognizes the qualifying 80558
trust amount, and the denominator of which is the sum of the book 80559
value of the qualifying investee's total physical assets 80560
everywhere on the last day of the qualifying investee's fiscal or 80561
calendar year ending immediately prior to the day on which the 80562
trust recognizes the qualifying trust amount. If, for a taxable 80563
year, the trust recognizes a qualifying trust amount with respect 80564
to more than one qualifying investee, the amount described in 80565
division (BB)(4)(b) of this section shall equal the sum of the80566
products so computed for each such qualifying investee.80567

       (c)(i) With respect to a trust or portion of a trust that is 80568
a resident as ascertained in accordance with division (I)(3)(d) of 80569
this section, its modified nonbusiness income.80570

        (ii) With respect to a trust or portion of a trust that is80571
not a resident as ascertained in accordance with division80572
(I)(3)(d) of this section, the amount of its modified nonbusiness80573
income satisfying the descriptions in divisions (B)(2) to (5) of80574
section 5747.20 of the Revised Code.80575

       If the allocation and apportionment of a trust's income under80576
divisions (BB)(4)(a) and (c) of this section do not fairly80577
represent the modified Ohio taxable income of the trust in this80578
state, the alternative methods described in division (C) of80579
section 5747.21 of the Revised Code may be applied in the manner80580
and to the same extent provided in that section.80581

       (5)(a) Except as set forth in division (BB)(5)(b) of this 80582
section, "qualifying investee" means a person in which a trust has 80583
an equity or ownership interest, or a person or unit of government 80584
the debt obligations of either of which are owned by a trust. For 80585
the purposes of division (BB)(2)(a) of this section and for the 80586
purpose of computing the fraction described in division (BB)(4)(b) 80587
of this section, all of the following apply:80588

        (i) If the qualifying investee is a member of a qualifying80589
controlled group on the last day of the qualifying investee's80590
fiscal or calendar year ending immediately prior to the date on80591
which the trust recognizes the gain or loss, then "qualifying80592
investee" includes all persons in the qualifying controlled group80593
on such last day.80594

        (ii) If the qualifying investee, or if the qualifying80595
investee and any members of the qualifying controlled group of80596
which the qualifying investee is a member on the last day of the80597
qualifying investee's fiscal or calendar year ending immediately80598
prior to the date on which the trust recognizes the gain or loss,80599
separately or cumulatively own, directly or indirectly, on the80600
last day of the qualifying investee's fiscal or calendar year80601
ending immediately prior to the date on which the trust recognizes80602
the qualifying trust amount, more than fifty per cent of the80603
equity of a pass-through entity, then the qualifying investee and80604
the other members are deemed to own the proportionate share of the80605
pass-through entity's physical assets which the pass-through80606
entity directly or indirectly owns on the last day of the80607
pass-through entity's calendar or fiscal year ending within or80608
with the last day of the qualifying investee's fiscal or calendar80609
year ending immediately prior to the date on which the trust80610
recognizes the qualifying trust amount.80611

        (iii) For the purposes of division (BB)(5)(a)(iii) of this80612
section, "upper level pass-through entity" means a pass-through80613
entity directly or indirectly owning any equity of another80614
pass-through entity, and "lower level pass-through entity" means80615
that other pass-through entity.80616

        An upper level pass-through entity, whether or not it is also 80617
a qualifying investee, is deemed to own, on the last day of the 80618
upper level pass-through entity's calendar or fiscal year, the80619
proportionate share of the lower level pass-through entity's80620
physical assets that the lower level pass-through entity directly80621
or indirectly owns on the last day of the lower level pass-through80622
entity's calendar or fiscal year ending within or with the last80623
day of the upper level pass-through entity's fiscal or calendar80624
year. If the upper level pass-through entity directly and80625
indirectly owns less than fifty per cent of the equity of the80626
lower level pass-through entity on each day of the upper level80627
pass-through entity's calendar or fiscal year in which or with80628
which ends the calendar or fiscal year of the lower level80629
pass-through entity and if, based upon clear and convincing80630
evidence, complete information about the location and cost of the80631
physical assets of the lower pass-through entity is not available80632
to the upper level pass-through entity, then solely for purposes80633
of ascertaining if a gain or loss constitutes a qualifying trust80634
amount, the upper level pass-through entity shall be deemed as80635
owning no equity of the lower level pass-through entity for each80636
day during the upper level pass-through entity's calendar or80637
fiscal year in which or with which ends the lower level80638
pass-through entity's calendar or fiscal year. Nothing in division 80639
(BB)(5)(a)(iii) of this section shall be construed to provide for 80640
any deduction or exclusion in computing any trust's Ohio taxable 80641
income.80642

       (b) With respect to a trust that is not a resident for the80643
taxable year and with respect to a part of a trust that is not a80644
resident for the taxable year, "qualifying investee" for that80645
taxable year does not include a C corporation if both of the80646
following apply:80647

       (i) During the taxable year the trust or part of the trust80648
recognizes a gain or loss from the sale, exchange, or other80649
disposition of equity or ownership interests in, or debt80650
obligations of, the C corporation.80651

       (ii) Such gain or loss constitutes nonbusiness income.80652

        (6) "Available" means information is such that a person is 80653
able to learn of the information by the due date plus extensions, 80654
if any, for filing the return for the taxable year in which the 80655
trust recognizes the gain or loss.80656

        (CC) "Qualifying controlled group" has the same meaning as in 80657
section 5733.04 of the Revised Code.80658

        (DD) "Related member" has the same meaning as in section80659
5733.042 of the Revised Code.80660

       (EE) Any term used in this chapter that is not otherwise80661
defined in this section and that is not used in a comparable80662
context in the Internal Revenue Code and other statutes of the80663
United States relating to federal income taxes has the same80664
meaning as in section 5733.40 of the Revised Code.80665

       Sec. 5747.02.  (A) For the purpose of providing revenue for80666
the support of schools and local government functions, to provide80667
relief to property taxpayers, to provide revenue for the general80668
revenue fund, and to meet the expenses of administering the tax80669
levied by this chapter, there is hereby levied on every80670
individual, trust, and estate residing in or earning or receiving80671
income in this state, on every individual, trust, and estate80672
earning or receiving lottery winnings, prizes, or awards pursuant80673
to Chapter 3770. of the Revised Code, and on every individual,80674
trust, and estate otherwise having nexus with or in this state80675
under the Constitution of the United States, an annual tax80676
measured in the case of individuals by Ohio adjusted gross income80677
less an exemption for the taxpayer, the taxpayer's spouse, and80678
each dependent as provided in section 5747.025 of the Revised80679
Code; measured in the case of trusts by modified Ohio taxable80680
income under division (D) of this section; and measured in the80681
case of estates by Ohio taxable income. The tax imposed by this80682
section on the balance thus obtained is hereby levied as follows:80683

OHIO ADJUSTED GROSS INCOME LESS EXEMPTIONS (INDIVIDUALS) 80684
OR 80685
MODIFIED OHIO 80686
TAXABLE INCOME (TRUSTS) 80687
OR 80688
OHIO TAXABLE INCOME (ESTATES) TAX 80689

$5,000 or less .743% 80690
More than $5,000 but not more than $10,000 $37.15 plus 1.486% of the amount in excess of $5,000 80691
More than $10,000 but not more than $15,000 $111.45 plus 2.972% of the amount in excess of $10,000 80692
More than $15,000 but not more than $20,000 $260.05 plus 3.715% of the amount in excess of $15,000 80693
More than $20,000 but not more than $40,000 $445.80 plus 4.457% of the amount in excess of $20,000 80694
More than $40,000 but not more than $80,000 $1,337.20 plus 5.201% of the amount in excess of $40,000 80695
More than $80,000 but not more than $100,000 $3,417.60 plus 5.943% of the amount in excess of $80,000 80696
More than $100,000 but not more than $200,000 $4,606.20 plus 6.9% of the amount in excess of $100,000 80697
More than $200,000 $11,506.20 plus 7.5% of the amount in excess of $200,000 80698

       In July of each year, beginning in 2005, the tax commissioner80699
shall adjust the income amounts prescribed in this division by80700
multiplying the percentage increase in the gross domestic product80701
deflator computed that year under section 5747.025 of the Revised80702
Code by each of the income amounts resulting from the adjustment80703
under this division in the preceding year, adding the resulting80704
product to the corresponding income amount resulting from the80705
adjustment in the preceding year, and rounding the resulting sum80706
to the nearest multiple of fifty dollars. The tax commissioner80707
also shall recompute each of the tax dollar amounts to the extent80708
necessary to reflect the adjustment of the income amounts. The80709
rates of taxation shall not be adjusted.80710

       The adjusted amounts apply to taxable years beginning in the80711
calendar year in which the adjustments are made. The tax80712
commissioner shall not make such adjustments in any year in which80713
the amount resulting from the adjustment would be less than the80714
amount resulting from the adjustment in the preceding year.80715

       (B) If the director of budget and management makes a80716
certification to the tax commissioner under division (B) of80717
section 131.44 of the Revised Code, the amount of tax as80718
determined under division (A) of this section shall be reduced by80719
the percentage prescribed in that certification for taxable years80720
beginning in the calendar year in which that certification is80721
made.80722

       (C) The levy of this tax on income does not prevent a80723
municipal corporation, a joint economic development zone created80724
under section 715.691, or a joint economic development district80725
created under section 715.70 or 715.71 or sections 715.72 to80726
715.81 of the Revised Code from levying a tax on income.80727

       (D) This division applies only to taxable years of a trust 80728
beginning in 2002, 2003, or 2004.80729

       (1) The tax imposed by this section on a trust shall be80730
computed by multiplying the Ohio modified taxable income of the80731
trust by the rates prescribed by division (A) of this section.80732

       (2) A credit is allowed against the tax computed under80733
division (D) of this section equal to the lesser of (1) the tax80734
paid to another state or the District of Columbia on the trust's80735
modified nonbusiness income, other than the portion of the trust's 80736
nonbusiness income that is qualifying investment income as defined 80737
in section 5747.012 of the Revised Code, or (2) the effective tax 80738
rate, based on modified Ohio taxable income, multiplied by the80739
trust's modified nonbusiness income other than the portion of 80740
trust's nonbusiness income that is qualifying investment income. 80741
The credit applies before any other applicable credits.80742

       (3) The credits enumerated in divisions (A)(1) to (13) of80743
section 5747.98 of the Revised Code do not apply to a trust80744
subject to this division. Any credits enumerated in other80745
divisions of section 5747.98 of the Revised Code apply to a trust80746
subject to this division. To the extent that the trust distributes 80747
income for the taxable year for which a credit is available to the 80748
trust, the credit shall be shared by the trust and its 80749
beneficiaries. The tax commissioner and the trust shall be guided 80750
by applicable regulations of the United States treasury regarding 80751
the sharing of credits.80752

       (E) For the purposes of this section, "trust" means any trust 80753
described in Subchapter J of Chapter 1 of the Internal Revenue 80754
Code, excluding trusts that are not irrevocable as defined in 80755
division (I)(3)(b) of section 5747.01 of the Revised Code and that 80756
have no modified Ohio taxable income for the taxable year, 80757
charitable remainder trusts, qualified funeral trusts and preneed 80758
funeral contract trusts established pursuant to section 1111.19 of 80759
the Revised Code that are not qualified funeral trusts, endowment 80760
and perpetual care trusts, qualified settlement trusts and funds, 80761
designated settlement trusts and funds, and trusts exempted from 80762
taxation under section 501(a) of the Internal Revenue Code.80763

       Sec. 5747.026.  (A) For taxable years beginning on or after 80764
January 1, 2002, a member of the national guard or a member of a 80765
reserve component of the armed forces of the United States called 80766
to active or other duty under operation Iraqi freedom may apply to 80767
the tax commissioner for an extension for filing of the return and 80768
payment of taxes required under this chapter during the period of 80769
the member's duty service and for sixty days thereafter. The 80770
application shall be filed on or before the sixtieth day after the 80771
member's duty terminates. An applicant shall provide such evidence 80772
as the commissioner considers necessary to demonstrate eligibility 80773
for the extension.80774

       (B)(1) If the commissioner determines that an applicant is 80775
qualified for an extension under this section, the commissioner 80776
shall enter into a contract with the applicant for the payment of 80777
the tax in installments that begin on the sixty-first day after 80778
the applicant's duty under operation Iraqi freedom terminates. 80779
Except as provided in division (B)(3) of this section, the 80780
commissioner may prescribe such contract terms as the commissioner 80781
considers appropriate.80782

       (2) If the commissioner determines that an applicant is 80783
qualified for an extension under this section, the applicant shall 80784
not be required to file any return, report, or other tax document 80785
before the sixty-first day after the applicant's duty under 80786
operation Iraqi freedom terminates.80787

       (3) Taxes paid pursuant to a contract entered into under 80788
division (B)(1) of this section are not delinquent. The tax 80789
commissioner shall not require any payments of penalties or 80790
interest in connection with such taxes.80791

       (C)(1) Divisions (A) and (B) of this section do not apply to 80792
any taxable year for which a taxpayer receives an extension of 80793
time in which to file a federal income tax return or pay federal 80794
income tax under the Internal Revenue Code.80795

        (2)(a) A taxpayer who is eligible for an extension under the 80796
Internal Revenue Code shall receive an extension of time in which 80797
to file any return, report, or other tax document described in 80798
this chapter and an extension of time in which to make any payment 80799
of taxes required under this chapter or Chapter 5748. of the 80800
Revised Code. The length of any extension granted under division 80801
(C)(2)(a) of this section shall be equal to the length of the 80802
corresponding extension that the taxpayer receives under the 80803
Internal Revenue Code.80804

        (b) Taxes paid in accordance with division (C)(2)(a) of this 80805
section are not delinquent. The tax commissioner shall not require 80806
any payment of penalties or interest in connection with such 80807
taxes. The tax commissioner shall not include any period of 80808
extension granted under division (C)(2)(a) of this section in 80809
calculating the interest due on any unpaid tax.80810

        (D) The tax commissioner shall adopt rules necessary to 80811
administer this section, including rules establishing the 80812
following:80813

       (1) Forms and procedures by which applicants may apply for 80814
extensions;80815

       (2) Criteria for eligibility;80816

       (3) A schedule for repayment of deferred taxes.80817

       Sec. 5747.12.  If a person entitled to a refund under section 80818
5747.11 or 5747.13 of the Revised Code is indebted to this state 80819
for any tax, workers' compensation premium due under section 80820
4123.35 of the Revised Code, unemployment compensation 80821
contribution due under section 4141.25 of the Revised Code, or fee80822
administered by the tax commissioner that is paid to the state or 80823
to the clerk of courts pursuant to section 4505.06 of the Revised 80824
Code, or any charge, penalty, or interest arising from such a tax, 80825
workers' compensation premium, unemployment compensation 80826
contribution, or fee, the amount refundable may be applied in 80827
satisfaction of the debt. If the amount refundable is less than 80828
the amount of the debt, it may be applied in partial satisfaction 80829
of the debt. If the amount refundable is greater than the amount80830
of the debt, the amount remaining after satisfaction of the debt 80831
shall be refunded. If the person has more than one such debt, any 80832
debt subject to section 5739.33 or division (G) of section 5747.07 80833
of the Revised Code shall be satisfied first. This section applies 80834
only to debts that have become final.80835

       The tax commissioner may, with the consent of the taxpayer,80836
provide for the crediting, against tax imposed under this chapter80837
or Chapter 5748. of the Revised Code and due for any taxable year, 80838
of the amount of any refund due the taxpayer under this chapter or 80839
Chapter 5748. of the Revised Code, as appropriate, for a preceding 80840
taxable year.80841

       Sec. 5747.31.  (A) This section applies to an individual or 80842
estate that is a proprietor or a pass-through entity investor.80843

       (B) A taxpayer described in division (A) of this section is 80844
allowed a credit that shall be computed and claimed in the same 80845
manner as the credit allowed to corporations in section 5733.33 of 80846
the Revised Code. The taxpayer shall claim one-seventh of the 80847
credit amount for the calendar year in which the new manufacturing 80848
machinery and equipment is purchased for use in the county by the 80849
taxpayer or partnership. One-seventh of the taxpayer credit amount 80850
is allowed for each of the six ensuing taxable years. The taxpayer 80851
shall claim the credit in the order required under section 5747.98 80852
of the Revised Code.80853

       The taxpayer shall file with the department of development a80854
notice of intent to claim the credit in accordance with division80855
(E) of section 5733.33 of the Revised Code.80856

       (C)(1) A taxpayer described in division (A) of this section 80857
is allowed a credit that shall be computed in the same manner as 80858
the credit allowed to a corporation in section 5733.39 of the 80859
Revised Code, with the following adjustments:80860

       (a) Substitute "taxable year" for "tax year" wherever "tax 80861
year" appears in section 5733.39 of the Revised Code;80862

       (b) Substitute "5747.02" for "5733.06" wherever "5733.06" 80863
appears in section 5733.39 of the Revised Code;80864

       (c) Substitute "5747.98" for "5733.98" wherever "5733.98" 80865
appears in section 5733.39 of the Revised Code;80866

       (d) The credit allowed under division (C) of this section 80867
shall be subject to the same disallowance for the carryover or 80868
carryback of any unused credit as provided in division (C) of 80869
section 5733.39 of the Revised Code.80870

       (2) Notwithstanding section 5747.1315703.56 of the Revised 80871
Code to the contrary, a taxpayer claiming a credit under this 80872
division has the burden of establishing by a preponderance of the 80873
evidence that the doctrines enumerated in section 5747.1315703.5680874
of the Revised Code do not apply with respect to the credit 80875
provided by this division.80876

       (D) Nothing in this section shall be construed to limit or 80877
disallow pass-through treatment of a pass-through entity's income, 80878
deductions, credits, or other amounts necessary to compute the tax 80879
imposed by section 5747.02 of the Revised Code and the credits 80880
allowed by this chapter.80881

       Sec. 5747.80. Upon the issuance of a tax credit certificate80882
by the Ohio venture capital authority under section 150.07 of the80883
Revised Code, a credit may be claimed against the tax imposed by 80884
section 5747.02 of the Revised Code. The credit shall be claimed 80885
for the taxable year specified in the certificate issued by the 80886
authority and in the order required under section 5747.98 of the 80887
Revised Code. If the taxpayer elected a refundable credit under80888
section 150.07 of the Revised Code, and the amount of the credit80889
shown on the certificate exceeds the tax otherwise due under80890
section 5747.02 of the Revised Code after all credits, including80891
the credit allowed under this section, are deducted in that order,80892
the taxpayer shall receive a refund equal to seventy-five per cent80893
of that excess. If the taxpayer elected a nonrefundable credit,80894
the amount of the credit, claimed in that order, shall not exceed80895
the tax otherwise due after all the taxpayer's credits are80896
deducted in that order. If the taxpayer elected a nonrefundable 80897
credit and the credit to which the taxpayer would otherwise be 80898
entitled under this section for any taxable year is greater than 80899
the tax otherwise due under section 5747.02 of the Revised Code, 80900
after allowing for any other credits that precede the credit 80901
allowed under this section, the excess shall be allowed as a 80902
credit in each of the ensuing ten taxable years, but the amount of 80903
any excess credit allowed in the ensuing taxable year shall be 80904
deducted from the balance carried forward to the next taxable 80905
year.80906

       Sec. 5901.021. (A) This section applies only to counties80907
having a population, according to the most recent decennial80908
census, of more than fourfive hundred thousand. In80909

       (B)(1) In any such county that is described in division (A)80910
of this section and in which the veterans service commission80911
submits a budget request under section 5901.11 of the Revised Code80912
for the ensuing fiscal year that exceeds (1)80913
twenty-five-thousandths of one per cent of the assessed value of80914
property in the county or (2) the amount appropriated to the80915
commission from the county general fund in the current fiscal year80916
by more than ten per cent of that appropriation, the board of80917
county commissioners, by resolution, may create not more than six80918
memberships on the veterans service commission in addition to the80919
memberships provided for by section 5901.02 of the Revised Code.80920
The board shall prescribe the number of years suchthe additional80921
memberships shall exist, which shall not exceed five years. Once a 80922
board of county commissioners creates suchany additional80923
memberships, it may not create further additional memberships80924
under this section if the total number of such memberships would 80925
exceed six. The board shall appoint persons who are residents of 80926
the county and who are honorably discharged or honorably separated 80927
veterans to each of the additional memberships, for terms 80928
prescribed by the board and commencing on a date fixed by the 80929
board. Each person appointed to an additional membership shall 80930
file, within sixty days after the date of the appointment, the 80931
person's form DD214 with the governor's office of veterans affairs 80932
in accordance with guidelines established by the director of that 80933
office.80934

       (2) If the board of county commissioners appoints such80935
additional members as described in division (B)(1) of this80936
section, the board may permit the commission to submit an original80937
or revised budget request for the ensuing fiscal year later than80938
the last Monday in May, as otherwise required under section80939
5901.11 of the Revised Code.80940

       (C) The board of county commissioners may remove, for cause,80941
any member appointed under this section;. The board shall provide 80942
fordetermine whether suchthe additional members may be 80943
reappointed upon the expiration of their terms;, and shall fill 80944
any vacancy in aan additional membership appointed under this 80945
section for the unexpired term in the manner provided for the80946
original appointment.80947

       Sec. 6101.09.  Within thirty days after the conservancy80948
district has been declared a corporation by the court, the clerk80949
of such court shall transmit to the secretary of state, to the80950
director of the department of natural resources, and to the county 80951
recorder in each of the counties having lands in the district, 80952
copies of the findings and the decree of the court incorporating 80953
the district. The same shall be filed and recorded in the office 80954
of the secretary of state in the same manner as articles of 80955
incorporation are required to be filed and recorded under the 80956
general law concerning corporations. Copies shall also be filed 80957
and become permanent records in the office of the recorder of each 80958
county in which a part of the district lies. Each recorder shall 80959
receive a base fee of one dollar for filing and preserving such 80960
copies and a housing trust fund fee of one dollar pursuant to 80961
section 317.36 of the Revised Code, and the secretary of state 80962
shall receive for filing and for recording the copies a fee of 80963
twenty-five dollars.80964

       Sec. 6109.21.  (A) Except as provided in divisions (D) and80965
(E) of this section, on and after January 1, 1994, no person shall80966
operate or maintain a public water system in this state without a80967
license issued by the director of environmental protection. A80968
person who operates or maintains a public water system on January80969
1, 1994, shall obtain an initial license under this section in80970
accordance with the following schedule:80971

       (1) If the public water system is a community water system,80972
not later than January 31, 1994;80973

       (2) If the public water system is not a community water80974
system and serves a nontransient population, not later than80975
January 31, 1994;80976

       (3) If the public water system is not a community water80977
system and serves a transient population, not later than January80978
31, 1995.80979

       A person proposing to operate or maintain a new public water80980
system after January 1, 1994, in addition to complying with80981
section 6109.07 of the Revised Code and rules adopted under it,80982
shall submit an application for an initial license under this80983
section to the director prior to commencing operation of the80984
system.80985

       A license or license renewal issued under this section shall80986
be renewed annually. Such a license or license renewal shall80987
expire on the thirtieth day of January in the year following its80988
issuance. A license holder that proposes to continue operating the 80989
public water system for which the license or license renewal was 80990
issued shall apply for a license renewal at least thirty days80991
prior to that expiration date.80992

       The director shall adopt, and may amend and rescind, rules in80993
accordance with Chapter 119. of the Revised Code establishing80994
procedures governing and information to be included on80995
applications for licenses and license renewals under this section.80996
Through June 30, 20042006, each application shall be accompanied80997
by the appropriate fee established under division (M) of section80998
3745.11 of the Revised Code, provided that an applicant for an80999
initial license who is proposing to operate or maintain a new81000
public water system after January 1, 1994, shall submit a fee that81001
equals a prorated amount of the appropriate fee established under81002
that division for the remainder of the licensing year.81003

       (B) Not later than thirty days after receiving a completed81004
application and the appropriate license fee for an initial license81005
under division (A) of this section, the director shall issue the81006
license for the public water system. Not later than thirty days81007
after receiving a completed application and the appropriate81008
license fee for a license renewal under division (A) of this81009
section, the director shall do one of the following:81010

       (1) Issue the license renewal for the public water system;81011

       (2) Issue the license renewal subject to terms and conditions 81012
that the director determines are necessary to ensure compliance 81013
with this chapter and rules adopted under it;81014

       (3) Deny the license renewal if the director finds that the81015
public water system was not operated in substantial compliance81016
with this chapter and rules adopted under it.81017

       (C) The director may suspend or revoke a license or license81018
renewal issued under this section if the director finds that the81019
public water system was not operated in substantial compliance81020
with this chapter and rules adopted under it. The director shall81021
adopt, and may amend and rescind, rules in accordance with Chapter81022
119. of the Revised Code governing such suspensions and81023
revocations.81024

       (D)(1) As used in division (D) of this section, "church"81025
means a fellowship of believers, congregation, society,81026
corporation, convention, or association that is formed primarily81027
or exclusively for religious purposes and that is not formed or81028
operated for the private profit of any person.81029

       (2) This section does not apply to a church that operates or81030
maintains a public water system solely to provide water for that81031
church or for a campground that is owned by the church and81032
operated primarily or exclusively for members of the church and81033
their families. A church that, on or before March 5, 1996, has81034
obtained a license under this section for such a public water81035
system need not obtain a license renewal under this section.81036

       (E) This section does not apply to any public or nonpublic81037
school that meets minimum standards of the state board of81038
education that operates or maintains a public water system solely81039
to provide water for that school.81040

       Sec. 6111.06.  (A) All proceedings of the director of81041
environmental protection, or hisof the director's officers or81042
agents, under sections 6111.01 to 6111.08 and sections 6111.31 to 81043
6111.38 of the Revised Code, including the adoption, issuance, 81044
modification, rescission, or revocation of rules and regulations, 81045
permits, orders, and notices, and the conduct of hearings, except81046
standards of water quality adopted pursuant to section 6111.041 of 81047
the Revised Code, shall be subject to and governed by sections81048
119.01 to 119.13, and Chapter 3745. of the Revised Code.81049

       (B) The director shall not refuse to issue a permit, nor81050
modify or revoke a permit already issued, unless the applicant or81051
permit holder has been afforded an opportunity for a hearing prior 81052
to the refusal to issue the permit or prior to the modification or 81053
revocation of the permit.81054

       (C) Whenever the director officially determines that an81055
emergency exists requiring immediate action to protect the public81056
health or welfare, hethe director may, without notice or hearing, 81057
issue an order reciting the existence of the emergency and 81058
requiring that such action be taken as is necessary to meet the 81059
emergency. Notwithstanding division (A) of this section, such 81060
order shall be effective immediately. Any person to whom such 81061
order is directed shall comply therewith immediately, but on 81062
application to the director shall be afforded a hearing as soon as 81063
possible, and not later than twenty days after such application. 81064
On the basis of such hearing, the director shall continue such 81065
order in effect, revoke it, or modify it. No such emergency order 81066
shall remain in effect for more than sixty days after its 81067
issuance.81068

       Sec. 6115.09.  Within thirty days after the sanitary district81069
has been declared a corporation by the court, the clerk of such81070
court shall transmit to the secretary of state, and to the county 81071
recorder in each of the counties having lands in said district, 81072
copies of the findings and the decree of the court incorporating 81073
said district. The same shall be filed and recorded in the office 81074
of the secretary of state in the same manner as articles of 81075
incorporation are required to be filed and recorded under the 81076
general law concerning corporations. Copies shall also be filed 81077
and become permanent records in the office of the recorder of each 81078
county in which a part of the district lies. Each recorder shall 81079
receive a base fee of one dollar for filing and preserving such 81080
copies and a housing trust fund fee of one dollar pursuant to 81081
section 317.36 of the Revised Code, and the secretary of state81082
shall receive for filing and for recording said copies such fees81083
as are provided by law for like services in similar cases.81084

       Sec. 6117.02.  (A) The board of county commissioners shall81085
fix reasonable rates, including penalties for late payments, for81086
the use, or the availability for use, of the sanitary facilities81087
of a sewer district to be paid by every person and public agency81088
whose premises are served, or capable of being served, by a81089
connection directly or indirectly to those facilities when those81090
facilities are owned or operated by the county and may change the81091
rates from time to time as it considers advisable. When the81092
sanitary facilities to be used by the county are owned by another81093
public agency or person, the schedule of rates to be charged by81094
the public agency or person for the use of the facilities by the81095
county, or the formula or other procedure for their determination,81096
shall be approved by the board at the time it enters into a81097
contract for that use.81098

       (B) The board also shall establish reasonable charges to be81099
collected for the privilege of connecting to the sanitary81100
facilities of the district, with the requirement that, prior to81101
the connection, the charges shall be paid in full, or, if81102
determined by the board to be equitable in a resolution relating81103
to the payment of the charges, provision considered adequate by81104
the board shall be made for their payment in installments at the81105
times, in the amounts, and with the security, carrying charges,81106
and penalties as may be found by the board in that resolution to81107
be fair and appropriate. No public agency or person shall be81108
permitted to connect to those facilities until the charges have81109
been paid in full or provision for their payment in installments81110
has been made. If the connection charges are to be paid in81111
installments, the board shall certify to the county auditor81112
information sufficient to identify each parcel of property served81113
by a connection and, with respect to each parcel, the total of the 81114
charges to be paid in installments, the amount of each81115
installment, and the total number of installments to be paid. The81116
auditor shall record and maintain the information supplied in the81117
sewer improvement record provided for in section 6117.33 of the81118
Revised Code until the connection charges are paid in full. The81119
board may include amounts attributable to connection charges being81120
paid in installments in its billings of rates and charges for the81121
use of sanitary facilities.81122

       (C) When any of the sanitary rates or charges are not paid81123
when due, the board may do any or all of the following as it81124
considers appropriate:81125

       (1) Certify the unpaid rates or charges, together with any81126
penalties, to the county auditor, who shall place them upon the81127
real property tax list and duplicate against the property served81128
by the connection. The certified amount shall be a lien on the81129
property from the date placed on the real property tax list and81130
duplicate and shall be collected in the same manner as taxes,81131
except that, notwithstanding section 323.15 of the Revised Code, a81132
county treasurer shall accept a payment in that amount when81133
separately tendered as payment for the full amount of the unpaid81134
sanitary rates or charges and associated penalties. The lien shall 81135
be released immediately upon payment in full of the certified 81136
amount.81137

       (2) Collect the unpaid rates or charges, together with any81138
penalties, by actions at law in the name of the county from an81139
owner, tenant, or other person or public agency that is liable for81140
the payment of the rates or charges;81141

       (3) Terminate, in accordance with established rules, the81142
sanitary service to the particular property and, if so determined,81143
any county water service to that property, unless and until the81144
unpaid sanitary rates or charges, together with any penalties, are81145
paid in full;81146

       (4) Apply, to the extent required, any security deposit made81147
in accordance with established rules to the payment of sanitary81148
rates and charges for service to the particular property.81149

       All moneys collected as sanitary rates, charges, or penalties 81150
fixed or established in accordance with divisions (A) and (B) of 81151
this section for any sewer district shall be paid to the county 81152
treasurer and kept in a separate and distinct sanitary fund 81153
established by the board to the credit of the district. Except as 81154
otherwise provided in any proceedings authorizing or providing for 81155
the security for and payment of any public obligations, or in any81156
indenture or trust or other agreement securing public obligations, 81157
moneys in the sanitary fund shall be applied first to the payment 81158
of the cost of the management, maintenance, and operation of the 81159
sanitary facilities of, or used or operated for, the district, 81160
which cost may include the county's share of management, 81161
maintenance, and operation costs under cooperative contracts for 81162
the acquisition, construction, or use of sanitary facilities and, 81163
in accordance with a cost allocation plan adopted under division 81164
(E) of this section, payment of all allowable direct and indirect 81165
costs of the district, the county sanitary engineer or sanitary81166
engineering department, or a federal or state grant program,81167
incurred for sanitary purposes under this chapter, and shall be 81168
applied second to the payment of debt charges payable on any81169
outstanding public obligations issued or incurred for the81170
acquisition or construction of sanitary facilities for or serving81171
the district, or for the funding of a bond retirement or other 81172
fund established for the payment of or security for the 81173
obligations. Any surplus remaining may be applied to the 81174
acquisition or construction of those facilities or for the payment 81175
of contributions to be made, or costs incurred, for the 81176
acquisition or construction of those facilities under cooperative 81177
contracts. Moneys in the sanitary fund shall not be expended other 81178
than for the use and benefit of the district.81179

       (D) The board may fix reasonable rates and charges, including 81180
connection charges and penalties for late payments, to be paid by81181
any person or public agency owning or having possession or control 81182
of any properties that are connected with, capable of being served 81183
by, or otherwise served directly or indirectly by, drainage 81184
facilities owned or operated by or under the jurisdiction of the81185
county, including, but not limited to, properties requiring, or 81186
lying within an area of the district requiring, in the judgment of 81187
the board, the collection, control, or abatement of waters 81188
originating or accumulating in, or flowing in, into, or through, 81189
the district, and may change those rates and charges from time to 81190
time as it considers advisable. TheIn addition, the board may fix 81191
the rates and charges in order to pay the costs of complying with 81192
the requirements of phase II of the storm water program of the 81193
national pollutant discharge elimination system established in 40 81194
C.F.R. part 122.81195

       The rates and charges shall be payable periodically as81196
determined by the board, except that any connection charges shall81197
be paid in full in one payment, or, if determined by the board to81198
be equitable in a resolution relating to the payment of those81199
charges, provision considered adequate by the board shall be made81200
for their payment in installments at the times, in the amounts,81201
and with the security, carrying charges, and penalties as may be81202
found by the board in that resolution to be fair and appropriate.81203
The board may include amounts attributable to connection charges81204
being paid in installments in its billings of rates and charges81205
for the services provided by the drainage facilities. In the case81206
of rates and charges that are fixed in order to pay the costs of81207
complying with the requirements of phase II of the storm water81208
program of the national pollutant discharge elimination system81209
established in 40 C.F.R. part 122, the rates and charges may be81210
paid annually or semiannually with real property taxes, provided81211
that the board certifies to the county auditor information that is81212
sufficient for the auditor to identify each parcel of property for81213
which a rate or charge is levied and the amount of the rate or81214
charge.81215

       When any of the drainage rates or charges are not paid when81216
due, the board may do any or all of the following as it considers81217
appropriate:81218

       (1) Certify the unpaid rates or charges, together with any81219
penalties, to the county auditor, who shall place them upon the81220
real property tax list and duplicate against the property to which81221
the rates or charges apply. The certified amount shall be a lien81222
on the property from the date placed on the real property tax list81223
and duplicate and shall be collected in the same manner as taxes,81224
except that notwithstanding section 323.15 of the Revised Code, a81225
county treasurer shall accept a payment in that amount when81226
separately tendered as payment for the full amount of the unpaid81227
drainage rates or charges and associated penalties. The lien shall 81228
be released immediately upon payment in full of the certified 81229
amount.81230

       (2) Collect the unpaid rates or charges, together with any81231
penalties, by actions at law in the name of the county from an81232
owner, tenant, or other person or public agency that is liable for81233
the payment of the rates or charges;81234

       (3) Terminate, in accordance with established rules, the81235
drainage service for the particular property until the unpaid81236
rates or charges, together with any penalties, are paid in full;81237

       (4) Apply, to the extent required, any security deposit made81238
in accordance with established rules to the payment of drainage81239
rates and charges applicable to the particular property.81240

       All moneys collected as drainage rates, charges, or penalties81241
in or for any sewer district shall be paid to the county treasurer81242
and kept in a separate and distinct drainage fund established by81243
the board to the credit of the district. Except as otherwise81244
provided in any proceedings authorizing or providing for the81245
security for and payment of any public obligations, or in any81246
indenture or trust or other agreement securing public obligations,81247
moneys in the drainage fund shall be applied first to the payment81248
of the cost of the management, maintenance, and operation of the81249
drainage facilities of, or used or operated for, the district,81250
which cost may include the county's share of management,81251
maintenance, and operation costs under cooperative contracts for81252
the acquisition, construction, or use of drainage facilities and,81253
in accordance with a cost allocation plan adopted under division81254
(E) of this section, payment of all allowable direct and indirect81255
costs of the district, the county sanitary engineer or sanitary81256
engineering department, or a federal or state grant program,81257
incurred for drainage purposes under this chapter, and shall be81258
applied second to the payment of debt charges payable on any81259
outstanding public obligations issued or incurred for the81260
acquisition or construction of drainage facilities for or serving81261
the district, or for the funding of a bond retirement or other81262
fund established for the payment of or security for the81263
obligations. Any surplus remaining may be applied to the81264
acquisition or construction of those facilities or for the payment81265
of contributions to be made, or costs incurred, for the81266
acquisition or construction of those facilities under cooperative81267
contracts. Moneys in the drainage fund shall not be expended other 81268
than for the use and benefit of the district.81269

       (E) A board of county commissioners may adopt a cost81270
allocation plan that identifies, accumulates, and distributes81271
allowable direct and indirect costs that may be paid from each of81272
the funds of the district created pursuant to divisions (C) and81273
(D) of this section, and that prescribes methods for allocating81274
those costs. The plan shall authorize payment from each of those81275
funds of only those costs incurred by the district, the county81276
sanitary engineer or sanitary engineering department, or a federal81277
or state grant program, and those costs incurred by the general81278
and other funds of the county for a common or joint purpose, that81279
are necessary and reasonable for the proper and efficient81280
administration of the district under this chapter and properly81281
attributable to the particular fund of the district. The plan81282
shall not authorize payment from either of the funds of any81283
general government expense required to carry out the overall81284
governmental responsibilities of a county. The plan shall conform81285
to United States office of management and budget Circular A-87,81286
"Cost Principles for State, Local, and Indian Tribal Governments,"81287
published May 17, 1995.81288

       Sec. 6119.10.  The board of trustees of a regional water and 81289
sewer district or any officer or employee designated by the board 81290
may make any contract for the purchase of supplies or material or 81291
for labor for any work, under the supervision of the board, the 81292
cost of which shall not exceed fifteentwenty-five thousand81293
dollars. When an expenditure, other than for the acquisition of 81294
real estate and interests in real estate, the discharge of81295
noncontractual claims, personal services, the joint use of81296
facilities or the exercise of powers with other political81297
subdivisions, or the product or services of public utilities,81298
exceeds fifteentwenty-five thousand dollars, the expenditures 81299
shall be made only after a notice calling for bids has been 81300
published not less than two consecutive weeks in at least one 81301
newspaper having a general circulation within the district. If the 81302
bids are for a contract for the construction, demolition, 81303
alteration, repair, or reconstruction of an improvement, the board 81304
may let the contract to the lowest and best bidder who meets the 81305
requirements of section 153.54 of the Revised Code. If the bids 81306
are for a contract for any other work relating to the improvements 81307
for which a regional water and sewer district was established, the81308
board of trustees of the regional water and sewer district may let 81309
the contract to the lowest or best bidder who gives a good and 81310
approved bond with ample security conditioned on the carrying out 81311
of the contract. The contract shall be in writing and shall be 81312
accompanied by or shall refer to plans and specifications for the 81313
work to be done, approved by the board. The plans and81314
specifications shall at all times be made and considered part of81315
the contract. The contract shall be approved by the board and81316
signed by its president or other duly authorized officer and by81317
the contractor. In case of a real and present emergency, the board 81318
of trustees of the district, by two-thirds vote of all members, 81319
may authorize the president or other duly authorized officer to 81320
enter into a contract for work to be done or for the purchase of 81321
supplies or materials without formal bidding or advertising. All 81322
contracts shall have attached the certificate required by section 81323
5705.41 of the Revised Code duly executed by the secretary of the 81324
board of trustees of the district. The district may make 81325
improvements by force account or direct labor, provided that, if 81326
the estimated cost of supplies or material for any such81327
improvement exceeds fifteentwenty-five thousand dollars, bids 81328
shall be received as provided in this section. For the purposes of 81329
the competitive bidding requirements of this section, the board 81330
shall not sever a contract for supplies or materials and labor 81331
into separate contracts for labor, supplies, or materials if the81332
contracts are in fact a part of a single contract required to be 81333
bid competitively under this section.81334

       Sec. 6301.05.  The chief elected official of a municipal81335
corporation that is the type of local area defined in division81336
(A)(1) of section 6301.01 of the Revised Code or is in the type of 81337
local area defined in division (A)(3) of that section shall enter 81338
into a written partnershipgrant agreement with the director of 81339
job and family services in accordance with section 5101.21381340
5101.20 of the Revised Code.81341

       The board of county commissioners of a county that is the 81342
type of local area defined in division (A)(2) of section 6301.01 81343
of the Revised Code or is in the type of local area defined in 81344
division (A)(3) of that section shall enter into a written 81345
partnership agreement with the director of job and family services 81346
in accordance with section 5101.21 of the Revised Code.81347

       A grant agreement entered into pursuant to this section shall 81348
include the responsibility of municipal corporations and the board 81349
of county commissioners to be accountable to the department of job 81350
and family services for the use of funds provided through the 81351
"Workforce Investment Act of 1998," 112 Stat. 936, 29 U.S.C. 2801, 81352
as amended, including regulations issued by the United States 81353
department of labor pursuant to that act.81354

       Sec. 6301.07.  (A) Every workforce policy board, with the81355
agreement of the chief elected officials of the local area, and81356
after holding public hearings that allow public comment and81357
testimony, shall prepare a workforce development plan and81358
incorporate that plan into and attach that plan to the partnership81359
agreement required under section 6301.05 of the Revised Code. The81360
plan shall accomplish all of the following:81361

       (1) Identify the workforce investment needs of businesses in81362
the local area, identify projected employment opportunities, and81363
identify the job skills necessary to obtain those opportunities;81364

       (2) Identify the local area's workforce development needs for81365
youth, dislocated workers, adults, displaced homemakers, incumbent81366
workers, and any other group of workers identified by the 81367
workforce policy board;81368

       (3) Determine the distribution of workforce development81369
resources and funding to be distributed for each workforce81370
development activity to meet the identified needs, utilizing the81371
funds allocated pursuant to the "Workforce Investment Act of81372
1998," 112 Stat. 936, 29 U.S.C.A. 2801, as amended;81373

       (4) Give priority to youth receiving independent living81374
services pursuant to sections 2151.81 to 2151.84 of the Revised81375
Code when determining distribution of workforce development81376
resources and workforce development activity funding;81377

       (5) Review the minimum curriculum required by the state81378
workforce policy board for certifying training providers and81379
identify any additional curriculum requirements to include in81380
contracts between the training providers and the chief elected81381
officials of the local area;81382

       (6) Establish performance standards for service providers81383
that reflect local workforce development needs;81384

       (7) Describe any other information the chief elected81385
officials of the local area require.81386

       (B) A workforce policy board may provide policy guidance and81387
recommendations to the chief elected officials of a local area for81388
any workforce development activities.81389

       (C) Nothing in this section prohibits the chief elected81390
officials of a local area from assigning, through a partnership81391
agreement, any duties in addition to the duties under this section81392
to a workforce policy board, except that a workforce policy board81393
cannot contract with itself for the direct provision of services81394
in its local area. A workforce policy board may consult with the81395
chief elected officials of its local area and make recommendations81396
regarding the workforce development activities provided in its81397
local area at any time.81398

       Section 2. That existing sections 9.01, 9.83, 101.34, 101.72, 81399
101.82, 102.02, 109.32, 109.57, 109.572, 117.101, 117.16, 117.44, 81400
117.45, 121.04, 121.08, 121.084, 121.41, 121.48, 121.62, 122.011, 81401
122.04, 122.08, 122.17, 122.171, 122.25, 122.651, 122.658, 122.87, 81402
122.88, 123.01, 124.03, 124.15, 124.152, 124.181, 125.05, 125.06, 81403
125.07, 125.15, 125.91, 125.92, 125.93, 125.95, 125.96, 125.98, 81404
127.16, 131.02, 131.23, 131.35, 145.38, 147.01, 147.37, 149.011, 81405
149.30, 149.31, 149.33, 149.331, 149.332, 149.333, 149.34, 149.35, 81406
153.65, 164.14, 164.27, 165.09, 166.16, 173.06, 173.061, 173.062, 81407
173.07, 173.071, 173.14, 173.26, 175.03, 175.21, 175.22, 183.02, 81408
306.35, 306.99, 307.86, 307.87, 307.93, 307.98, 307.981, 307.987, 81409
311.17, 317.32, 321.24, 323.01, 323.13, 325.31, 329.03, 329.04, 81410
329.05, 329.051, 329.06, 340.021, 340.03, 341.05, 341.25, 504.03, 81411
504.04, 505.376, 507.09, 511.12, 515.01, 515.07, 521.05, 715.013, 81412
718.01, 718.02, 718.05, 718.11, 718.14, 718.15, 718.151, 731.14, 81413
731.141, 735.05, 737.03, 753.22, 901.17, 901.21, 901.22, 901.63, 81414
902.11, 921.151, 927.53, 927.69, 929.01, 955.51, 1309.109, 81415
1317.07, 1321.21, 1333.99, 1337.11, 1346.02, 1501.04, 1503.05, 81416
1513.05, 1515.08, 1519.05, 1521.06, 1521.063, 1531.26, 1533.08, 81417
1533.10, 1533.101, 1533.11, 1533.111, 1533.112, 1533.12, 1533.13, 81418
1533.151, 1533.19, 1533.23, 1533.301, 1533.32, 1533.35, 1533.40, 81419
1533.54, 1533.631, 1533.632, 1533.71, 1533.82, 1541.10, 1548.06, 81420
1551.11, 1551.12, 1551.15, 1551.311, 1551.32, 1551.33, 1551.35, 81421
1555.02, 1555.03, 1555.04, 1555.05, 1555.06, 1555.08, 1555.17, 81422
1563.42, 1702.59, 1711.13, 1711.15, 1711.17, 1751.05, 1751.11, 81423
1751.12, 1751.13, 1751.16, 1751.60, 2101.16, 2117.06, 2117.25, 81424
2133.01, 2151.352, 2151.3529, 2151.3530, 2151.83, 2151.84, 81425
2152.19, 2301.02, 2301.03, 2301.58, 2305.234, 2329.07, 2329.66, 81426
2335.39, 2505.13, 2715.041, 2715.045, 2716.13, 2743.02, 2743.191, 81427
2743.51, 2743.60, 2743.65, 2915.01, 2915.02, 2915.08, 2915.081, 81428
2915.082, 2915.09, 2915.091, 2915.092, 2915.093, 2915.095, 81429
2915.10, 2915.101, 2915.13, 2917.41, 2921.13, 2923.35, 2925.44, 81430
2929.38, 2933.43, 2935.36, 2949.091, 3111.04, 3119.01, 3121.01, 81431
3123.952, 3125.12, 3301.0710, 3301.0711, 3301.0714, 3301.33, 81432
3301.52, 3301.53, 3301.54, 3301.55, 3301.57, 3301.58, 3301.68, 81433
3301.80, 3307.01, 3307.35, 3309.341, 3311.05, 3311.24, 3311.26, 81434
3313.843, 3313.975, 3313.976, 3313.978, 3313.977, 3313.979, 81435
3313.981, 3314.02, 3314.03, 3314.041, 3314.07, 3314.08, 3314.17, 81436
3316.031, 3316.08, 3317.012, 3317.013, 3317.014, 3317.02, 81437
3317.022, 3317.023, 3317.024, 3317.029, 3317.0217, 3317.03, 81438
3317.032, 3317.05, 3317.064, 3317.07, 3317.09, 3317.10, 3317.16, 81439
3318.01, 3318.03, 3318.042, 3318.05, 3318.06, 3318.08, 3318.30, 81440
3318.31, 3318.37, 3318.41, 3319.01, 3319.02, 3319.03, 3319.07, 81441
3319.19, 3319.22, 3319.33, 3319.36, 3319.55, 3323.16, 3327.01, 81442
3327.011, 3329.06, 3329.08, 3332.04, 3333.12, 3353.11, 3361.01, 81443
3375.41, 3377.01, 3377.06, 3383.01, 3383.07, 3501.18, 3501.30, 81444
3503.10, 3505.01, 3505.061, 3505.08, 3505.10, 3517.092, 3701.021, 81445
3701.022, 3701.024, 3701.141, 3701.145, 3701.741, 3701.83, 81446
3701.881, 3701.99, 3702.31, 3702.529, 3702.53, 3702.532, 3702.54, 81447
3702.544, 3702.55, 3702.60, 3702.61, 3702.68, 3702.74, 3705.01, 81448
3705.23, 3705.24, 3709.09, 3710.05, 3710.07, 3711.021, 3717.42, 81449
3721.02, 3721.121, 3722.151, 3733.43, 3733.45, 3734.02, 3734.05, 81450
3734.12, 3734.123, 3734.124, 3734.18, 3734.28, 3734.42, 3734.44, 81451
3734.46, 3734.57, 3735.27, 3735.66, 3735.67, 3735.671, 3737.81, 81452
3745.04, 3745.11, 3745.14, 3745.40, 3746.13, 3748.07, 3748.13, 81453
3769.087, 3770.07, 3770.10, 3770.12, 3770.99, 3773.33, 3773.43, 81454
3901.491, 3901.501, 3901.72, 4104.01, 4104.02, 4104.04, 4104.06, 81455
4104.07, 4104.08, 4104.15, 4104.18, 4104.19, 4104.20, 4104.41, 81456
4104.44, 4104.45, 4104.46, 4105.17, 4112.15, 4115.10, 4117.02, 81457
4117.14, 4123.27, 4123.41, 4141.04, 4141.09, 4141.23, 4301.03, 81458
4301.19, 4301.30, 4301.361, 4301.364, 4301.43, 4303.02, 4303.021, 81459
4303.03, 4303.04, 4303.05, 4303.06, 4303.07, 4303.08, 4303.09, 81460
4303.10, 4303.11, 4303.12, 4303.121, 4303.13, 4303.14, 4303.141, 81461
4303.15, 4303.151, 4303.16, 4303.17, 4303.171, 4303.18, 4303.181, 81462
4303.182, 4303.183, 4303.184, 4303.19, 4303.20, 4303.201, 81463
4303.202, 4303.203, 4303.204, 4303.21, 4303.22, 4303.23, 4303.231, 81464
4501.06, 4503.06, 4503.101, 4503.103, 4505.06, 4506.14, 4506.15, 81465
4506.16, 4506.20, 4506.24, 4508.08, 4509.60, 4511.33, 4511.62, 81466
4511.63, 4519.55, 4561.18, 4561.21, 4707.071, 4707.072, 4707.10, 81467
4709.12, 4717.07, 4717.09, 4719.01, 4723.01, 4723.06, 4723.07, 81468
4723.08, 4723.082, 4723.17, 4723.271, 4723.34, 4723.35, 4723.431, 81469
4723.63, 4729.01, 4729.41, 4731.27, 4731.65, 4731.71, 4734.15, 81470
4736.12, 4743.05, 4747.05, 4747.06, 4747.07, 4747.10, 4751.06, 81471
4751.07, 4759.08, 4771.22, 4779.08, 4779.17, 4779.18, 4903.24, 81472
4905.79, 4905.91, 4919.79, 4931.45, 4931.47, 4931.48, 4973.17, 81473
4981.20, 5101.11, 5101.14, 5101.141, 5101.142, 5101.144, 5101.145, 81474
5101.146, 5101.16, 5101.162, 5101.18, 5101.181, 5101.21, 5101.211, 81475
5101.212, 5101.22, 5101.24, 5101.26, 5101.27, 5101.28, 5101.35, 81476
5101.36, 5101.46, 5101.58, 5101.59, 5101.75, 5101.80, 5101.83, 81477
5101.97, 5103.031, 5103.033, 5103.034, 5103.036, 5103.037, 81478
5103.038, 5103.0312, 5103.0313, 5103.0314, 5103.0315, 5103.0316, 81479
5103.154, 5104.01, 5104.011, 5104.02, 5104.04, 5104.30, 5104.32, 81480
5107.02, 5107.30, 5107.37, 5107.40, 5107.60, 5108.01, 5108.03, 81481
5108.06, 5108.07, 5108.09, 5108.10, 5111.016, 5111.0112, 5111.02, 81482
5111.021, 5111.022, 5111.03, 5111.06, 5111.082, 5111.111, 5111.17, 81483
5111.171, 5111.20, 5111.21, 5111.22, 5111.251, 5111.252, 5111.34, 81484
5111.85, 5111.87, 5111.871, 5111.872, 5111.873, 5111.92, 5111.94, 81485
5112.03, 5112.08, 5112.17, 5112.31, 5112.99, 5115.01, 5115.02, 81486
5115.03, 5115.04, 5115.05, 5115.07, 5115.10, 5115.11, 5115.13, 81487
5115.15, 5115.20, 5119.61, 5119.611, 5123.01, 5123.051, 5123.19, 81488
5123.60, 5123.801, 5126.01, 5126.042, 5126.11, 5126.12, 5126.121, 81489
5126.15, 5126.18, 5126.44, 5139.04, 5139.33, 5139.34, 5139.36, 81490
5139.41, 5139.43, 5139.87, 5153.122, 5153.16, 5153.163, 5153.60, 81491
5153.69, 5153.72, 5153.78, 5310.15, 5502.01, 5502.13, 5513.01, 81492
5515.07, 5549.21, 5703.052, 5705.39, 5705.41, 5709.20, 5709.21, 81493
5709.22, 5709.25, 5709.26, 5709.27, 5709.61, 5709.62, 5709.63, 81494
5709.632, 5709.64, 5711.02, 5711.13, 5711.22, 5711.27, 5711.33, 81495
5713.07, 5713.08, 5713.081, 5713.082, 5713.30, 5715.27, 5715.39, 81496
5717.03, 5719.07, 5725.19, 5727.111, 5727.30, 5727.32, 5727.33, 81497
5727.56, 5727.84, 5727.85, 5727.86, 5728.04, 5728.06, 5728.99, 81498
5729.08, 5733.04, 5733.05, 5733.051, 5733.056, 5733.057, 5733.059, 81499
5733.06, 5733.0611, 5733.09, 5733.121, 5733.18, 5733.22, 5733.45, 81500
5733.49, 5733.98, 5735.05, 5735.14, 5735.142, 5735.15, 5735.19, 81501
5735.23, 5735.26, 5735.291, 5735.30, 5735.99, 5739.01, 5739.011, 81502
5739.02, 5739.021, 5739.022, 5739.023, 5739.025, 5739.026, 81503
5739.03, 5739.032, 5739.033, 5739.09, 5739.10, 5739.12, 5739.121, 81504
5739.122, 5739.17, 5739.21, 5739.33, 5741.01, 5741.02, 5741.021, 81505
5741.022, 5741.023, 5741.121, 5743.05, 5743.21, 5743.45, 5745.01, 81506
5745.02, 5745.04, 5747.01, 5747.02, 5747.12, 5747.31, 5747.80, 81507
5901.021, 6101.09, 6109.21, 6111.06, 6115.09, 6117.02, 6119.10, 81508
6301.05, and 6301.07, and sections        Sec. 122.12. ,        Sec. 125.831. ,        Sec. 125.931. , 81509
       Sec. 125.932. ,        Sec. 125.933. ,        Sec. 125.934. ,        Sec. 125.935. ,        Sec. 131.38. ,        Sec. 173.45. ,        Sec. 173.46. , 81510
       Sec. 173.47. ,        Sec. 173.48. ,        Sec. 173.49. ,        Sec. 173.50. ,        Sec. 173.51. ,        Sec. 173.52. ,        Sec. 173.53. ,        Sec. 173.54. , 81511
       Sec. 173.55. ,        Sec. 173.56. ,        Sec. 173.57. ,        Sec. 173.58. ,        Sec. 173.59. ,        Sec. 319.311. ,        Sec. 504.21. ,        Sec. 718.03. , 81512
       Sec. 1333.96. ,        Sec. 1533.06. ,        Sec. 1533.39. ,        Sec. 1553.01. ,        Sec. 1553.02. ,        Sec. 1553.03. ,        Sec. 1553.04. , 81513
       Sec. 1553.05. ,        Sec. 1553.06. ,        Sec. 1553.07. ,        Sec. 1553.08. ,        Sec. 1553.09. ,        Sec. 1553.10. ,        Sec. 1553.99. , 81514
       Sec. 2305.26. ,        Sec. 3301.078. ,        Sec. 3301.0719. ,        Sec. 3301.0724. ,        Sec. 3301.31. ,        Sec. 3301.581. , 81515
       Sec. 3313.82. ,        Sec. 3313.83. ,        Sec. 3313.94. ,        Sec. 3317.11. ,        Sec. 3318.033. ,        Sec. 3318.052. ,        Sec. 3318.35. , 81516
       Sec. 3319.06. ,        Sec. 3319.34. ,        Sec. 3701.142. ,        Sec. 3701.144. ,        Sec. 3702.543. ,        Sec. 3702.581. ,        Sec. 4104.42. , 81517
       Sec. 4104.43. ,        Sec. 4141.044. ,        Sec. 4141.045. ,        Sec. 5101.213. ,        Sec. 5101.251. ,        Sec. 5108.05. , 81518
       Sec. 5111.017. ,        Sec. 5111.173. ,        Sec. 5115.011. ,        Sec. 5115.012. ,        Sec. 5115.06. ,        Sec. 5115.061. , 81519
       Sec. 5139.42. ,        Sec. 5139.45. ,        Sec. 5709.211. ,        Sec. 5709.23. ,        Sec. 5709.231. ,        Sec. 5709.24. ,        Sec. 5709.30. , 81520
       Sec. 5709.31. ,        Sec. 5709.32. ,        Sec. 5709.33. ,        Sec. 5709.34. ,        Sec. 5709.35. ,        Sec. 5709.36. ,        Sec. 5709.37. , 81521
       Sec. 5709.45. ,        Sec. 5709.46. ,        Sec. 5709.47. ,        Sec. 5709.48. ,        Sec. 5709.49. ,        Sec. 5709.50. ,        Sec. 5709.51. , 81522
       Sec. 5709.52. ,        Sec. 5727.39. ,        Sec. 5727.44. ,        Sec. 5733.111. ,        Sec. 5739.012. ,        Sec. 5739.034. ,        Sec. 5741.011. , 81523
       Sec. 5747.131. ,        Sec. 6111.31. ,        Sec. 6111.311. ,        Sec. 6111.32. ,        Sec. 6111.34. ,        Sec. 6111.35. ,        Sec. 6111.36. , 81524
       Sec. 6111.37. ,        Sec. 6111.38. , and        Sec. 6111.39.  of the Revised Code are hereby 81525
repealed.81526

       Section 3.01. That the version of section 921.22 of the 81527
Revised Code that is scheduled to take effect July 1, 2004, be 81528
amended to read as follows:81529

       Sec. 921.22.  The pesticide program fund is hereby created in81530
the state treasury. AllThe portion of the money in the fund that 81531
is collected under this chapter shall be used to carry out the 81532
purposes of this chapter. The portion of the money in the fund 81533
that is collected under section 927.53 of the Revised Code shall 81534
be used to carry out the purposes specified in that section, the 81535
portion of the money in the fund that is collected under section 81536
927.69 of the Revised Code shall be used to carry out the purposes 81537
specified in that section, and the portion of the money in the 81538
fund that is collected under section 927.701 of the Revised Code 81539
shall be used to carry out the purposes of that section. The fund 81540
shall consist of fees collected under sections 921.01 to 921.15, 81541
division (F) of section 927.53, and section 927.69 of the Revised 81542
Code, money collected under section 927.701 of the Revised Code,81543
and all fines, penalties, costs, and damages, except court costs, 81544
that are collected by either the director of agriculture or the81545
attorney general in consequence of any violation of this chapter.81546

       Section 3.02. That the existing version of section 921.22 of 81547
the Revised Code that is scheduled to take effect July 1, 2004, is 81548
hereby repealed.81549

       Section 3.03. Sections 3.01 and 3.02 of this act take effect 81550
July 1, 2004.81551

       Section 3.04. That the version of section 3332.04 of the 81552
Revised Code that is scheduled to take effect on July 1, 2003, be 81553
amended to read as follows:81554

       Sec. 3332.04.  The state board of career colleges and schools81555
may appoint an executive director and such other staff as may be81556
required for the performance of the board's duties and provide81557
necessary facilities. In selecting an executive director, the81558
board shall appoint an individual with a background or experience81559
in the regulation of commerce, business, or education. The board81560
may also arrange for services and facilities to be provided by the81561
state board of education and the Ohio board of regents. All81562
receipts of the board shall be deposited in the career colleges81563
and schools operating fund, which is hereby created in the state81564
treasury. Moneys in the fund shall be used solely for the 81565
administration and enforcement of Chapter 3332. of the Revised 81566
Code. All investment earnings on the fund shall be credited to the81567
to the credit of the occupational licensing and regulatory fund.81568

       Section 3.05. That the version of section 3332.04 of the 81569
Revised Code that is scheduled to take effect on July 1, 2003, is 81570
hereby repealed.81571

       Section 3.06. Sections 3.04 and 3.05 of this act take effect 81572
July 1, 2003.81573

       Section 3.07. That the version of section 2305.234 of the 81574
Revised Code that is scheduled to take effect January 1, 2004, be 81575
amended to read as follows:81576

       Sec. 2305.234.  (A) As used in this section:81577

       (1) "Chiropractic claim," "medical claim," and "optometric81578
claim" have the same meanings as in section 2305.113 of the 81579
Revised Code.81580

       (2) "Dental claim" has the same meaning as in section 81581
2305.113 of the Revised Code, except that it does not include any81582
claim arising out of a dental operation or any derivative claim81583
for relief that arises out of a dental operation.81584

       (3) "Governmental health care program" has the same meaning81585
as in section 4731.65 of the Revised Code.81586

       (4) "Health care professional" means any of the following who81587
provide medical, dental, or other health-related diagnosis, care,81588
or treatment:81589

       (a) Physicians authorized under Chapter 4731. of the Revised81590
Code to practice medicine and surgery or osteopathic medicine and81591
surgery;81592

       (b) Registered nurses, advanced practice nurses, and licensed 81593
practical nurses licensed under Chapter 4723. of the Revised Code;81594

       (c) Physician assistants authorized to practice under Chapter 81595
4730. of the Revised Code;81596

       (d) Dentists and dental hygienists licensed under Chapter81597
4715. of the Revised Code;81598

       (e) Physical therapists licensed under Chapter 4755. of the81599
Revised Code;81600

       (f) Chiropractors licensed under Chapter 4734. of the Revised 81601
Code;81602

       (g) Optometrists licensed under Chapter 4725. of the Revised81603
Code;81604

       (h) Podiatrists authorized under Chapter 4731. of the Revised 81605
Code to practice podiatry;81606

       (i) Dietitians licensed under Chapter 4759. of the Revised81607
Code;81608

       (j) Pharmacists licensed under Chapter 4729. of the Revised81609
Code;81610

       (k) Emergency medical technicians-basic, emergency medical81611
technicians-intermediate, and emergency medical81612
technicians-paramedic, certified under Chapter 4765. of the81613
Revised Code.81614

       (5) "Health care worker" means a person other than a health81615
care professional who provides medical, dental, or other81616
health-related care or treatment under the direction of a health81617
care professional with the authority to direct that individual's81618
activities, including medical technicians, medical assistants,81619
dental assistants, orderlies, aides, and individuals acting in81620
similar capacities.81621

       (6) "Indigent and uninsured person" means a person who meets81622
all of the following requirements:81623

       (a) The person's income is not greater than one hundred fifty 81624
per cent of the current poverty line as defined by the United 81625
States office of management and budget and revised in accordance 81626
with section 673(2) of the "Omnibus Budget Reconciliation Act of 81627
1981," 95 Stat. 511, 42 U.S.C. 9902, as amended.81628

       (b) The person is not eligible to receive medical assistance81629
under Chapter 5111., disability assistance medical assistance81630
under Chapter 5115. of the Revised Code, or assistance under any81631
other governmental health care program.81632

       (c) Either of the following applies:81633

       (i) The person is not a policyholder, certificate holder,81634
insured, contract holder, subscriber, enrollee, member,81635
beneficiary, or other covered individual under a health insurance81636
or health care policy, contract, or plan.81637

       (ii) The person is a policyholder, certificate holder,81638
insured, contract holder, subscriber, enrollee, member,81639
beneficiary, or other covered individual under a health insurance81640
or health care policy, contract, or plan, but the insurer, policy,81641
contract, or plan denies coverage or is the subject of insolvency81642
or bankruptcy proceedings in any jurisdiction.81643

       (7) "Operation" means any procedure that involves cutting or81644
otherwise infiltrating human tissue by mechanical means, including81645
surgery, laser surgery, ionizing radiation, therapeutic81646
ultrasound, or the removal of intraocular foreign bodies.81647
"Operation" does not include the administration of medication by81648
injection, unless the injection is administered in conjunction81649
with a procedure infiltrating human tissue by mechanical means81650
other than the administration of medicine by injection.81651

       (8) "Nonprofit shelter or health care facility" means a81652
charitable nonprofit corporation organized and operated pursuant81653
to Chapter 1702. of the Revised Code, or any charitable81654
organization not organized and not operated for profit, that81655
provides shelter, health care services, or shelter and health care81656
services to indigent and uninsured persons, except that "shelter81657
or health care facility" does not include a hospital as defined in81658
section 3727.01 of the Revised Code, a facility licensed under81659
Chapter 3721. of the Revised Code, or a medical facility that is81660
operated for profit.81661

       (9) "Tort action" means a civil action for damages for81662
injury, death, or loss to person or property other than a civil81663
action for damages for a breach of contract or another agreement81664
between persons or government entities.81665

       (10) "Volunteer" means an individual who provides any81666
medical, dental, or other health-care related diagnosis, care, or81667
treatment without the expectation of receiving and without receipt81668
of any compensation or other form of remuneration from an indigent81669
and uninsured person, another person on behalf of an indigent and81670
uninsured person, any shelter or health care facility, or any81671
other person or government entity.81672

       (11) "Community control sanction" has the same meaning as in 81673
section 2929.01 of the Revised Code.81674

       (B)(1) Subject to divisions (E) and (F)(3) of this section, a 81675
health care professional who is a volunteer and complies with81676
division (B)(2) of this section is not liable in damages to any81677
person or government entity in a tort or other civil action,81678
including an action on a medical, dental, chiropractic,81679
optometric, or other health-related claim, for injury, death, or81680
loss to person or property that allegedly arises from an action or81681
omission of the volunteer in the provision at a nonprofit shelter81682
or health care facility to an indigent and uninsured person of81683
medical, dental, or other health-related diagnosis, care, or81684
treatment, including the provision of samples of medicine and81685
other medical products, unless the action or omission constitutes81686
willful or wanton misconduct.81687

       (2) To qualify for the immunity described in division (B)(1)81688
of this section, a health care professional shall do all of the81689
following prior to providing diagnosis, care, or treatment:81690

       (a) Determine, in good faith, that the indigent and uninsured81691
person is mentally capable of giving informed consent to the 81692
provision of the diagnosis, care, or treatment and is not subject 81693
to duress or under undue influence;81694

       (b) Inform the person of the provisions of this section;81695

       (c) Obtain the informed consent of the person and a written81696
waiver, signed by the person or by another individual on behalf of81697
and in the presence of the person, that states that the person is81698
mentally competent to give informed consent and, without being81699
subject to duress or under undue influence, gives informed consent81700
to the provision of the diagnosis, care, or treatment subject to81701
the provisions of this section.81702

       (3) A physician or podiatrist who is not covered by medical81703
malpractice insurance, but complies with division (B)(2) of this81704
section, is not required to comply with division (A) of section81705
4731.143 of the Revised Code.81706

       (C) Subject to divisions (E) and (F)(3) of this section,81707
health care workers who are volunteers are not liable in damages81708
to any person or government entity in a tort or other civil81709
action, including an action upon a medical, dental, chiropractic,81710
optometric, or other health-related claim, for injury, death, or81711
loss to person or property that allegedly arises from an action or81712
omission of the health care worker in the provision at a nonprofit81713
shelter or health care facility to an indigent and uninsured81714
person of medical, dental, or other health-related diagnosis,81715
care, or treatment, unless the action or omission constitutes81716
willful or wanton misconduct.81717

       (D) Subject to divisions (E) and (F)(3) of this section and81718
section 3701.071 of the Revised Code, a nonprofit shelter or81719
health care facility associated with a health care professional81720
described in division (B)(1) of this section or a health care81721
worker described in division (C) of this section is not liable in81722
damages to any person or government entity in a tort or other81723
civil action, including an action on a medical, dental,81724
chiropractic, optometric, or other health-related claim, for81725
injury, death, or loss to person or property that allegedly arises81726
from an action or omission of the health care professional or81727
worker in providing for the shelter or facility medical, dental,81728
or other health-related diagnosis, care, or treatment to an81729
indigent and uninsured person, unless the action or omission81730
constitutes willful or wanton misconduct.81731

       (E)(1) Except as provided in division (E)(2) of this section, 81732
the immunities provided by divisions (B), (C), and (D) of this 81733
section are not available to an individual or to a nonprofit81734
shelter or health care facility if, at the time of an alleged81735
injury, death, or loss to person or property, the individuals81736
involved are providing one of the following:81737

       (a) Any medical, dental, or other health-related diagnosis,81738
care, or treatment pursuant to a community service work order81739
entered by a court under division (B) of section 2951.02 of the81740
Revised Code or imposed by a court as a community control81741
sanction;81742

       (b) Performance of an operation;81743

       (c) Delivery of a baby.81744

       (2) Division (E)(1) of this section does not apply to an81745
individual who provides, or a nonprofit shelter or health care81746
facility at which the individual provides, diagnosis, care, or81747
treatment that is necessary to preserve the life of a person in a81748
medical emergency.81749

       (F)(1) This section does not create a new cause of action or81750
substantive legal right against a health care professional, health81751
care worker, or nonprofit shelter or health care facility.81752

       (2) This section does not affect any immunities from civil81753
liability or defenses established by another section of the81754
Revised Code or available at common law to which an individual or81755
a nonprofit shelter or health care facility may be entitled in81756
connection with the provision of emergency or other diagnosis,81757
care, or treatment.81758

       (3) This section does not grant an immunity from tort or81759
other civil liability to an individual or a nonprofit shelter or81760
health care facility for actions that are outside the scope of81761
authority of health care professionals or health care workers.81762

       (4) This section does not affect any legal responsibility of81763
a health care professional or health care worker to comply with81764
any applicable law of this state or rule of an agency of this81765
state.81766

       (5) This section does not affect any legal responsibility of81767
a nonprofit shelter or health care facility to comply with any81768
applicable law of this state, rule of an agency of this state, or81769
local code, ordinance, or regulation that pertains to or regulates81770
building, housing, air pollution, water pollution, sanitation,81771
health, fire, zoning, or safety.81772

       Section 3.08. That the existing version of section 2305.234 81773
of the Revised Code that is scheduled to take effect January 1, 81774
2004, is hereby repealed.81775

       Section 3.09. Sections 3.07 and 3.08 of this act take effect 81776
January 1, 2004.81777

       Section 3.10. That the version of section 3734.44 of the 81778
Revised Code that is scheduled to take effect January 1, 2004, be 81779
amended to read as follows:81780

       Sec. 3734.44.  Notwithstanding the provisions of any law to81781
the contrary, no permit or license shall be issued or renewed by81782
the director of environmental protection, the hazardous waste81783
facility board, or a board of health:81784

       (A) Unless the director, the hazardous waste facility board,81785
or the board of health finds that the applicant, in any prior81786
performance record in the transportation, transfer, treatment,81787
storage, or disposal of solid wastes, infectious wastes, or81788
hazardous waste, has exhibited sufficient reliability, expertise,81789
and competency to operate the solid waste, infectious waste, or81790
hazardous waste facility, given the potential for harm to human81791
health and the environment that could result from the81792
irresponsible operation of the facility, or, if no prior record81793
exists, that the applicant is likely to exhibit that reliability,81794
expertise, and competence;81795

       (B) If any individual or business concern required to be81796
listed in the disclosure statement or shown to have a beneficial81797
interest in the business of the applicant or the permittee, other81798
than an equity interest or debt liability, by the investigation81799
thereof, has been convicted of any of the following crimes under81800
the laws of this state or equivalent laws of any other81801
jurisdiction:81802

       (1) Murder;81803

       (2) Kidnapping;81804

       (3) Gambling;81805

       (4) Robbery;81806

       (5) Bribery;81807

       (6) Extortion;81808

       (7) Criminal usury;81809

       (8) Arson;81810

       (9) Burglary;81811

       (10) Theft and related crimes;81812

       (11) Forgery and fraudulent practices;81813

       (12) Fraud in the offering, sale, or purchase of securities;81814

       (13) Alteration of motor vehicle identification numbers;81815

       (14) Unlawful manufacture, purchase, use, or transfer of81816
firearms;81817

       (15) Unlawful possession or use of destructive devices or81818
explosives;81819

       (16) A violation of section 2925.03, 2925.04, 2925.05,81820
2925.06, 2925.11, 2925.32, or 2925.37 or Chapter 3719. of the81821
Revised Code, unless the violation is for possession of less than81822
one hundred grams of marihuana, less than five grams of marihuana81823
resin or extraction or preparation of marihuana resin, or less81824
than one gram of marihuana resin in a liquid concentrate, liquid81825
extract, or liquid distillate form;81826

       (17) Engaging in a pattern of corrupt activity under section81827
2923.32 of the Revised Code;81828

       (18) A violation of the criminal provisions of Chapter 1331. 81829
of the Revised Code;81830

       (19) Any violation of the criminal provisions of any federal81831
or state environmental protection laws, rules, or regulations that81832
is committed knowingly or recklessly, as defined in section81833
2901.22 of the Revised Code;81834

       (20) A violation of any provision of Chapter 2909. of the 81835
Revised Code;81836

       (21) Any offense specified in Chapter 2921. of the Revised81837
Code.81838

       (C) Notwithstanding division (B) of this section, no81839
applicant shall be denied the issuance or renewal of a permit or81840
license on the basis of a conviction of any individual or business81841
concern required to be listed in the disclosure statement or shown81842
to have a beneficial interest in the business of the applicant or81843
the permittee, other than an equity interest or debt liability, by81844
the investigation thereof for any of the offenses enumerated in81845
that division as disqualification criteria if that applicant has81846
affirmatively demonstrated rehabilitation of the individual or81847
business concern by a preponderance of the evidence. If any such81848
individual was convicted of any of the offenses so enumerated that81849
are felonies, a permit shall be denied unless five years have81850
elapsed since the individual was fully discharged from81851
imprisonment and parole for the offense, from a community control81852
sanction imposed under section 2929.15 of the Revised Code, from a81853
post-release control sanction imposed under section 2967.28 of the81854
Revised Code for the offense, or imprisonment, probation, and81855
parole for an offense that was committed prior to July 1, 1996. In81856
determining whether an applicant has affirmatively demonstrated81857
rehabilitation, the director, the hazardous waste facility board,81858
or the board of health shall request a recommendation on the81859
matter from the attorney general and shall consider and base the81860
determination on the following factors:81861

       (1) The nature and responsibilities of the position a81862
convicted individual would hold;81863

       (2) The nature and seriousness of the offense;81864

       (3) The circumstances under which the offense occurred;81865

       (4) The date of the offense;81866

       (5) The age of the individual when the offense was committed;81867

       (6) Whether the offense was an isolated or repeated incident;81868

       (7) Any social conditions that may have contributed to the81869
offense;81870

       (8) Any evidence of rehabilitation, including good conduct in 81871
prison or in the community, counseling or psychiatric treatment81872
received, acquisition of additional academic or vocational81873
schooling, successful participation in correctional work release81874
programs, or the recommendation of persons who have or have had81875
the applicant under their supervision;81876

       (9) In the instance of an applicant that is a business81877
concern, rehabilitation shall be established if the applicant has81878
implemented formal management controls to minimize and prevent the81879
occurrence of violations and activities that will or may result in81880
permit or license denial or revocation or if the applicant has81881
formalized those controls as a result of a revocation or denial of81882
a permit or license. Those controls may include, but are not81883
limited to, instituting environmental auditing programs to help81884
ensure the adequacy of internal systems to achieve, maintain, and81885
monitor compliance with applicable environmental laws and81886
standards or instituting an antitrust compliance auditing program81887
to help ensure full compliance with applicable antitrust laws. The81888
business concern shall prove by a preponderance of the evidence81889
that the management controls are effective in preventing the81890
violations that are the subject of concern.81891

       (D) Unless the director, the hazardous waste facility board,81892
or the board of health finds that the applicant has a history of81893
compliance with environmental laws in this state and other81894
jurisdictions and is presently in substantial compliance with, or81895
on a legally enforceable schedule that will result in compliance81896
with, environmental laws in this state and other jurisdictions;81897

       (E) With respect to the approval of a permit, if the director 81898
or the hazardous waste facility board determines that current 81899
prosecutions or pending charges in any jurisdiction for any of the 81900
offenses enumerated in division (B) of this section against any 81901
individual or business concern required to be listed in the 81902
disclosure statement or shown by the investigation to have a 81903
beneficial interest in the business of the applicant other than an 81904
equity interest or debt liability are of such magnitude that they 81905
prevent making the finding required under division (A) of this 81906
section, provided that at the request of the applicant or the81907
individual or business concern charged, the director or the81908
hazardous waste facility board shall defer decision upon the81909
application during the pendency of the charge.81910

       Section 3.11. That the existing version of section 3734.44 of 81911
the Revised Code that is scheduled to take effect on January 1, 81912
2004, is hereby repealed.81913

       Section 3.12. Sections 3.10 and 3.11 of this act take effect 81914
January 1, 2004.81915

       Section 3.13. That the versions of sections 307.93, 2152.19, 81916
2301.02, 2301.03, 2743.191, 2743.51, 2929.38, 4506.14, 4506.15, 81917
4506.16,4506.20, 4511.33, 4511.62, 4511.63, and 4511.75 of the 81918
Revised Code that are scheduled to take effect January 1, 2004, be 81919
amended to read as follows:81920

       Sec. 307.93.  (A) The boards of county commissioners of two81921
or more adjacent counties may contract for the joint establishment81922
of a multicounty correctional center, and the board of county81923
commissioners of a county or the boards of two or more counties81924
may contract with any municipal corporation or municipal81925
corporations located in that county or those counties for the81926
joint establishment of a municipal-county or multicounty-municipal81927
correctional center. The center shall augment county and, where81928
applicable, municipal jail programs and facilities by providing81929
custody and rehabilitative programs for those persons under the81930
charge of the sheriff of any of the contracting counties or of the81931
officer or officers of the contracting municipal corporation or81932
municipal corporations having charge of persons incarcerated in81933
the municipal jail, workhouse, or other correctional facility who,81934
in the opinion of the sentencing court, need programs of custody81935
and rehabilitation not available at the county or municipal jail81936
and by providing custody and rehabilitative programs in accordance81937
with division (C) of this section, if applicable. The contract may 81938
include, but need not be limited to, provisions regarding the81939
acquisition, construction, maintenance, repair, termination of81940
operations, and administration of the center. The contract shall81941
prescribe the manner of funding of, and debt assumption for, the81942
center and the standards and procedures to be followed in the81943
operation of the center. Except as provided in division (H) of81944
this section, the contracting counties and municipal corporations81945
shall form a corrections commission to oversee the administration81946
of the center. Members of the commission shall consist of the81947
sheriff of each participating county, the president of the board81948
of county commissioners of each participating county, the81949
presiding judge of the court of common pleas of each participating81950
county, or, if the court of common pleas of a participating county81951
has only one judge, then that judge, the chief of police of each81952
participating municipal corporation, the mayor or city manager of81953
each participating municipal corporation, and the presiding judge81954
or the sole judge of the municipal court of each participating81955
municipal corporation. Any of the foregoing officers may appoint a 81956
designee to serve in the officer's place on the corrections81957
commission. The standards and procedures shall be formulated and81958
agreed to by the commission and may be amended at any time during81959
the life of the contract by agreement of the parties to the81960
contract upon the advice of the commission. The standards and81961
procedures formulated by the commission shall include, but need81962
not be limited to, designation of the person in charge of the81963
center, the categories of employees to be employed at the center,81964
the appointing authority of the center, and the standards of81965
treatment and security to be maintained at the center. The person81966
in charge of, and all persons employed to work at, the center81967
shall have all the powers of police officers that are necessary81968
for the proper performance of the duties relating to their81969
positions at the center.81970

       (B) Each board of county commissioners that enters a contract 81971
under division (A) of this section may appoint a building81972
commission pursuant to section 153.21 of the Revised Code. If any81973
commissions are appointed, they shall function jointly in the81974
construction of a multicounty or multicounty-municipal81975
correctional center with all the powers and duties authorized by81976
law.81977

       (C) Prior to the acceptance for custody and rehabilitation81978
into a center established under this section of any persons who81979
are designated by the department of rehabilitation and correction,81980
who plead guilty to or are convicted of a felony of the fourth or81981
fifth degree, and who satisfy the other requirements listed in81982
section 5120.161 of the Revised Code, the corrections commission81983
of a center established under this section shall enter into an81984
agreement with the department of rehabilitation and correction81985
under section 5120.161 of the Revised Code for the custody and81986
rehabilitation in the center of persons who are designated by the81987
department, who plead guilty to or are convicted of a felony of81988
the fourth or fifth degree, and who satisfy the other requirements81989
listed in that section, in exchange for a per diem fee per person.81990
Persons incarcerated in the center pursuant to an agreement81991
entered into under this division shall be subject to supervision81992
and control in the manner described in section 5120.161 of the81993
Revised Code. This division does not affect the authority of a81994
court to directly sentence a person who is convicted of or pleads81995
guilty to a felony to the center in accordance with section81996
2929.16 of the Revised Code.81997

       (D) Pursuant to section 2929.37 of the Revised Code, each81998
board of county commissioners and the legislative authority of81999
each municipal corporation that enters into a contract under82000
division (A) of this section may require a person who was82001
convicted of an offense, who is under the charge of the sheriff of82002
their county or of the officer or officers of the contracting82003
municipal corporation or municipal corporations having charge of82004
persons incarcerated in the municipal jail, workhouse, or other82005
correctional facility, and who is confined in the multicounty,82006
municipal-county, or multicounty-municipal correctional center as82007
provided in that division, to reimburse the applicable county or82008
municipal corporation for its expenses incurred by reason of the82009
person's confinement in the center.82010

       (E) Notwithstanding any contrary provision in this section or82011
section 2929.18, 2929.28, or 2929.37 of the Revised Code, the 82012
corrections commission of a center may establish a policy that 82013
complies with section 2929.38 of the Revised Code and that 82014
requires any person who is not indigent and who is confined in the 82015
multicounty, municipal-county, or multicounty-municipal82016
correctional center to pay a reception fee, a fee for medical82017
treatment or service requested by and provided to that person, or82018
the fee for a random drug test assessed under division (E) of82019
section 341.26 of the Revised Code.82020

       (F)(1) The corrections commission of a center established82021
under this section may establish a commissary for the center. The82022
commissary may be established either in-house or by another82023
arrangement. If a commissary is established, all persons82024
incarcerated in the center shall receive commissary privileges. A82025
person's purchases from the commissary shall be deducted from the82026
person's account record in the center's business office. The82027
commissary shall provide for the distribution to indigent persons82028
incarcerated in the center of necessary hygiene articles and82029
writing materials.82030

       (2) If a commissary is established, the corrections82031
commission of a center established under this section shall82032
establish a commissary fund for the center. The management of82033
funds in the commissary fund shall be strictly controlled in82034
accordance with procedures adopted by the auditor of state. 82035
Commissary fund revenue over and above operating costs and reserve82036
shall be considered profits. All profits from the commissary fund82037
shall be used to purchase supplies and equipment for the benefit82038
of persons incarcerated in the center and to pay salary and82039
benefits for employees of the center, or for any other persons,82040
who work in or are employed for the sole purpose of providing82041
service to the commissary. The corrections commission shall adopt 82042
rules and regulations for the operation of any commissary fund it 82043
establishes.82044

       (G) In lieu of forming a corrections commission to administer 82045
a multicounty correctional center or a municipal-county or82046
multicounty-municipal correctional center, the boards of county82047
commissioners and the legislative authorities of the municipal82048
corporations contracting to establish the center may also agree to82049
contract for the private operation and management of the center as82050
provided in section 9.06 of the Revised Code, but only if the82051
center houses only misdemeanant inmates. In order to enter into a82052
contract under section 9.06 of the Revised Code, all the boards82053
and legislative authorities establishing the center shall approve82054
and be parties to the contract.82055

       (H) If a person who is convicted of or pleads guilty to an82056
offense is sentenced to a term in a multicounty correctional82057
center or a municipal-county or multicounty-municipal correctional82058
center or is incarcerated in the center in the manner described in82059
division (C) of this section, or if a person who is arrested for82060
an offense, and who has been denied bail or has had bail set and82061
has not been released on bail is confined in a multicounty82062
correctional center or a municipal-county or multicounty-municipal82063
correctional center pending trial, at the time of reception and at82064
other times the officer, officers, or other person in charge of82065
the operation of the center determines to be appropriate, the82066
officer, officers, or other person in charge of the operation of82067
the center may cause the convicted or accused offender to be82068
examined and tested for tuberculosis, HIV infection, hepatitis,82069
including but not limited to hepatitis A, B, and C, and other82070
contagious diseases. The officer, officers, or other person in82071
charge of the operation of the center may cause a convicted or82072
accused offender in the center who refuses to be tested or treated82073
for tuberculosis, HIV infection, hepatitis, including but not82074
limited to hepatitis A, B, and C, or another contagious disease to82075
be tested and treated involuntarily.82076

       (I) As used in this section, "multicounty-municipal" means82077
more than one county and a municipal corporation, or more than one82078
municipal corporation and a county, or more than one municipal82079
corporation and more than one county.82080

       Sec. 2152.19.  (A) If a child is adjudicated a delinquent82081
child, the court may make any of the following orders of82082
disposition, in addition to any other disposition authorized or82083
required by this chapter:82084

       (1) Any order that is authorized by section 2151.353 of the82085
Revised Code for the care and protection of an abused, neglected,82086
or dependent child;82087

       (2) Commit the child to the temporary custody of any school,82088
camp, institution, or other facility operated for the care of82089
delinquent children by the county, by a district organized under82090
section 2152.41 or 2151.65 of the Revised Code, or by a private82091
agency or organization, within or without the state, that is82092
authorized and qualified to provide the care, treatment, or82093
placement required, including, but not limited to, a school, camp,82094
or facility operated under section 2151.65 of the Revised Code;82095

       (3) Place the child in a detention facility or district82096
detention facility operated under section 2152.41 of the Revised82097
Code, for up to ninety days;82098

       (4) Place the child on community control under any sanctions, 82099
services, and conditions that the court prescribes. As a condition 82100
of community control in every case and in addition to any other82101
condition that it imposes upon the child, the court shall require 82102
the child to abide by the law during the period of community 82103
control. As referred to in this division, community control 82104
includes, but is not limited to, the following sanctions and 82105
conditions:82106

       (a) A period of basic probation supervision in which the82107
child is required to maintain contact with a person appointed to82108
supervise the child in accordance with sanctions imposed by the82109
court;82110

       (b) A period of intensive probation supervision in which the82111
child is required to maintain frequent contact with a person82112
appointed by the court to supervise the child while the child is82113
seeking or maintaining employment and participating in training,82114
education, and treatment programs as the order of disposition;82115

       (c) A period of day reporting in which the child is required82116
each day to report to and leave a center or another approved82117
reporting location at specified times in order to participate in82118
work, education or training, treatment, and other approved82119
programs at the center or outside the center;82120

       (d) A period of community service of up to five hundred hours 82121
for an act that would be a felony or a misdemeanor of the first 82122
degree if committed by an adult, up to two hundred hours for an 82123
act that would be a misdemeanor of the second, third, or fourth82124
degree if committed by an adult, or up to thirty hours for an act82125
that would be a minor misdemeanor if committed by an adult;82126

       (e) A requirement that the child obtain a high school82127
diploma, a certificate of high school equivalence, vocational82128
training, or employment;82129

       (f) A period of drug and alcohol use monitoring;82130

       (g) A requirement of alcohol or drug assessment or82131
counseling, or a period in an alcohol or drug treatment program82132
with a level of security for the child as determined necessary by82133
the court;82134

       (h) A period in which the court orders the child to observe a 82135
curfew that may involve daytime or evening hours;82136

       (i) A requirement that the child serve monitored time;82137

       (j) A period of house arrest with or without electronic82138
monitoring;82139

       (k) A period of electronic monitoring without house arrest or82140
electronically monitored house arrest that does not exceed the82141
maximum sentence of imprisonment that could be imposed upon an82142
adult who commits the same act.82143

       A period of electronically monitored house arrest imposed82144
under this division shall not extend beyond the child's82145
twenty-first birthday. If a court imposes a period of82146
electronically monitored house arrest upon a child under this82147
division, it shall require the child: to wear, otherwise have82148
attached to the child's person, or otherwise be subject to82149
monitoring by a certified electronic monitoring device or to82150
participate in the operation of and monitoring by a certified82151
electronic monitoring system; to remain in the child's home or82152
other specified premises for the entire period of electronically82153
monitored house arrest except when the court permits the child to82154
leave those premises to go to school or to other specified82155
premises; to be monitored by a central system that can determine82156
the child's location at designated times; to report periodically82157
to a person designated by the court; and to enter into a written82158
contract with the court agreeing to comply with all requirements82159
imposed by the court, agreeing to pay any fee imposed by the court82160
for the costs of the electronically monitored house arrest, and82161
agreeing to waive the right to receive credit for any time served82162
on electronically monitored house arrest toward the period of any82163
other dispositional order imposed upon the child if the child82164
violates any of the requirements of the dispositional order of82165
electronically monitored house arrest. The court also may impose82166
other reasonable requirements upon the child.82167

       Unless ordered by the court, a child shall not receive credit82168
for any time served on electronically monitored house arrest82169
toward any other dispositional order imposed upon the child for82170
the act for which was imposed the dispositional order of82171
electronically monitored house arrest.82172

       (l) A suspension of the driver's license, probationary82173
driver's license, or temporary instruction permit issued to the82174
child or a suspension of the registration of all motor vehicles82175
registered in the name of the child. A child whose license or82176
permit is so suspended is ineligible for issuance of a license or82177
permit during the period of suspension. At the end of the period82178
of suspension, the child shall not be reissued a license or permit82179
until the child has paid any applicable reinstatement fee and82180
complied with all requirements governing license reinstatement.82181

       (5) Commit the child to the custody of the court;82182

       (6) Require the child to not be absent without legitimate82183
excuse from the public school the child is supposed to attend for82184
five or more consecutive days, seven or more school days in one82185
school month, or twelve or more school days in a school year;82186

       (7)(a) If a child is adjudicated a delinquent child for being 82187
a chronic truant or an habitual truant who previously has been 82188
adjudicated an unruly child for being a habitual truant, do either 82189
or both of the following:82190

       (i) Require the child to participate in a truancy prevention82191
mediation program;82192

       (ii) Make any order of disposition as authorized by this82193
section, except that the court shall not commit the child to a82194
facility described in division (A)(2) or (3) of this section82195
unless the court determines that the child violated a lawful court82196
order made pursuant to division (C)(1)(e) of section 2151.354 of82197
the Revised Code or division (A)(6) of this section.82198

       (b) If a child is adjudicated a delinquent child for being a82199
chronic truant or a habitual truant who previously has been82200
adjudicated an unruly child for being a habitual truant and the82201
court determines that the parent, guardian, or other person having82202
care of the child has failed to cause the child's attendance at82203
school in violation of section 3321.38 of the Revised Code, do82204
either or both of the following:82205

       (i) Require the parent, guardian, or other person having care 82206
of the child to participate in a truancy prevention mediation82207
program;82208

       (ii) Require the parent, guardian, or other person having82209
care of the child to participate in any community service program,82210
preferably a community service program that requires the82211
involvement of the parent, guardian, or other person having care82212
of the child in the school attended by the child.82213

       (8) Make any further disposition that the court finds proper,82214
except that the child shall not be placed in any of the following:82215

       (a) A state correctional institution, a county, multicounty,82216
or municipal jail or workhouse, or another place in which an adult82217
convicted of a crime, under arrest, or charged with a crime is82218
held;82219

       (b) A community corrections facility, if the child would be82220
covered by the definition of public safety beds for purposes of82221
sections 5139.41 to 5139.455139.43 of the Revised Code if the 82222
court exercised its authority to commit the child to the legal 82223
custody of the department of youth services for 82224
institutionalization or institutionalization in a secure facility 82225
pursuant to this chapter.82226

       (B) If a child is adjudicated a delinquent child, in addition 82227
to any order of disposition made under division (A) of this 82228
section, the court, in the following situations, shall suspend the 82229
child's temporary instruction permit, restricted license, 82230
probationary driver's license, or nonresident operating privilege, 82231
or suspend the child's ability to obtain such a permit:82232

       (1) The child is adjudicated a delinquent child for violating82233
section 2923.122 of the Revised Code, with the suspension and 82234
denial being in accordance with division (E)(1)(a), (c), (d), or 82235
(e) of section 2923.122 of the Revised Code.82236

       (2) The child is adjudicated a delinquent child for82237
committing an act that if committed by an adult would be a drug82238
abuse offense or for violating division (B) of section 2917.11 of82239
the Revised Code, with the suspension continuing until the child82240
attends and satisfactorily completes a drug abuse or alcohol abuse82241
education, intervention, or treatment program specified by the82242
court. During the time the child is attending the program, the82243
court shall retain any temporary instruction permit, probationary82244
driver's license, or driver's license issued to the child, and the82245
court shall return the permit or license when the child82246
satisfactorily completes the program.82247

       (C) The court may establish a victim-offender mediation82248
program in which victims and their offenders meet to discuss the82249
offense and suggest possible restitution. If the court obtains the82250
assent of the victim of the delinquent act committed by the child,82251
the court may require the child to participate in the program.82252

       (D)(1) If a child is adjudicated a delinquent child for82253
committing an act that would be a felony if committed by an adult82254
and if the child caused, attempted to cause, threatened to cause,82255
or created a risk of physical harm to the victim of the act, the82256
court, prior to issuing an order of disposition under this82257
section, shall order the preparation of a victim impact statement82258
by the probation department of the county in which the victim of82259
the act resides, by the court's own probation department, or by a82260
victim assistance program that is operated by the state, a county,82261
a municipal corporation, or another governmental entity. The court82262
shall consider the victim impact statement in determining the82263
order of disposition to issue for the child.82264

       (2) Each victim impact statement shall identify the victim of 82265
the act for which the child was adjudicated a delinquent child,82266
itemize any economic loss suffered by the victim as a result of82267
the act, identify any physical injury suffered by the victim as a82268
result of the act and the seriousness and permanence of the82269
injury, identify any change in the victim's personal welfare or82270
familial relationships as a result of the act and any82271
psychological impact experienced by the victim or the victim's82272
family as a result of the act, and contain any other information82273
related to the impact of the act upon the victim that the court82274
requires.82275

       (3) A victim impact statement shall be kept confidential and82276
is not a public record. However, the court may furnish copies of82277
the statement to the department of youth services if the82278
delinquent child is committed to the department or to both the82279
adjudicated delinquent child or the adjudicated delinquent child's82280
counsel and the prosecuting attorney. The copy of a victim impact82281
statement furnished by the court to the department pursuant to82282
this section shall be kept confidential and is not a public82283
record. If an officer is preparing pursuant to section 2947.06 or82284
2951.03 of the Revised Code or Criminal Rule 32.2 a presentence82285
investigation report pertaining to a person, the court shall make82286
available to the officer, for use in preparing the report, a copy82287
of any victim impact statement regarding that person. The copies82288
of a victim impact statement that are made available to the82289
adjudicated delinquent child or the adjudicated delinquent child's82290
counsel and the prosecuting attorney pursuant to this division82291
shall be returned to the court by the person to whom they were82292
made available immediately following the imposition of an order of82293
disposition for the child under this chapter.82294

       The copy of a victim impact statement that is made available82295
pursuant to this division to an officer preparing a criminal82296
presentence investigation report shall be returned to the court by82297
the officer immediately following its use in preparing the report.82298

       (4) The department of youth services shall work with local82299
probation departments and victim assistance programs to develop a82300
standard victim impact statement.82301

       (E) If a child is adjudicated a delinquent child for being a82302
chronic truant or an habitual truant who previously has been82303
adjudicated an unruly child for being an habitual truant and the82304
court determines that the parent, guardian, or other person having82305
care of the child has failed to cause the child's attendance at82306
school in violation of section 3321.38 of the Revised Code, in82307
addition to any order of disposition it makes under this section,82308
the court shall warn the parent, guardian, or other person having82309
care of the child that any subsequent adjudication of the child as82310
an unruly or delinquent child for being an habitual or chronic82311
truant may result in a criminal charge against the parent,82312
guardian, or other person having care of the child for a violation82313
of division (C) of section 2919.21 or section 2919.24 of the82314
Revised Code.82315

       (F)(1) During the period of a delinquent child's community82316
control granted under this section, authorized probation officers82317
who are engaged within the scope of their supervisory duties or82318
responsibilities may search, with or without a warrant, the person82319
of the delinquent child, the place of residence of the delinquent82320
child, and a motor vehicle, another item of tangible or intangible82321
personal property, or other real property in which the delinquent82322
child has a right, title, or interest or for which the delinquent82323
child has the express or implied permission of a person with a82324
right, title, or interest to use, occupy, or possess if the82325
probation officers have reasonable grounds to believe that the82326
delinquent child is not abiding by the law or otherwise is not82327
complying with the conditions of the delinquent child's community82328
control. The court that places a delinquent child on community82329
control under this section shall provide the delinquent child with82330
a written notice that informs the delinquent child that authorized82331
probation officers who are engaged within the scope of their82332
supervisory duties or responsibilities may conduct those types of82333
searches during the period of community control if they have82334
reasonable grounds to believe that the delinquent child is not82335
abiding by the law or otherwise is not complying with the82336
conditions of the delinquent child's community control. The court82337
also shall provide the written notice described in division (E)(2)82338
of this section to each parent, guardian, or custodian of the82339
delinquent child who is described in that division.82340

       (2) The court that places a child on community control under82341
this section shall provide the child's parent, guardian, or other82342
custodian with a written notice that informs them that authorized82343
probation officers may conduct searches pursuant to division82344
(E)(1) of this section. The notice shall specifically state that a 82345
permissible search might extend to a motor vehicle, another item82346
of tangible or intangible personal property, or a place of82347
residence or other real property in which a notified parent,82348
guardian, or custodian has a right, title, or interest and that82349
the parent, guardian, or custodian expressly or impliedly permits82350
the child to use, occupy, or possess.82351

       (G) If a juvenile court commits a delinquent child to the82352
custody of any person, organization, or entity pursuant to this82353
section and if the delinquent act for which the child is so82354
committed is a sexually oriented offense, the court in the order82355
of disposition shall do one of the following:82356

       (1) Require that the child be provided treatment as described 82357
in division (A)(2) of section 5139.13 of the Revised Code;82358

       (2) Inform the person, organization, or entity that it is the82359
preferred course of action in this state that the child be82360
provided treatment as described in division (A)(2) of section82361
5139.13 of the Revised Code and encourage the person,82362
organization, or entity to provide that treatment.82363

       Sec. 2301.03.  (A) In Franklin county, the judges of the82364
court of common pleas whose terms begin on January 1, 1953,82365
January 2, 1953, January 5, 1969, January 5, 1977, and January 2,82366
1997, and successors, shall have the same qualifications, exercise82367
the same powers and jurisdiction, and receive the same82368
compensation as other judges of the court of common pleas of82369
Franklin county and shall be elected and designated as judges of82370
the court of common pleas, division of domestic relations. They82371
shall have all the powers relating to juvenile courts, and all82372
cases under Chapters 2151. and 2152. of the Revised Code, all82373
parentage proceedings under Chapter 3111. of the Revised Code over82374
which the juvenile court has jurisdiction, and all divorce,82375
dissolution of marriage, legal separation, and annulment cases82376
shall be assigned to them. In addition to the judge's regular82377
duties, the judge who is senior in point of service shall serve on82378
the children services board and the county advisory board and82379
shall be the administrator of the domestic relations division and82380
its subdivisions and departments.82381

       (B) In Hamilton county:82382

       (1) The judge of the court of common pleas, whose term begins 82383
on January 1, 1957, and successors, and the judge of the court of 82384
common pleas, whose term begins on February 14, 1967, and82385
successors, shall be the juvenile judges as provided in Chapters82386
2151. and 2152. of the Revised Code, with the powers and82387
jurisdiction conferred by those chapters.82388

       (2) The judges of the court of common pleas whose terms begin 82389
on January 5, 1957, January 16, 1981, and July 1, 1991, and82390
successors, shall be elected and designated as judges of the court82391
of common pleas, division of domestic relations, and shall have82392
assigned to them all divorce, dissolution of marriage, legal82393
separation, and annulment cases coming before the court. On or82394
after the first day of July and before the first day of August of82395
1991 and each year thereafter, a majority of the judges of the82396
division of domestic relations shall elect one of the judges of82397
the division as administrative judge of that division. If a82398
majority of the judges of the division of domestic relations are82399
unable for any reason to elect an administrative judge for the82400
division before the first day of August, a majority of the judges82401
of the Hamilton county court of common pleas, as soon as possible82402
after that date, shall elect one of the judges of the division of82403
domestic relations as administrative judge of that division. The82404
term of the administrative judge shall begin on the earlier of the82405
first day of August of the year in which the administrative judge82406
is elected or the date on which the administrative judge is82407
elected by a majority of the judges of the Hamilton county court82408
of common pleas and shall terminate on the date on which the82409
administrative judge's successor is elected in the following year.82410

       In addition to the judge's regular duties, the administrative82411
judge of the division of domestic relations shall be the82412
administrator of the domestic relations division and its82413
subdivisions and departments and shall have charge of the82414
employment, assignment, and supervision of the personnel of the82415
division engaged in handling, servicing, or investigating divorce,82416
dissolution of marriage, legal separation, and annulment cases,82417
including any referees considered necessary by the judges in the82418
discharge of their various duties.82419

       The administrative judge of the division of domestic82420
relations also shall designate the title, compensation, expense82421
allowances, hours, leaves of absence, and vacations of the82422
personnel of the division, and shall fix the duties of its82423
personnel. The duties of the personnel, in addition to those82424
provided for in other sections of the Revised Code, shall include82425
the handling, servicing, and investigation of divorce, dissolution82426
of marriage, legal separation, and annulment cases and counseling82427
and conciliation services that may be made available to persons82428
requesting them, whether or not the persons are parties to an82429
action pending in the division.82430

       The board of county commissioners shall appropriate the sum82431
of money each year as will meet all the administrative expenses of82432
the division of domestic relations, including reasonable expenses82433
of the domestic relations judges and the division counselors and82434
other employees designated to conduct the handling, servicing, and82435
investigation of divorce, dissolution of marriage, legal82436
separation, and annulment cases, conciliation and counseling, and82437
all matters relating to those cases and counseling, and the82438
expenses involved in the attendance of division personnel at82439
domestic relations and welfare conferences designated by the82440
division, and the further sum each year as will provide for the82441
adequate operation of the division of domestic relations.82442

       The compensation and expenses of all employees and the salary82443
and expenses of the judges shall be paid by the county treasurer82444
from the money appropriated for the operation of the division,82445
upon the warrant of the county auditor, certified to by the82446
administrative judge of the division of domestic relations.82447

       The summonses, warrants, citations, subpoenas, and other82448
writs of the division may issue to a bailiff, constable, or staff82449
investigator of the division or to the sheriff of any county or82450
any marshal, constable, or police officer, and the provisions of82451
law relating to the subpoenaing of witnesses in other cases shall82452
apply insofar as they are applicable. When a summons, warrant,82453
citation, subpoena, or other writ is issued to an officer, other82454
than a bailiff, constable, or staff investigator of the division,82455
the expense of serving it shall be assessed as a part of the costs82456
in the case involved.82457

       (3) The judge of the court of common pleas of Hamilton county 82458
whose term begins on January 3, 1997, and the successor to that 82459
judge whose term begins on January 3, 2003, shall each be elected 82460
and designated for one term only as the drug court judge of the 82461
court of common pleas of Hamilton county. The successors to the82462
judge whose term begins on January 3, 2003, shall be elected and 82463
designated as judges of the general division of the court of 82464
common pleas of Hamilton county and shall not have the authority 82465
granted by division (B)(3) of this section. The drug court judge 82466
may accept or reject any case referred to the drug court judge 82467
under division (B)(3) of this section. After the drug court judge 82468
accepts a referred case, the drug court judge has full authority 82469
over the case, including the authority to conduct arraignment, 82470
accept pleas, enter findings and dispositions, conduct trials, 82471
order treatment, and if treatment is not successfully completed82472
pronounce and enter sentence.82473

       A judge of the general division of the court of common pleas82474
of Hamilton county and a judge of the Hamilton county municipal82475
court may refer to the drug court judge any case, and any82476
companion cases, the judge determines meet the criteria described82477
under divisions (B)(3)(a) and (b) of this section. If the drug82478
court judge accepts referral of a referred case, the case, and any82479
companion cases, shall be transferred to the drug court judge. A82480
judge may refer a case meeting the criteria described in divisions82481
(B)(3)(a) and (b) of this section that involves a violation of a82482
condition of a community control sanction to the drug court judge, 82483
and, if the drug court judge accepts the referral, the referring 82484
judge and the drug court judge have concurrent jurisdiction over 82485
the case.82486

       A judge of the general division of the court of common pleas82487
of Hamilton county and a judge of the Hamilton county municipal82488
court may refer a case to the drug court judge under division82489
(B)(3) of this section if the judge determines that both of the82490
following apply:82491

       (a) One of the following applies:82492

       (i) The case involves a drug abuse offense, as defined in82493
section 2925.01 of the Revised Code, that is a felony of the third82494
or fourth degree if the offense is committed prior to July 1,82495
1996, a felony of the third, fourth, or fifth degree if the82496
offense is committed on or after July 1, 1996, or a misdemeanor.82497

       (ii) The case involves a theft offense, as defined in section82498
2913.01 of the Revised Code, that is a felony of the third or 82499
fourth degree if the offense is committed prior to July 1, 1996, a 82500
felony of the third, fourth, or fifth degree if the offense is 82501
committed on or after July 1, 1996, or a misdemeanor, and the 82502
defendant is drug or alcohol dependent or in danger of becoming 82503
drug or alcohol dependent and would benefit from treatment.82504

       (b) All of the following apply:82505

       (i) The case involves an offense for which a community 82506
control sanction may be imposed or is a case in which a mandatory 82507
prison term or a mandatory jail term is not required to be 82508
imposed.82509

       (ii) The defendant has no history of violent behavior.82510

       (iii) The defendant has no history of mental illness.82511

       (iv) The defendant's current or past behavior, or both, is82512
drug or alcohol driven.82513

       (v) The defendant demonstrates a sincere willingness to82514
participate in a fifteen-month treatment process.82515

       (vi) The defendant has no acute health condition.82516

       (vii) If the defendant is incarcerated, the county prosecutor82517
approves of the referral.82518

       (4) If the administrative judge of the court of common pleas82519
of Hamilton county determines that the volume of cases pending82520
before the drug court judge does not constitute a sufficient82521
caseload for the drug court judge, the administrative judge, in82522
accordance with the Rules of Superintendence for Courts of Common82523
Pleas, shall assign individual cases to the drug court judge from82524
the general docket of the court. If the assignments so occur, the82525
administrative judge shall cease the assignments when the82526
administrative judge determines that the volume of cases pending82527
before the drug court judge constitutes a sufficient caseload for82528
the drug court judge.82529

       (5) As used in division (B) of this section, "community 82530
control sanction," "mandatory prison term," and "mandatory jail 82531
term" have the same meanings as in section 2929.01 of the Revised 82532
Code.82533

       (C) In Lorain county, the judges of the court of common pleas 82534
whose terms begin on January 3, 1959, January 4, 1989, and January 82535
2, 1999, and successors, shall have the same qualifications, 82536
exercise the same powers and jurisdiction, and receive the same 82537
compensation as the other judges of the court of common pleas of 82538
Lorain county and shall be elected and designated as the judges of 82539
the court of common pleas, division of domestic relations. They 82540
shall have all of the powers relating to juvenile courts, and all 82541
cases under Chapters 2151. and 2152. of the Revised Code, all 82542
parentage proceedings over which the juvenile court has 82543
jurisdiction, and all divorce, dissolution of marriage, legal 82544
separation, and annulment cases shall be assigned to them, except 82545
cases that for some special reason are assigned to some other 82546
judge of the court of common pleas.82547

       (D) In Lucas county:82548

       (1) The judges of the court of common pleas whose terms begin 82549
on January 1, 1955, and January 3, 1965, and successors, shall 82550
have the same qualifications, exercise the same powers and82551
jurisdiction, and receive the same compensation as other judges of82552
the court of common pleas of Lucas county and shall be elected and82553
designated as judges of the court of common pleas, division of82554
domestic relations. All divorce, dissolution of marriage, legal82555
separation, and annulment cases shall be assigned to them.82556

       The judge of the division of domestic relations, senior in82557
point of service, shall be considered as the presiding judge of82558
the court of common pleas, division of domestic relations, and82559
shall be charged exclusively with the assignment and division of82560
the work of the division and the employment and supervision of all82561
other personnel of the domestic relations division.82562

       (2) The judges of the court of common pleas whose terms begin 82563
on January 5, 1977, and January 2, 1991, and successors shall have 82564
the same qualifications, exercise the same powers and82565
jurisdiction, and receive the same compensation as other judges of82566
the court of common pleas of Lucas county, shall be elected and82567
designated as judges of the court of common pleas, juvenile82568
division, and shall be the juvenile judges as provided in Chapters 82569
2151. and 2152. of the Revised Code with the powers and82570
jurisdictions conferred by those chapters. In addition to the82571
judge's regular duties, the judge of the court of common pleas,82572
juvenile division, senior in point of service, shall be the82573
administrator of the juvenile division and its subdivisions and82574
departments and shall have charge of the employment, assignment,82575
and supervision of the personnel of the division engaged in82576
handling, servicing, or investigating juvenile cases, including82577
any referees considered necessary by the judges of the division in82578
the discharge of their various duties.82579

       The judge of the court of common pleas, juvenile division,82580
senior in point of service, also shall designate the title,82581
compensation, expense allowance, hours, leaves of absence, and82582
vacation of the personnel of the division and shall fix the duties82583
of the personnel of the division. The duties of the personnel, in82584
addition to other statutory duties include the handling,82585
servicing, and investigation of juvenile cases and counseling and82586
conciliation services that may be made available to persons82587
requesting them, whether or not the persons are parties to an82588
action pending in the division.82589

       (3) If one of the judges of the court of common pleas,82590
division of domestic relations, or one of the judges of the82591
juvenile division is sick, absent, or unable to perform that82592
judge's judicial duties or the volume of cases pending in that82593
judge's division necessitates it, the duties shall be performed by82594
the judges of the other of those divisions.82595

       (E) In Mahoning county:82596

       (1) The judge of the court of common pleas whose term began82597
on January 1, 1955, and successors, shall have the same82598
qualifications, exercise the same powers and jurisdiction, and82599
receive the same compensation as other judges of the court of82600
common pleas of Mahoning county, shall be elected and designated82601
as judge of the court of common pleas, division of domestic82602
relations, and shall be assigned all the divorce, dissolution of82603
marriage, legal separation, and annulment cases coming before the82604
court. In addition to the judge's regular duties, the judge of the 82605
court of common pleas, division of domestic relations, shall be 82606
the administrator of the domestic relations division and its82607
subdivisions and departments and shall have charge of the82608
employment, assignment, and supervision of the personnel of the82609
division engaged in handling, servicing, or investigating divorce,82610
dissolution of marriage, legal separation, and annulment cases,82611
including any referees considered necessary in the discharge of82612
the various duties of the judge's office.82613

       The judge also shall designate the title, compensation,82614
expense allowances, hours, leaves of absence, and vacations of the82615
personnel of the division and shall fix the duties of the82616
personnel of the division. The duties of the personnel, in82617
addition to other statutory duties, include the handling,82618
servicing, and investigation of divorce, dissolution of marriage,82619
legal separation, and annulment cases and counseling and82620
conciliation services that may be made available to persons82621
requesting them, whether or not the persons are parties to an82622
action pending in the division.82623

       (2) The judge of the court of common pleas whose term began82624
on January 2, 1969, and successors, shall have the same82625
qualifications, exercise the same powers and jurisdiction, and82626
receive the same compensation as other judges of the court of82627
common pleas of Mahoning county, shall be elected and designated82628
as judge of the court of common pleas, juvenile division, and82629
shall be the juvenile judge as provided in Chapters 2151. and82630
2152. of the Revised Code, with the powers and jurisdictions82631
conferred by those chapters. In addition to the judge's regular82632
duties, the judge of the court of common pleas, juvenile division,82633
shall be the administrator of the juvenile division and its82634
subdivisions and departments and shall have charge of the82635
employment, assignment, and supervision of the personnel of the82636
division engaged in handling, servicing, or investigating juvenile82637
cases, including any referees considered necessary by the judge in82638
the discharge of the judge's various duties.82639

       The judge also shall designate the title, compensation,82640
expense allowances, hours, leaves of absence, and vacation of the82641
personnel of the division and shall fix the duties of the82642
personnel of the division. The duties of the personnel, in82643
addition to other statutory duties, include the handling,82644
servicing, and investigation of juvenile cases and counseling and82645
conciliation services that may be made available to persons82646
requesting them, whether or not the persons are parties to an82647
action pending in the division.82648

       (3) If a judge of the court of common pleas, division of82649
domestic relations or juvenile division, is sick, absent, or82650
unable to perform that judge's judicial duties, or the volume of82651
cases pending in that judge's division necessitates it, that82652
judge's duties shall be performed by another judge of the court of82653
common pleas.82654

       (F) In Montgomery county:82655

       (1) The judges of the court of common pleas whose terms begin 82656
on January 2, 1953, and January 4, 1977, and successors, shall 82657
have the same qualifications, exercise the same powers and82658
jurisdiction, and receive the same compensation as other judges of82659
the court of common pleas of Montgomery county and shall be82660
elected and designated as judges of the court of common pleas,82661
division of domestic relations. These judges shall have assigned82662
to them all divorce, dissolution of marriage, legal separation,82663
and annulment cases.82664

       The judge of the division of domestic relations, senior in82665
point of service, shall be charged exclusively with the assignment82666
and division of the work of the division and shall have charge of82667
the employment and supervision of the personnel of the division82668
engaged in handling, servicing, or investigating divorce,82669
dissolution of marriage, legal separation, and annulment cases,82670
including any necessary referees, except those employees who may82671
be appointed by the judge, junior in point of service, under this82672
section and sections 2301.12, 2301.18, and 2301.19 of the Revised82673
Code. The judge of the division of domestic relations, senior in82674
point of service, also shall designate the title, compensation,82675
expense allowances, hours, leaves of absence, and vacation of the82676
personnel of the division and shall fix their duties.82677

       (2) The judges of the court of common pleas whose terms begin 82678
on January 1, 1953, and January 1, 1993, and successors, shall 82679
have the same qualifications, exercise the same powers and82680
jurisdiction, and receive the same compensation as other judges of82681
the court of common pleas of Montgomery county, shall be elected82682
and designated as judges of the court of common pleas, juvenile82683
division, and shall be, and have the powers and jurisdiction of,82684
the juvenile judge as provided in Chapters 2151. and 2152. of the82685
Revised Code.82686

       In addition to the judge's regular duties, the judge of the82687
court of common pleas, juvenile division, senior in point of82688
service, shall be the administrator of the juvenile division and82689
its subdivisions and departments and shall have charge of the82690
employment, assignment, and supervision of the personnel of the82691
juvenile division, including any necessary referees, who are82692
engaged in handling, servicing, or investigating juvenile cases.82693
The judge, senior in point of service, also shall designate the82694
title, compensation, expense allowances, hours, leaves of absence,82695
and vacation of the personnel of the division and shall fix their82696
duties. The duties of the personnel, in addition to other82697
statutory duties, shall include the handling, servicing, and82698
investigation of juvenile cases and of any counseling and82699
conciliation services that are available upon request to persons,82700
whether or not they are parties to an action pending in the82701
division.82702

       If one of the judges of the court of common pleas, division82703
of domestic relations, or one of the judges of the court of common82704
pleas, juvenile division, is sick, absent, or unable to perform82705
that judge's duties or the volume of cases pending in that judge's82706
division necessitates it, the duties of that judge may be82707
performed by the judge or judges of the other of those divisions.82708

       (G) In Richland county, the:82709

       (1) The judge of the court of common pleas whose term begins 82710
on January 1, 1957, and successors, shall have the same 82711
qualifications, exercise the same powers and jurisdiction, and 82712
receive the same compensation as the other judges of the court of 82713
common pleas of Richland county and shall be elected and 82714
designated as judge of the court of common pleas, division of 82715
domestic relations. That judge shall have all of the powers82716
relating to juvenile courts, and all cases under Chapters 2151. 82717
and 2152. of the Revised Code, all parentage proceedings over 82718
which the juvenile court has jurisdiction, andassigned to that 82719
judge and hear all divorce, dissolution of marriage, legal 82720
separation, and annulment cases shall be assigned to that judge, 82721
except in cases that for some special reason are assigned to some 82722
other judge of the court of common pleasthat come before the 82723
court. Except in cases that are subject to the exclusive original 82724
jurisdiction of the juvenile court, the judge of the division of 82725
domestic relations shall have assigned to that judge and hear all 82726
cases pertaining to paternity, custody, visitation, child support, 82727
or the allocation of parental rights and responsibilities for the 82728
care of children and all post-decree proceedings arising from any 82729
case pertaining to any of those matters. The judge of the division 82730
of domestic relations shall have assigned to that judge and hear 82731
all proceedings under the uniform interstate family support act 82732
contained in Chapter 3115. of the Revised Code.82733

        (2) The judge of the court of common pleas whose term begins 82734
on January 3, 2005, and successors, shall have the same 82735
qualifications, exercise the same powers and jurisdiction, and 82736
receive the same compensation as other judges of the court of 82737
common pleas of Richland county, shall be elected and designated 82738
as judge of the court of common pleas, juvenile division, and 82739
shall be, and have the powers and jurisdiction of, the juvenile 82740
judge as provided in Chapters 2151. and 2152. of the Revised Code. 82741
Except in cases that are subject to the exclusive original 82742
jurisdiction of the juvenile court, the judge of the juvenile 82743
division shall not have jurisdiction or the power to hear, and 82744
shall not be assigned, any case pertaining to paternity, custody, 82745
visitation, child support, or the allocation of parental rights 82746
and responsibilities for the care of children or any post-decree 82747
proceeding arising from any case pertaining to any of those 82748
matters. The judge of the juvenile division shall not have 82749
jurisdiction or the power to hear, and shall not be assigned, any 82750
proceeding under the uniform interstate family support act 82751
contained in Chapter 3115. of the Revised Code. The judge of the 82752
juvenile division shall be the administrator of the juvenile 82753
division and its subdivisions and departments. The judge shall 82754
have charge of the employment, assignment, and supervision of the 82755
personnel of the juvenile division who are engaged in handling, 82756
servicing, or investigating juvenile cases, including any 82757
magistrates whom the judge considers necessary for the discharge 82758
of the judge's various duties.82759

       The judge of the juvenile division also shall designate the 82760
title, compensation, expense allowances, hours, leaves of absence, 82761
and vacation of the personnel of the division and shall fix their 82762
duties. The duties of the personnel, in addition to other 82763
statutory duties, include the handling, servicing, and 82764
investigation of juvenile cases and providing any counseling, 82765
conciliation, and mediation services that the court makes 82766
available to persons, whether or not the persons are parties to an 82767
action pending in the court, who request the services.82768

       (H) In Stark county, the judges of the court of common pleas82769
whose terms begin on January 1, 1953, January 2, 1959, and January82770
1, 1993, and successors, shall have the same qualifications,82771
exercise the same powers and jurisdiction, and receive the same82772
compensation as other judges of the court of common pleas of Stark82773
county and shall be elected and designated as judges of the court82774
of common pleas, division of domestic relations. They shall have82775
all the powers relating to juvenile courts, and all cases under82776
Chapters 2151. and 2152. of the Revised Code, all parentage82777
proceedings over which the juvenile court has jurisdiction, and82778
all divorce, dissolution of marriage, legal separation, and82779
annulment cases, except cases that are assigned to some other82780
judge of the court of common pleas for some special reason, shall82781
be assigned to the judges.82782

       The judge of the division of domestic relations, second most82783
senior in point of service, shall have charge of the employment82784
and supervision of the personnel of the division engaged in82785
handling, servicing, or investigating divorce, dissolution of82786
marriage, legal separation, and annulment cases, and necessary82787
referees required for the judge's respective court.82788

       The judge of the division of domestic relations, senior in82789
point of service, shall be charged exclusively with the82790
administration of sections 2151.13, 2151.16, 2151.17, and 2152.7182791
of the Revised Code and with the assignment and division of the82792
work of the division and the employment and supervision of all82793
other personnel of the division, including, but not limited to,82794
that judge's necessary referees, but excepting those employees who82795
may be appointed by the judge second most senior in point of82796
service. The senior judge further shall serve in every other82797
position in which the statutes permit or require a juvenile judge82798
to serve.82799

       (I) In Summit county:82800

       (1) The judges of the court of common pleas whose terms begin 82801
on January 4, 1967, and January 6, 1993, and successors, shall 82802
have the same qualifications, exercise the same powers and82803
jurisdiction, and receive the same compensation as other judges of82804
the court of common pleas of Summit county and shall be elected82805
and designated as judges of the court of common pleas, division of82806
domestic relations. The judges of the division of domestic82807
relations shall have assigned to them and hear all divorce,82808
dissolution of marriage, legal separation, and annulment cases82809
that come before the court. Except in cases that are subject to82810
the exclusive original jurisdiction of the juvenile court, the82811
judges of the division of domestic relations shall have assigned82812
to them and hear all cases pertaining to paternity, custody,82813
visitation, child support, or the allocation of parental rights82814
and responsibilities for the care of children and all post-decree82815
proceedings arising from any case pertaining to any of those82816
matters. The judges of the division of domestic relations shall82817
have assigned to them and hear all proceedings under the uniform82818
interstate family support act contained in Chapter 3115. of the82819
Revised Code.82820

       The judge of the division of domestic relations, senior in82821
point of service, shall be the administrator of the domestic82822
relations division and its subdivisions and departments and shall82823
have charge of the employment, assignment, and supervision of the82824
personnel of the division, including any necessary referees, who82825
are engaged in handling, servicing, or investigating divorce,82826
dissolution of marriage, legal separation, and annulment cases.82827
That judge also shall designate the title, compensation, expense82828
allowances, hours, leaves of absence, and vacations of the82829
personnel of the division and shall fix their duties. The duties82830
of the personnel, in addition to other statutory duties, shall82831
include the handling, servicing, and investigation of divorce,82832
dissolution of marriage, legal separation, and annulment cases and82833
of any counseling and conciliation services that are available82834
upon request to all persons, whether or not they are parties to an82835
action pending in the division.82836

       (2) The judge of the court of common pleas whose term begins82837
on January 1, 1955, and successors, shall have the same82838
qualifications, exercise the same powers and jurisdiction, and82839
receive the same compensation as other judges of the court of82840
common pleas of Summit county, shall be elected and designated as82841
judge of the court of common pleas, juvenile division, and shall82842
be, and have the powers and jurisdiction of, the juvenile judge as82843
provided in Chapters 2151. and 2152. of the Revised Code. Except82844
in cases that are subject to the exclusive original jurisdiction82845
of the juvenile court, the judge of the juvenile division shall82846
not have jurisdiction or the power to hear, and shall not be82847
assigned, any case pertaining to paternity, custody, visitation,82848
child support, or the allocation of parental rights and82849
responsibilities for the care of children or any post-decree82850
proceeding arising from any case pertaining to any of those82851
matters. The judge of the juvenile division shall not have82852
jurisdiction or the power to hear, and shall not be assigned, any82853
proceeding under the uniform interstate family support act82854
contained in Chapter 3115. of the Revised Code.82855

       The juvenile judge shall be the administrator of the juvenile82856
division and its subdivisions and departments and shall have82857
charge of the employment, assignment, and supervision of the82858
personnel of the juvenile division, including any necessary82859
referees, who are engaged in handling, servicing, or investigating82860
juvenile cases. The judge also shall designate the title,82861
compensation, expense allowances, hours, leaves of absence, and82862
vacation of the personnel of the division and shall fix their82863
duties. The duties of the personnel, in addition to other82864
statutory duties, shall include the handling, servicing, and82865
investigation of juvenile cases and of any counseling and82866
conciliation services that are available upon request to persons,82867
whether or not they are parties to an action pending in the82868
division.82869

       (J) In Trumbull county, the judges of the court of common82870
pleas whose terms begin on January 1, 1953, and January 2, 1977,82871
and successors, shall have the same qualifications, exercise the82872
same powers and jurisdiction, and receive the same compensation as82873
other judges of the court of common pleas of Trumbull county and82874
shall be elected and designated as judges of the court of common82875
pleas, division of domestic relations. They shall have all the82876
powers relating to juvenile courts, and all cases under Chapters82877
2151. and 2152. of the Revised Code, all parentage proceedings82878
over which the juvenile court has jurisdiction, and all divorce,82879
dissolution of marriage, legal separation, and annulment cases82880
shall be assigned to them, except cases that for some special82881
reason are assigned to some other judge of the court of common82882
pleas.82883

       (K) In Butler county:82884

       (1) The judges of the court of common pleas whose terms begin 82885
on January 1, 1957, and January 4, 1993, and successors, shall 82886
have the same qualifications, exercise the same powers and82887
jurisdiction, and receive the same compensation as other judges of82888
the court of common pleas of Butler county and shall be elected82889
and designated as judges of the court of common pleas, division of82890
domestic relations. The judges of the division of domestic82891
relations shall have assigned to them all divorce, dissolution of82892
marriage, legal separation, and annulment cases coming before the82893
court, except in cases that for some special reason are assigned82894
to some other judge of the court of common pleas. The judge senior 82895
in point of service shall be charged with the assignment and 82896
division of the work of the division and with the employment and 82897
supervision of all other personnel of the domestic relations82898
division.82899

       The judge senior in point of service also shall designate the82900
title, compensation, expense allowances, hours, leaves of absence,82901
and vacations of the personnel of the division and shall fix their82902
duties. The duties of the personnel, in addition to other82903
statutory duties, shall include the handling, servicing, and82904
investigation of divorce, dissolution of marriage, legal82905
separation, and annulment cases and providing any counseling and82906
conciliation services that the division makes available to82907
persons, whether or not the persons are parties to an action82908
pending in the division, who request the services.82909

       (2) The judges of the court of common pleas whose terms begin82910
on January 3, 1987, and January 2, 2003, and successors, shall 82911
have the same qualifications, exercise the same powers and82912
jurisdiction, and receive the same compensation as other judges of82913
the court of common pleas of Butler county, shall be elected and82914
designated as judges of the court of common pleas, juvenile82915
division, and shall be the juvenile judges as provided in Chapters82916
2151. and 2152. of the Revised Code, with the powers and82917
jurisdictions conferred by those chapters. The judge of the court82918
of common pleas, juvenile division, who is senior in point of82919
service, shall be the administrator of the juvenile division and82920
its subdivisions and departments. The judge, senior in point of82921
service, shall have charge of the employment, assignment, and82922
supervision of the personnel of the juvenile division who are82923
engaged in handling, servicing, or investigating juvenile cases,82924
including any referees whom the judge considers necessary for the82925
discharge of the judge's various duties.82926

       The judge, senior in point of service, also shall designate82927
the title, compensation, expense allowances, hours, leaves of82928
absence, and vacation of the personnel of the division and shall82929
fix their duties. The duties of the personnel, in addition to82930
other statutory duties, include the handling, servicing, and82931
investigation of juvenile cases and providing any counseling and82932
conciliation services that the division makes available to82933
persons, whether or not the persons are parties to an action82934
pending in the division, who request the services.82935

       (3) If a judge of the court of common pleas, division of82936
domestic relations or juvenile division, is sick, absent, or82937
unable to perform that judge's judicial duties or the volume of82938
cases pending in the judge's division necessitates it, the duties82939
of that judge shall be performed by the other judges of the82940
domestic relations and juvenile divisions.82941

       (L)(1) In Cuyahoga county, the judges of the court of common82942
pleas whose terms begin on January 8, 1961, January 9, 1961,82943
January 18, 1975, January 19, 1975, and January 13, 1987, and82944
successors, shall have the same qualifications, exercise the same82945
powers and jurisdiction, and receive the same compensation as82946
other judges of the court of common pleas of Cuyahoga county and82947
shall be elected and designated as judges of the court of common82948
pleas, division of domestic relations. They shall have all the82949
powers relating to all divorce, dissolution of marriage, legal82950
separation, and annulment cases, except in cases that are assigned82951
to some other judge of the court of common pleas for some special82952
reason.82953

       (2) The administrative judge is administrator of the domestic 82954
relations division and its subdivisions and departments and has 82955
the following powers concerning division personnel:82956

       (a) Full charge of the employment, assignment, and82957
supervision;82958

       (b) Sole determination of compensation, duties, expenses,82959
allowances, hours, leaves, and vacations.82960

       (3) "Division personnel" include persons employed or referees82961
engaged in hearing, servicing, investigating, counseling, or82962
conciliating divorce, dissolution of marriage, legal separation82963
and annulment matters.82964

       (M) In Lake county:82965

       (1) The judge of the court of common pleas whose term begins82966
on January 2, 1961, and successors, shall have the same82967
qualifications, exercise the same powers and jurisdiction, and82968
receive the same compensation as the other judges of the court of82969
common pleas of Lake county and shall be elected and designated as82970
judge of the court of common pleas, division of domestic82971
relations. The judge shall be assigned all the divorce,82972
dissolution of marriage, legal separation, and annulment cases82973
coming before the court, except in cases that for some special82974
reason are assigned to some other judge of the court of common82975
pleas. The judge shall be charged with the assignment and division 82976
of the work of the division and with the employment and82977
supervision of all other personnel of the domestic relations82978
division.82979

       The judge also shall designate the title, compensation,82980
expense allowances, hours, leaves of absence, and vacations of the82981
personnel of the division and shall fix their duties. The duties82982
of the personnel, in addition to other statutory duties, shall82983
include the handling, servicing, and investigation of divorce,82984
dissolution of marriage, legal separation, and annulment cases and82985
providing any counseling and conciliation services that the82986
division makes available to persons, whether or not the persons82987
are parties to an action pending in the division, who request the82988
services.82989

       (2) The judge of the court of common pleas whose term begins82990
on January 4, 1979, and successors, shall have the same82991
qualifications, exercise the same powers and jurisdiction, and82992
receive the same compensation as other judges of the court of82993
common pleas of Lake county, shall be elected and designated as82994
judge of the court of common pleas, juvenile division, and shall82995
be the juvenile judge as provided in Chapters 2151. and 2152. of82996
the Revised Code, with the powers and jurisdictions conferred by82997
those chapters. The judge of the court of common pleas, juvenile82998
division, shall be the administrator of the juvenile division and82999
its subdivisions and departments. The judge shall have charge of83000
the employment, assignment, and supervision of the personnel of83001
the juvenile division who are engaged in handling, servicing, or83002
investigating juvenile cases, including any referees whom the83003
judge considers necessary for the discharge of the judge's various83004
duties.83005

       The judge also shall designate the title, compensation,83006
expense allowances, hours, leaves of absence, and vacation of the83007
personnel of the division and shall fix their duties. The duties83008
of the personnel, in addition to other statutory duties, include83009
the handling, servicing, and investigation of juvenile cases and83010
providing any counseling and conciliation services that the83011
division makes available to persons, whether or not the persons83012
are parties to an action pending in the division, who request the83013
services.83014

       (3) If a judge of the court of common pleas, division of83015
domestic relations or juvenile division, is sick, absent, or83016
unable to perform that judge's judicial duties or the volume of83017
cases pending in the judge's division necessitates it, the duties83018
of that judge shall be performed by the other judges of the83019
domestic relations and juvenile divisions.83020

       (N) In Erie county, the judge of the court of common pleas83021
whose term begins on January 2, 1971, and successors, shall have83022
the same qualifications, exercise the same powers and83023
jurisdiction, and receive the same compensation as the other judge83024
of the court of common pleas of Erie county and shall be elected83025
and designated as judge of the court of common pleas, division of83026
domestic relations. The judge shall have all the powers relating83027
to juvenile courts, and shall be assigned all cases under Chapters83028
2151. and 2152. of the Revised Code, parentage proceedings over83029
which the juvenile court has jurisdiction, and divorce,83030
dissolution of marriage, legal separation, and annulment cases,83031
except cases that for some special reason are assigned to some83032
other judge.83033

       (O) In Greene county:83034

       (1) The judge of the court of common pleas whose term begins83035
on January 1, 1961, and successors, shall have the same83036
qualifications, exercise the same powers and jurisdiction, and83037
receive the same compensation as the other judges of the court of83038
common pleas of Greene county and shall be elected and designated83039
as the judge of the court of common pleas, division of domestic83040
relations. The judge shall be assigned all divorce, dissolution of 83041
marriage, legal separation, annulment, uniform reciprocal support 83042
enforcement, and domestic violence cases and all other cases 83043
related to domestic relations, except cases that for some special 83044
reason are assigned to some other judge of the court of common 83045
pleas.83046

       The judge shall be charged with the assignment and division83047
of the work of the division and with the employment and83048
supervision of all other personnel of the division. The judge also 83049
shall designate the title, compensation, hours, leaves of absence, 83050
and vacations of the personnel of the division and shall fix their 83051
duties. The duties of the personnel of the division, in addition 83052
to other statutory duties, shall include the handling, servicing, 83053
and investigation of divorce, dissolution of marriage, legal 83054
separation, and annulment cases and the provision of counseling 83055
and conciliation services that the division considers necessary 83056
and makes available to persons who request the services, whether 83057
or not the persons are parties in an action pending in the83058
division. The compensation for the personnel shall be paid from83059
the overall court budget and shall be included in the83060
appropriations for the existing judges of the general division of83061
the court of common pleas.83062

       (2) The judge of the court of common pleas whose term begins83063
on January 1, 1995, and successors, shall have the same83064
qualifications, exercise the same powers and jurisdiction, and83065
receive the same compensation as the other judges of the court of83066
common pleas of Greene county, shall be elected and designated as83067
judge of the court of common pleas, juvenile division, and, on or83068
after January 1, 1995, shall be the juvenile judge as provided in83069
Chapters 2151. and 2152. of the Revised Code with the powers and83070
jurisdiction conferred by those chapters. The judge of the court83071
of common pleas, juvenile division, shall be the administrator of83072
the juvenile division and its subdivisions and departments. The83073
judge shall have charge of the employment, assignment, and83074
supervision of the personnel of the juvenile division who are83075
engaged in handling, servicing, or investigating juvenile cases,83076
including any referees whom the judge considers necessary for the83077
discharge of the judge's various duties.83078

       The judge also shall designate the title, compensation,83079
expense allowances, hours, leaves of absence, and vacation of the83080
personnel of the division and shall fix their duties. The duties83081
of the personnel, in addition to other statutory duties, include83082
the handling, servicing, and investigation of juvenile cases and83083
providing any counseling and conciliation services that the court83084
makes available to persons, whether or not the persons are parties83085
to an action pending in the court, who request the services.83086

       (3) If one of the judges of the court of common pleas,83087
general division, is sick, absent, or unable to perform that 83088
judge's judicial duties or the volume of cases pending in the83089
general division necessitates it, the duties of that judge of the83090
general division shall be performed by the judge of the division83091
of domestic relations and the judge of the juvenile division.83092

       (P) In Portage county, the judge of the court of common83093
pleas, whose term begins January 2, 1987, and successors, shall83094
have the same qualifications, exercise the same powers and83095
jurisdiction, and receive the same compensation as the other83096
judges of the court of common pleas of Portage county and shall be83097
elected and designated as judge of the court of common pleas,83098
division of domestic relations. The judge shall be assigned all83099
divorce, dissolution of marriage, legal separation, and annulment83100
cases coming before the court, except in cases that for some83101
special reason are assigned to some other judge of the court of83102
common pleas. The judge shall be charged with the assignment and83103
division of the work of the division and with the employment and83104
supervision of all other personnel of the domestic relations83105
division.83106

       The judge also shall designate the title, compensation,83107
expense allowances, hours, leaves of absence, and vacations of the83108
personnel of the division and shall fix their duties. The duties83109
of the personnel, in addition to other statutory duties, shall83110
include the handling, servicing, and investigation of divorce,83111
dissolution of marriage, legal separation, and annulment cases and83112
providing any counseling and conciliation services that the83113
division makes available to persons, whether or not the persons83114
are parties to an action pending in the division, who request the83115
services.83116

       (Q) In Clermont county, the judge of the court of common83117
pleas, whose term begins January 2, 1987, and successors, shall83118
have the same qualifications, exercise the same powers and83119
jurisdiction, and receive the same compensation as the other83120
judges of the court of common pleas of Clermont county and shall83121
be elected and designated as judge of the court of common pleas,83122
division of domestic relations. The judge shall be assigned all83123
divorce, dissolution of marriage, legal separation, and annulment83124
cases coming before the court, except in cases that for some83125
special reason are assigned to some other judge of the court of83126
common pleas. The judge shall be charged with the assignment and83127
division of the work of the division and with the employment and83128
supervision of all other personnel of the domestic relations83129
division.83130

       The judge also shall designate the title, compensation,83131
expense allowances, hours, leaves of absence, and vacations of the83132
personnel of the division and shall fix their duties. The duties83133
of the personnel, in addition to other statutory duties, shall83134
include the handling, servicing, and investigation of divorce,83135
dissolution of marriage, legal separation, and annulment cases and83136
providing any counseling and conciliation services that the83137
division makes available to persons, whether or not the persons83138
are parties to an action pending in the division, who request the83139
services.83140

       (R) In Warren county, the judge of the court of common pleas, 83141
whose term begins January 1, 1987, and successors, shall have the 83142
same qualifications, exercise the same powers and jurisdiction, 83143
and receive the same compensation as the other judges of the court 83144
of common pleas of Warren county and shall be elected and 83145
designated as judge of the court of common pleas, division of 83146
domestic relations. The judge shall be assigned all divorce, 83147
dissolution of marriage, legal separation, and annulment cases 83148
coming before the court, except in cases that for some special 83149
reason are assigned to some other judge of the court of common 83150
pleas. The judge shall be charged with the assignment and division 83151
of the work of the division and with the employment and83152
supervision of all other personnel of the domestic relations83153
division.83154

       The judge also shall designate the title, compensation,83155
expense allowances, hours, leaves of absence, and vacations of the83156
personnel of the division and shall fix their duties. The duties83157
of the personnel, in addition to other statutory duties, shall83158
include the handling, servicing, and investigation of divorce,83159
dissolution of marriage, legal separation, and annulment cases and83160
providing any counseling and conciliation services that the83161
division makes available to persons, whether or not the persons83162
are parties to an action pending in the division, who request the83163
services.83164

       (S) In Licking county, the judge of the court of common83165
pleas, whose term begins January 1, 1991, and successors, shall83166
have the same qualifications, exercise the same powers and83167
jurisdiction, and receive the same compensation as the other83168
judges of the court of common pleas of Licking county and shall be83169
elected and designated as judge of the court of common pleas,83170
division of domestic relations. The judge shall be assigned all83171
divorce, dissolution of marriage, legal separation, and annulment83172
cases, all cases arising under Chapter 3111. of the Revised Code,83173
all proceedings involving child support, the allocation of83174
parental rights and responsibilities for the care of children and83175
the designation for the children of a place of residence and legal83176
custodian, parenting time, and visitation, and all post-decree83177
proceedings and matters arising from those cases and proceedings,83178
except in cases that for some special reason are assigned to83179
another judge of the court of common pleas. The judge shall be83180
charged with the assignment and division of the work of the83181
division and with the employment and supervision of the personnel83182
of the division.83183

       The judge shall designate the title, compensation, expense83184
allowances, hours, leaves of absence, and vacations of the83185
personnel of the division and shall fix the duties of the83186
personnel of the division. The duties of the personnel of the83187
division, in addition to other statutory duties, shall include the83188
handling, servicing, and investigation of divorce, dissolution of83189
marriage, legal separation, and annulment cases, cases arising83190
under Chapter 3111. of the Revised Code, and proceedings involving83191
child support, the allocation of parental rights and83192
responsibilities for the care of children and the designation for83193
the children of a place of residence and legal custodian,83194
parenting time, and visitation and providing any counseling and83195
conciliation services that the division makes available to83196
persons, whether or not the persons are parties to an action83197
pending in the division, who request the services.83198

       (T) In Allen county, the judge of the court of common pleas,83199
whose term begins January 1, 1993, and successors, shall have the83200
same qualifications, exercise the same powers and jurisdiction,83201
and receive the same compensation as the other judges of the court83202
of common pleas of Allen county and shall be elected and83203
designated as judge of the court of common pleas, division of83204
domestic relations. The judge shall be assigned all divorce,83205
dissolution of marriage, legal separation, and annulment cases,83206
all cases arising under Chapter 3111. of the Revised Code, all83207
proceedings involving child support, the allocation of parental83208
rights and responsibilities for the care of children and the83209
designation for the children of a place of residence and legal83210
custodian, parenting time, and visitation, and all post-decree83211
proceedings and matters arising from those cases and proceedings,83212
except in cases that for some special reason are assigned to83213
another judge of the court of common pleas. The judge shall be83214
charged with the assignment and division of the work of the83215
division and with the employment and supervision of the personnel83216
of the division.83217

       The judge shall designate the title, compensation, expense83218
allowances, hours, leaves of absence, and vacations of the83219
personnel of the division and shall fix the duties of the83220
personnel of the division. The duties of the personnel of the83221
division, in addition to other statutory duties, shall include the83222
handling, servicing, and investigation of divorce, dissolution of83223
marriage, legal separation, and annulment cases, cases arising83224
under Chapter 3111. of the Revised Code, and proceedings involving83225
child support, the allocation of parental rights and83226
responsibilities for the care of children and the designation for83227
the children of a place of residence and legal custodian,83228
parenting time, and visitation, and providing any counseling and83229
conciliation services that the division makes available to83230
persons, whether or not the persons are parties to an action83231
pending in the division, who request the services.83232

       (U) In Medina county, the judge of the court of common pleas83233
whose term begins January 1, 1995, and successors, shall have the83234
same qualifications, exercise the same powers and jurisdiction,83235
and receive the same compensation as other judges of the court of83236
common pleas of Medina county and shall be elected and designated83237
as judge of the court of common pleas, division of domestic83238
relations. The judge shall be assigned all divorce, dissolution of 83239
marriage, legal separation, and annulment cases, all cases arising 83240
under Chapter 3111. of the Revised Code, all proceedings involving 83241
child support, the allocation of parental rights and83242
responsibilities for the care of children and the designation for83243
the children of a place of residence and legal custodian,83244
parenting time, and visitation, and all post-decree proceedings83245
and matters arising from those cases and proceedings, except in83246
cases that for some special reason are assigned to another judge83247
of the court of common pleas. The judge shall be charged with the83248
assignment and division of the work of the division and with the83249
employment and supervision of the personnel of the division.83250

       The judge shall designate the title, compensation, expense83251
allowances, hours, leaves of absence, and vacations of the83252
personnel of the division and shall fix the duties of the83253
personnel of the division. The duties of the personnel, in83254
addition to other statutory duties, include the handling,83255
servicing, and investigation of divorce, dissolution of marriage,83256
legal separation, and annulment cases, cases arising under Chapter83257
3111. of the Revised Code, and proceedings involving child83258
support, the allocation of parental rights and responsibilities83259
for the care of children and the designation for the children of a83260
place of residence and legal custodian, parenting time, and83261
visitation, and providing counseling and conciliation services83262
that the division makes available to persons, whether or not the83263
persons are parties to an action pending in the division, who83264
request the services.83265

       (V) In Fairfield county, the judge of the court of common83266
pleas whose term begins January 2, 1995, and successors, shall83267
have the same qualifications, exercise the same powers and83268
jurisdiction, and receive the same compensation as the other83269
judges of the court of common pleas of Fairfield county and shall83270
be elected and designated as judge of the court of common pleas,83271
division of domestic relations. The judge shall be assigned all83272
divorce, dissolution of marriage, legal separation, and annulment83273
cases, all cases arising under Chapter 3111. of the Revised Code,83274
all proceedings involving child support, the allocation of83275
parental rights and responsibilities for the care of children and83276
the designation for the children of a place of residence and legal83277
custodian, parenting time, and visitation, and all post-decree83278
proceedings and matters arising from those cases and proceedings,83279
except in cases that for some special reason are assigned to83280
another judge of the court of common pleas. The judge also has83281
concurrent jurisdiction with the probate-juvenile division of the83282
court of common pleas of Fairfield county with respect to and may83283
hear cases to determine the custody of a child, as defined in83284
section 2151.011 of the Revised Code, who is not the ward of83285
another court of this state, cases that are commenced by a parent,83286
guardian, or custodian of a child, as defined in section 2151.01183287
of the Revised Code, to obtain an order requiring a parent of the83288
child to pay child support for that child when the request for83289
that order is not ancillary to an action for divorce, dissolution83290
of marriage, annulment, or legal separation, a criminal or civil83291
action involving an allegation of domestic violence, an action for83292
support under Chapter 3115. of the Revised Code, or an action that83293
is within the exclusive original jurisdiction of the83294
probate-juvenile division of the court of common pleas of83295
Fairfield county and that involves an allegation that the child is83296
an abused, neglected, or dependent child, and post-decree83297
proceedings and matters arising from those types of cases.83298

       The judge of the domestic relations division shall be charged83299
with the assignment and division of the work of the division and83300
with the employment and supervision of the personnel of the83301
division.83302

       The judge shall designate the title, compensation, expense83303
allowances, hours, leaves of absence, and vacations of the83304
personnel of the division and shall fix the duties of the83305
personnel of the division. The duties of the personnel of the83306
division, in addition to other statutory duties, shall include the83307
handling, servicing, and investigation of divorce, dissolution of83308
marriage, legal separation, and annulment cases, cases arising83309
under Chapter 3111. of the Revised Code, and proceedings involving83310
child support, the allocation of parental rights and83311
responsibilities for the care of children and the designation for83312
the children of a place of residence and legal custodian,83313
parenting time, and visitation, and providing any counseling and83314
conciliation services that the division makes available to83315
persons, regardless of whether the persons are parties to an83316
action pending in the division, who request the services. When the 83317
judge hears a case to determine the custody of a child, as defined83318
in section 2151.011 of the Revised Code, who is not the ward of 83319
another court of this state or a case that is commenced by a 83320
parent, guardian, or custodian of a child, as defined in section83321
2151.011 of the Revised Code, to obtain an order requiring a83322
parent of the child to pay child support for that child when the83323
request for that order is not ancillary to an action for divorce,83324
dissolution of marriage, annulment, or legal separation, a83325
criminal or civil action involving an allegation of domestic83326
violence, an action for support under Chapter 3115. of the Revised83327
Code, or an action that is within the exclusive original83328
jurisdiction of the probate-juvenile division of the court of83329
common pleas of Fairfield county and that involves an allegation83330
that the child is an abused, neglected, or dependent child, the83331
duties of the personnel of the domestic relations division also83332
include the handling, servicing, and investigation of those types83333
of cases.83334

       (W)(1) In Clark county, the judge of the court of common83335
pleas whose term begins on January 2, 1995, and successors, shall83336
have the same qualifications, exercise the same powers and83337
jurisdiction, and receive the same compensation as other judges of83338
the court of common pleas of Clark county and shall be elected and83339
designated as judge of the court of common pleas, domestic83340
relations division. The judge shall have all the powers relating83341
to juvenile courts, and all cases under Chapters 2151. and 2152.83342
of the Revised Code and all parentage proceedings under Chapter83343
3111. of the Revised Code over which the juvenile court has83344
jurisdiction shall be assigned to the judge of the division of83345
domestic relations. All divorce, dissolution of marriage, legal83346
separation, annulment, uniform reciprocal support enforcement, and83347
other cases related to domestic relations shall be assigned to the83348
domestic relations division, and the presiding judge of the court83349
of common pleas shall assign the cases to the judge of the83350
domestic relations division and the judges of the general83351
division.83352

       (2) In addition to the judge's regular duties, the judge of83353
the division of domestic relations shall serve on the children83354
services board and the county advisory board.83355

       (3) If the judge of the court of common pleas of Clark83356
county, division of domestic relations, is sick, absent, or unable83357
to perform that judge's judicial duties or if the presiding judge83358
of the court of common pleas of Clark county determines that the83359
volume of cases pending in the division of domestic relations83360
necessitates it, the duties of the judge of the division of83361
domestic relations shall be performed by the judges of the general83362
division or probate division of the court of common pleas of Clark83363
county, as assigned for that purpose by the presiding judge of83364
that court, and the judges so assigned shall act in conjunction83365
with the judge of the division of domestic relations of that83366
court.83367

       (X) In Scioto county, the judge of the court of common pleas83368
whose term begins January 2, 1995, and successors, shall have the83369
same qualifications, exercise the same powers and jurisdiction,83370
and receive the same compensation as other judges of the court of83371
common pleas of Scioto county and shall be elected and designated83372
as judge of the court of common pleas, division of domestic83373
relations. The judge shall be assigned all divorce, dissolution of 83374
marriage, legal separation, and annulment cases, all cases arising 83375
under Chapter 3111. of the Revised Code, all proceedings involving 83376
child support, the allocation of parental rights and83377
responsibilities for the care of children and the designation for83378
the children of a place of residence and legal custodian,83379
parenting time, visitation, and all post-decree proceedings and83380
matters arising from those cases and proceedings, except in cases83381
that for some special reason are assigned to another judge of the83382
court of common pleas. The judge shall be charged with the83383
assignment and division of the work of the division and with the83384
employment and supervision of the personnel of the division.83385

       The judge shall designate the title, compensation, expense83386
allowances, hours, leaves of absence, and vacations of the83387
personnel of the division and shall fix the duties of the83388
personnel of the division. The duties of the personnel, in83389
addition to other statutory duties, include the handling,83390
servicing, and investigation of divorce, dissolution of marriage,83391
legal separation, and annulment cases, cases arising under Chapter83392
3111. of the Revised Code, and proceedings involving child83393
support, the allocation of parental rights and responsibilities83394
for the care of children and the designation for the children of a83395
place of residence and legal custodian, parenting time, and83396
visitation, and providing counseling and conciliation services83397
that the division makes available to persons, whether or not the83398
persons are parties to an action pending in the division, who83399
request the services.83400

       (Y) In Auglaize county, the judge of the probate and juvenile 83401
divisions of the Auglaize county court of common pleas also shall 83402
be the administrative judge of the domestic relations division of 83403
the court and shall be assigned all divorce, dissolution of 83404
marriage, legal separation, and annulment cases coming before the 83405
court. The judge shall have all powers as administrator of the 83406
domestic relations division and shall have charge of the personnel 83407
engaged in handling, servicing, or investigating divorce, 83408
dissolution of marriage, legal separation, and annulment cases, 83409
including any referees considered necessary for the discharge of 83410
the judge's various duties.83411

       (Z)(1) In Marion county, the judge of the court of common83412
pleas whose term begins on February 9, 1999, and the successors to83413
that judge, shall have the same qualifications, exercise the same83414
powers and jurisdiction, and receive the same compensation as the83415
other judges of the court of common pleas of Marion county and83416
shall be elected and designated as judge of the court of common83417
pleas, domestic relations-juvenile-probate division. Except as83418
otherwise specified in this division, that judge, and the83419
successors to that judge, shall have all the powers relating to83420
juvenile courts, and all cases under Chapters 2151. and 2152. of83421
the Revised Code, all cases arising under Chapter 3111. of the83422
Revised Code, all divorce, dissolution of marriage, legal83423
separation, and annulment cases, all proceedings involving child83424
support, the allocation of parental rights and responsibilities83425
for the care of children and the designation for the children of a83426
place of residence and legal custodian, parenting time, and83427
visitation, and all post-decree proceedings and matters arising83428
from those cases and proceedings shall be assigned to that judge83429
and the successors to that judge. Except as provided in division83430
(Z)(2) of this section and notwithstanding any other provision of83431
any section of the Revised Code, on and after February 9, 2003,83432
the judge of the court of common pleas of Marion county whose term83433
begins on February 9, 1999, and the successors to that judge,83434
shall have all the powers relating to the probate division of the83435
court of common pleas of Marion county in addition to the powers83436
previously specified in this division, and shall exercise83437
concurrent jurisdiction with the judge of the probate division of83438
that court over all matters that are within the jurisdiction of83439
the probate division of that court under Chapter 2101., and other83440
provisions, of the Revised Code in addition to the jurisdiction of83441
the domestic relations-juvenile-probate division of that court83442
otherwise specified in division (Z)(1) of this section.83443

       (2) The judge of the domestic relations-juvenile-probate83444
division of the court of common pleas of Marion county or the83445
judge of the probate division of the court of common pleas of83446
Marion county, whichever of those judges is senior in total length83447
of service on the court of common pleas of Marion county,83448
regardless of the division or divisions of service, shall serve as83449
the clerk of the probate division of the court of common pleas of83450
Marion county.83451

       (3) On and after February 9, 2003, all references in law to83452
"the probate court," "the probate judge," "the juvenile court," or83453
"the judge of the juvenile court" shall be construed, with respect83454
to Marion county, as being references to both "the probate83455
division" and "the domestic relations-juvenile-probate division"83456
and as being references to both "the judge of the probate83457
division" and "the judge of the domestic relations-83458
juvenile-probate division." On and after February 9, 2003, all83459
references in law to "the clerk of the probate court" shall be83460
construed, with respect to Marion county, as being references to83461
the judge who is serving pursuant to division (Z)(2) of this83462
section as the clerk of the probate division of the court of83463
common pleas of Marion county.83464

       (AA) In Muskingum county, the judge of the court of common83465
pleas whose term begins on January 2, 2003, and successors, shall83466
have the same qualifications, exercise the same powers and83467
jurisdiction, and receive the same compensation as the other83468
judges of the court of common pleas of Muskingum county and shall83469
be elected and designated as the judge of the court of common83470
pleas, division of domestic relations. The judge shall be assigned83471
and hear all divorce, dissolution of marriage, legal separation, 83472
and annulment cases and all proceedings under the uniform 83473
interstate family support act contained in Chapter 3115. of the 83474
Revised Code. Except in cases that are subject to the exclusive 83475
original jurisdiction of the juvenile court, the judge shall be 83476
assigned and hear all cases pertaining to paternity, visitation, 83477
child support, the allocation of parental rights and83478
responsibilities for the care of children, and the designation for83479
the children of a place of residence and legal custodian, and all83480
post-decree proceedings arising from any case pertaining to any of83481
those matters.83482

       (BB) If a judge of the court of common pleas, division of83483
domestic relations, or juvenile judge, of any of the counties83484
mentioned in this section is sick, absent, or unable to perform83485
that judge's judicial duties or the volume of cases pending in the83486
judge's division necessitates it, the duties of that judge shall83487
be performed by another judge of the court of common pleas of that83488
county, assigned for that purpose by the presiding judge of the83489
court of common pleas of that county to act in place of or in83490
conjunction with that judge, as the case may require.83491

       Sec. 2743.191.  (A)(1) There is hereby created in the state83492
treasury the reparations fund, which shall be used only for the83493
following purposes:83494

       (a) The payment of awards of reparations that are granted by83495
the attorney general;83496

       (b) The compensation of any personnel needed by the attorney83497
general to administer sections 2743.51 to 2743.72 of the Revised83498
Code;83499

       (c) The compensation of witnesses as provided in division 83500
(B)(J) of section 2743.65 of the Revised Code;83501

       (d) Other administrative costs of hearing and determining83502
claims for an award of reparations by the attorney general;83503

       (e) The costs of administering sections 2907.28 and 2969.0183504
to 2969.06 of the Revised Code;83505

       (f) The costs of investigation and decision-making as83506
certified by the attorney general;83507

       (g) The provision of state financial assistance to victim83508
assistance programs in accordance with sections 109.91 and 109.9283509
of the Revised Code;83510

       (h) The costs of paying the expenses of sex offense-related83511
examinations and antibiotics pursuant to section 2907.28 of the83512
Revised Code;83513

       (i) The cost of printing and distributing the pamphlet83514
prepared by the attorney general pursuant to section 109.42 of the83515
Revised Code;83516

       (j) Subject to division (D) of section 2743.71 of the Revised83517
Code, the costs associated with the printing and providing of83518
information cards or other printed materials to law enforcement83519
agencies and prosecuting authorities and with publicizing the83520
availability of awards of reparations pursuant to section 2743.7183521
of the Revised Code;83522

       (k) The payment of costs of administering a DNA specimen83523
collection procedure pursuant to section 2152.74 of the Revised83524
Code in relation to any act identified in division (E)(1) to (5)83525
of that section and pursuant to section 2901.07 of the Revised83526
Code in relation to any act identified in division (E)(1) to (5)83527
of that section, of performing DNA analysis of those DNA83528
specimens, and of entering the resulting DNA records regarding83529
those analyses into the DNA database pursuant to section 109.57383530
of the Revised Code.83531

       (2) All costs paid pursuant to section 2743.70 of the Revised83532
Code, the portions of license reinstatement fees mandated by83533
division (F)(2)(b) of section 4511.191 of the Revised Code to be83534
credited to the fund, the portions of the proceeds of the sale of83535
a forfeited vehicle specified in division (C)(2) of section83536
4503.234 of the Revised Code, payments collected by the department83537
of rehabilitation and correction from prisoners who voluntarily83538
participate in an approved work and training program pursuant to83539
division (C)(8)(b)(ii) of section 5145.16 of the Revised Code, and83540
all moneys collected by the state pursuant to its right of83541
subrogation provided in section 2743.72 of the Revised Code shall83542
be deposited in the fund.83543

       (B) In making an award of reparations, the attorney general83544
shall render the award against the state. The award shall be83545
accomplished only through the following procedure, and the83546
following procedure may be enforced by writ of mandamus directed83547
to the appropriate official:83548

       (1) The attorney general shall provide for payment of the83549
claimant or providers in the amount of the award only if the 83550
amount of the award is fifty dollars or more.83551

       (2) The expense shall be charged against all available83552
unencumbered moneys in the fund.83553

       (3) If sufficient unencumbered moneys do not exist in the83554
fund, the attorney general shall make application for payment of83555
the award out of the emergency purposes account or any other83556
appropriation for emergencies or contingencies, and payment out of83557
this account or other appropriation shall be authorized if there83558
are sufficient moneys greater than the sum total of then pending83559
emergency purposes account requests or requests for releases from83560
the other appropriations.83561

       (4) If sufficient moneys do not exist in the account or any83562
other appropriation for emergencies or contingencies to pay the83563
award, the attorney general shall request the general assembly to83564
make an appropriation sufficient to pay the award, and no payment83565
shall be made until the appropriation has been made. The attorney83566
general shall make this appropriation request during the current83567
biennium and during each succeeding biennium until a sufficient83568
appropriation is made. If, prior to the time that an appropriation 83569
is made by the general assembly pursuant to this division, the 83570
fund has sufficient unencumbered funds to pay the award or part of 83571
the award, the available funds shall be used to pay the award or 83572
part of the award, and the appropriation request shall be amended 83573
to request only sufficient funds to pay that part of the award 83574
that is unpaid.83575

       (C) The attorney general shall not make payment on a decision83576
or order granting an award until all appeals have been determined 83577
and all rights to appeal exhausted, except as otherwise provided 83578
in this section. If any party to a claim for an award of83579
reparations appeals from only a portion of an award, and a83580
remaining portion provides for the payment of money by the state,83581
that part of the award calling for the payment of money by the83582
state and not a subject of the appeal shall be processed for83583
payment as described in this section.83584

       (D) The attorney general shall prepare itemized bills for the 83585
costs of printing and distributing the pamphlet the attorney83586
general prepares pursuant to section 109.42 of the Revised Code.83587
The itemized bills shall set forth the name and address of the83588
persons owed the amounts set forth in them.83589

       (E) As used in this section, "DNA analysis" and "DNA83590
specimen" have the same meanings as in section 109.573 of the83591
Revised Code.83592

       Sec. 2743.51.  As used in sections 2743.51 to 2743.72 of the83593
Revised Code:83594

       (A) "Claimant" means both of the following categories of83595
persons:83596

       (1) Any of the following persons who claim an award of83597
reparations under sections 2743.51 to 2743.72 of the Revised Code:83598

       (a) A victim who was one of the following at the time of the83599
criminally injurious conduct:83600

       (i) A resident of the United States;83601

       (ii) A resident of a foreign country the laws of which permit 83602
residents of this state to recover compensation as victims of 83603
offenses committed in that country.83604

       (b) A dependent of a deceased victim who is described in83605
division (A)(1)(a) of this section;83606

       (c) A third person, other than a collateral source, who83607
legally assumes or voluntarily pays the obligations of a victim,83608
or of a dependent of a victim, who is described in division83609
(A)(1)(a) of this section, which obligations are incurred as a83610
result of the criminally injurious conduct that is the subject of83611
the claim and may include, but are not limited to, medical or83612
burial expenses;83613

       (d) A person who is authorized to act on behalf of any person 83614
who is described in division (A)(1)(a), (b), or (c) of this83615
section;83616

       (e) The estate of a deceased victim who is described in 83617
division (A)(1)(a) of this section.83618

       (2) Any of the following persons who claim an award of83619
reparations under sections 2743.51 to 2743.72 of the Revised Code:83620

       (a) A victim who had a permanent place of residence within83621
this state at the time of the criminally injurious conduct and83622
who, at the time of the criminally injurious conduct, complied83623
with any one of the following:83624

       (i) Had a permanent place of employment in this state;83625

       (ii) Was a member of the regular armed forces of the United83626
States or of the United States coast guard or was a full-time83627
member of the Ohio organized militia or of the United States army83628
reserve, naval reserve, or air force reserve;83629

       (iii) Was retired and receiving social security or any other83630
retirement income;83631

       (iv) Was sixty years of age or older;83632

       (v) Was temporarily in another state for the purpose of83633
receiving medical treatment;83634

       (vi) Was temporarily in another state for the purpose of83635
performing employment-related duties required by an employer83636
located within this state as an express condition of employment or83637
employee benefits;83638

       (vii) Was temporarily in another state for the purpose of83639
receiving occupational, vocational, or other job-related training83640
or instruction required by an employer located within this state83641
as an express condition of employment or employee benefits;83642

       (viii) Was a full-time student at an academic institution,83643
college, or university located in another state;83644

       (ix) Had not departed the geographical boundaries of this83645
state for a period exceeding thirty days or with the intention of83646
becoming a citizen of another state or establishing a permanent83647
place of residence in another state.83648

       (b) A dependent of a deceased victim who is described in83649
division (A)(2)(a) of this section;83650

       (c) A third person, other than a collateral source, who83651
legally assumes or voluntarily pays the obligations of a victim,83652
or of a dependent of a victim, who is described in division83653
(A)(2)(a) of this section, which obligations are incurred as a83654
result of the criminally injurious conduct that is the subject of83655
the claim and may include, but are not limited to, medical or83656
burial expenses;83657

       (d) A person who is authorized to act on behalf of any person 83658
who is described in division (A)(2)(a), (b), or (c) of this83659
section;83660

       (e) The estate of a deceased victim who is described in 83661
division (A)(2)(a) of this section.83662

       (B) "Collateral source" means a source of benefits or83663
advantages for economic loss otherwise reparable that the victim83664
or claimant has received, or that is readily available to the83665
victim or claimant, from any of the following sources:83666

       (1) The offender;83667

       (2) The government of the United States or any of its83668
agencies, a state or any of its political subdivisions, or an83669
instrumentality of two or more states, unless the law providing83670
for the benefits or advantages makes them excess or secondary to83671
benefits under sections 2743.51 to 2743.72 of the Revised Code;83672

       (3) Social security, medicare, and medicaid;83673

       (4) State-required, temporary, nonoccupational disability83674
insurance;83675

       (5) Workers' compensation;83676

       (6) Wage continuation programs of any employer;83677

       (7) Proceeds of a contract of insurance payable to the victim 83678
for loss that the victim sustained because of the criminally83679
injurious conduct;83680

       (8) A contract providing prepaid hospital and other health83681
care services, or benefits for disability;83682

       (9) That portion of the proceeds of all contracts of83683
insurance payable to the claimant on account of the death of the83684
victim that exceeds fifty thousand dollars;83685

       (10) Any compensation recovered or recoverable under the laws 83686
of another state, district, territory, or foreign country because 83687
the victim was the victim of an offense committed in that state, 83688
district, territory, or country.83689

       "Collateral source" does not include any money, or the83690
monetary value of any property, that is subject to sections83691
2969.01 to 2969.06 of the Revised Code or that is received as a 83692
benefit from the Ohio public safety officers death benefit fund 83693
created by section 742.62 of the Revised Code.83694

       (C) "Criminally injurious conduct" means one of the83695
following:83696

       (1) For the purposes of any person described in division83697
(A)(1) of this section, any conduct that occurs or is attempted in83698
this state; poses a substantial threat of personal injury or83699
death; and is punishable by fine, imprisonment, or death, or would83700
be so punishable but for the fact that the person engaging in the83701
conduct lacked capacity to commit the crime under the laws of this83702
state. Criminally injurious conduct does not include conduct83703
arising out of the ownership, maintenance, or use of a motor83704
vehicle, except when any of the following applies:83705

       (a) The person engaging in the conduct intended to cause83706
personal injury or death;83707

       (b) The person engaging in the conduct was using the vehicle83708
to flee immediately after committing a felony or an act that would83709
constitute a felony but for the fact that the person engaging in83710
the conduct lacked the capacity to commit the felony under the83711
laws of this state;83712

       (c) The person engaging in the conduct was using the vehicle83713
in a manner that constitutes an OVI violation;83714

       (d) The conduct occurred on or after July 25, 1990, and the83715
person engaging in the conduct was using the vehicle in a manner83716
that constitutes a violation of section 2903.08 of the Revised83717
Code.83718

       (2) For the purposes of any person described in division83719
(A)(2) of this section, any conduct that occurs or is attempted in83720
another state, district, territory, or foreign country; poses a83721
substantial threat of personal injury or death; and is punishable83722
by fine, imprisonment, or death, or would be so punishable but for83723
the fact that the person engaging in the conduct lacked capacity83724
to commit the crime under the laws of the state, district,83725
territory, or foreign country in which the conduct occurred or was83726
attempted. Criminally injurious conduct does not include conduct83727
arising out of the ownership, maintenance, or use of a motor83728
vehicle, except when any of the following applies:83729

       (a) The person engaging in the conduct intended to cause83730
personal injury or death;83731

       (b) The person engaging in the conduct was using the vehicle83732
to flee immediately after committing a felony or an act that would83733
constitute a felony but for the fact that the person engaging in83734
the conduct lacked the capacity to commit the felony under the83735
laws of the state, district, territory, or foreign country in83736
which the conduct occurred or was attempted;83737

       (c) The person engaging in the conduct was using the vehicle83738
in a manner that constitutes an OVI violation;83739

       (d) The conduct occurred on or after July 25, 1990, the83740
person engaging in the conduct was using the vehicle in a manner83741
that constitutes a violation of any law of the state, district,83742
territory, or foreign country in which the conduct occurred, and83743
that law is substantially similar to a violation of section83744
2903.08 of the Revised Code.83745

       (3) For the purposes of any person described in division83746
(A)(1) or (2) of this section, terrorism that occurs within or83747
outside the territorial jurisdiction of the United States.83748

       (D) "Dependent" means an individual wholly or partially83749
dependent upon the victim for care and support, and includes a83750
child of the victim born after the victim's death.83751

       (E) "Economic loss" means economic detriment consisting only83752
of allowable expense, work loss, funeral expense, unemployment83753
benefits loss, replacement services loss, cost of crime scene83754
cleanup, and cost of evidence replacement. If criminally injurious 83755
conduct causes death, economic loss includes a dependent's 83756
economic loss and a dependent's replacement services loss. 83757
Noneconomic detriment is not economic loss; however, economic loss 83758
may be caused by pain and suffering or physical impairment.83759

       (F)(1) "Allowable expense" means reasonable charges incurred83760
for reasonably needed products, services, and accommodations,83761
including those for medical care, rehabilitation, rehabilitative83762
occupational training, and other remedial treatment and care and83763
including replacement costs for eyeglasses and other corrective83764
lenses. It does not include that portion of a charge for a room in 83765
a hospital, clinic, convalescent home, nursing home, or any other 83766
institution engaged in providing nursing care and related services 83767
in excess of a reasonable and customary charge for semiprivate 83768
accommodations, unless accommodations other than semiprivate 83769
accommodations are medically required.83770

       (2) An immediate family member of a victim of criminally83771
injurious conduct that consists of a homicide, a sexual assault,83772
domestic violence, or a severe and permanent incapacitating injury83773
resulting in paraplegia or a similar life-altering condition, who83774
requires psychiatric care or counseling as a result of the83775
criminally injurious conduct, may be reimbursed for that care or83776
counseling as an allowable expense through the victim's83777
application. The cumulative allowable expense for care or83778
counseling of that nature shall not exceed two thousand five 83779
hundred dollars for each immediate family member of a victim of83780
that type shall not exceed twoand seven thousand five hundred 83781
dollars in the aggregate for all immediate family members of a 83782
victim of that type.83783

       (3) A family member of a victim who died as a proximate 83784
result of criminally injurious conduct may be reimbursed as an 83785
allowable expense through the victim's application for wages lost 83786
and travel expenses incurred in order to attend criminal justice 83787
proceedings arising from the criminally injurious conduct. The 83788
cumulative allowable expense for wages lost and travel expenses 83789
incurred by a family member to attend criminal justice proceedings 83790
shall not exceed five hundred dollars for each family member of 83791
the victim and two thousand dollars in the aggregate for all 83792
family members of the victim.83793

       (4) "Allowable expense" includes attorney's fees not 83794
exceeding two thousand five hundred dollars, at a rate not 83795
exceeding one hundred fifty dollars per hour, incurred to 83796
successfully obtain a restraining order, custody order, or other 83797
order to physically separate a victim from an offender, if the 83798
attorney has not received payment under section 2743.65 of the 83799
Revised Code for assisting a claimant with an application for an 83800
award of reparations under sections 2743.51 to 2743.72 of the 83801
Revised Code.83802

       (G) "Work loss" means loss of income from work that the83803
injured person would have performed if the person had not been83804
injured and expenses reasonably incurred by the person to obtain83805
services in lieu of those the person would have performed for83806
income, reduced by any income from substitute work actually83807
performed by the person, or by income the person would have earned83808
in available appropriate substitute work that the person was83809
capable of performing but unreasonably failed to undertake.83810

       (H) "Replacement services loss" means expenses reasonably83811
incurred in obtaining ordinary and necessary services in lieu of83812
those the injured person would have performed, not for income, but83813
for the benefit of the person's self or family, if the person had83814
not been injured.83815

       (I) "Dependent's economic loss" means loss after a victim's83816
death of contributions of things of economic value to the victim's83817
dependents, not including services they would have received from83818
the victim if the victim had not suffered the fatal injury, less83819
expenses of the dependents avoided by reason of the victim's83820
death. If a minor child of a victim is adopted after the victim's83821
death, the minor child continues after the adoption to incur a83822
dependent's economic loss as a result of the victim's death. If83823
the surviving spouse of a victim remarries, the surviving spouse83824
continues after the remarriage to incur a dependent's economic83825
loss as a result of the victim's death.83826

       (J) "Dependent's replacement services loss" means loss83827
reasonably incurred by dependents after a victim's death in83828
obtaining ordinary and necessary services in lieu of those the83829
victim would have performed for their benefit if the victim had83830
not suffered the fatal injury, less expenses of the dependents83831
avoided by reason of the victim's death and not subtracted in83832
calculating the dependent's economic loss. If a minor child of a83833
victim is adopted after the victim's death, the minor child83834
continues after the adoption to incur a dependent's replacement83835
services loss as a result of the victim's death. If the surviving83836
spouse of a victim remarries, the surviving spouse continues after83837
the remarriage to incur a dependent's replacement services loss as83838
a result of the victim's death.83839

       (K) "Noneconomic detriment" means pain, suffering,83840
inconvenience, physical impairment, or other nonpecuniary damage.83841

       (L) "Victim" means a person who suffers personal injury or83842
death as a result of any of the following:83843

       (1) Criminally injurious conduct;83844

       (2) The good faith effort of any person to prevent criminally 83845
injurious conduct;83846

       (3) The good faith effort of any person to apprehend a person 83847
suspected of engaging in criminally injurious conduct.83848

       (M) "Contributory misconduct" means any conduct of the83849
claimant or of the victim through whom the claimant claims an83850
award of reparations that is unlawful or intentionally tortious83851
and that, without regard to the conduct's proximity in time or83852
space to the criminally injurious conduct, has a causal83853
relationship to the criminally injurious conduct that is the basis83854
of the claim.83855

       (N)(1) "Funeral expense" means any reasonable charges that83856
are not in excess of fiveseven thousand five hundred dollars per 83857
funeral and that are incurred for expenses directly related to a 83858
victim's funeral, cremation, or burial and any wages lost or 83859
travel expenses incurred by a family member of a victim in order 83860
to attend the victim's funeral, cremation, or burial.83861

       (2) An award for funeral expenses shall be applied first to 83862
expenses directly related to the victim's funeral, cremation, or 83863
burial. An award for wages lost or travel expenses incurred by a 83864
family member of the victim shall not exceed five hundred dollars 83865
for each family member and shall not exceed in the aggregate the 83866
difference between seven thousand five hundred dollars and 83867
expenses that are reimbursed by the program and that are directly 83868
related to the victim's funeral, cremation, or burial.83869

       (O) "Unemployment benefits loss" means a loss of unemployment83870
benefits pursuant to Chapter 4141. of the Revised Code when the83871
loss arises solely from the inability of a victim to meet the able83872
to work, available for suitable work, or the actively seeking83873
suitable work requirements of division (A)(4)(a) of section83874
4141.29 of the Revised Code.83875

       (P) "OVI violation" means any of the following:83876

       (1) A violation of section 4511.19 of the Revised Code, of83877
any municipal ordinance prohibiting the operation of a vehicle83878
while under the influence of alcohol, a drug of abuse, or a 83879
combination of them, or of any municipal ordinance prohibiting the83880
operation of a vehicle with a prohibited concentration of alcohol83881
in the whole blood, blood serum or plasma, breath, or urine;83882

       (2) A violation of division (A)(1) of section 2903.06 of the83883
Revised Code;83884

       (3) A violation of division (A)(2), (3), or (4) of section83885
2903.06 of the Revised Code or of a municipal ordinance83886
substantially similar to any of those divisions, if the offender83887
was under the influence of alcohol, a drug of abuse, or a 83888
combination of them, at the time of the commission of the offense;83889

       (4) For purposes of any person described in division (A)(2)83890
of this section, a violation of any law of the state, district,83891
territory, or foreign country in which the criminally injurious83892
conduct occurred, if that law is substantially similar to a83893
violation described in division (P)(1) or (2) of this section or83894
if that law is substantially similar to a violation described in83895
division (P)(3) of this section and the offender was under the83896
influence of alcohol, a drug of abuse, or a combination of them,83897
at the time of the commission of the offense.83898

       (Q) "Pendency of the claim" for an original reparations83899
application or supplemental reparations application means the83900
period of time from the date the criminally injurious conduct upon83901
which the application is based occurred until the date a final83902
decision, order, or judgment concerning that original reparations83903
application or supplemental reparations application is issued.83904

       (R) "Terrorism" means any activity to which all of the83905
following apply:83906

       (1) The activity involves a violent act or an act that is83907
dangerous to human life.83908

       (2) The act described in division (R)(1) of this section is83909
committed within the territorial jurisdiction of the United States83910
and is a violation of the criminal laws of the United States, this83911
state, or any other state or the act described in division (R)(1)83912
of this section is committed outside the territorial jurisdiction83913
of the United States and would be a violation of the criminal laws83914
of the United States, this state, or any other state if committed83915
within the territorial jurisdiction of the United States.83916

       (3) The activity appears to be intended to do any of the83917
following:83918

       (a) Intimidate or coerce a civilian population;83919

       (b) Influence the policy of any government by intimidation or 83920
coercion;83921

       (c) Affect the conduct of any government by assassination or83922
kidnapping.83923

       (4) The activity occurs primarily outside the territorial83924
jurisdiction of the United States or transcends the national83925
boundaries of the United States in terms of the means by which the83926
activity is accomplished, the person or persons that the activity83927
appears intended to intimidate or coerce, or the area or locale in83928
which the perpetrator or perpetrators of the activity operate or83929
seek asylum.83930

       (S) "Transcends the national boundaries of the United States"83931
means occurring outside the territorial jurisdiction of the United83932
States in addition to occurring within the territorial83933
jurisdiction of the United States.83934

       (T) "Cost of crime scene cleanup" means reasonable and83935
necessary costs of cleaning the scene and repairing, for the 83936
purpose of personal security, property damaged at the scene where 83937
the criminally injurious conduct occurred, not to exceed seven 83938
hundred fifty dollars in the aggregate per claim.83939

       (U) "Cost of evidence replacement" means costs for83940
replacement of property confiscated for evidentiary purposes83941
related to the criminally injurious conduct, not to exceed seven83942
hundred fifty dollars in the aggregate per claim.83943

       (V) "Provider" means any person who provides a victim or83944
claimant with a product, service, or accommodations that are an83945
allowable expense or a funeral expense.83946

       (W) "Immediate family member" means an individual who 83947
resided in the same permanent household as a victim at the time of 83948
the criminally injurious conduct and who is related to athe83949
victim within the first degree by affinity or consanguinity.83950

       (X) "Family member" means an individual who is related to a 83951
victim by affinity or consanguinity.83952

       Sec. 2929.38. (A) A board of commissioners of a county, in an 83953
agreement with the sheriff, a legislative authority of a municipal83954
corporation, a corrections commission, a judicial corrections83955
board, or any other public or private entity that operates a local 83956
detention facility described in division (A) of section 2929.37 of 83957
the Revised Code, may establish a policy that requires any 83958
prisoner who is confined in the facility as a result of pleading 83959
guilty to or having been convicted of an offense to pay a one-time 83960
reception fee for the costs of processing the prisoner into the 83961
facility at the time of the prisoner's initial entry into the 83962
facility under the confinement in question, to pay a reasonable 83963
fee for any medical or dental treatment or service requested by 83964
and provided to that prisoner, and to pay the fee for a random 83965
drug test assessed under division (E) of section 341.26, and 83966
division (E) of section 753.33 of the Revised Code. The fee for 83967
the medical treatment or service shall not exceed the actual cost 83968
of the treatment or service provided. No prisoner confined in the 83969
local detention facility shall be denied any necessary medical 83970
care because of inability to pay the fees.83971

       (B) Upon assessment of a one-time reception fee as described83972
in division (A) of this section, the provision of the requested83973
medical treatment or service, or the assessment of a fee for a83974
random drug test, payment of the required fee may be automatically83975
deducted from the prisoner's inmate account in the business office83976
of the local detention facility in which the prisoner is confined.83977
If there is no money in the account, a deduction may be made at a83978
later date during the prisoner's confinement if the money becomes83979
available in the account. If, after release, the prisoner has an83980
unpaid balance of those fees, the sheriff, legislative authority83981
of the municipal corporation, corrections commission, judicial83982
corrections board, or other entity that operates the local83983
detention facility described in division (A) of section 2929.37 of 83984
the Revised Code may bill the prisoner for the payment of the83985
unpaid fees. Fees received for medical or dental treatment or83986
services shall be paid to the commissary fund, if one exists for83987
the facility, or if no commissary fund exists, to the general fund83988
of the treasury of the political subdivision that incurred the83989
expenses, in the same proportion as those expenses were borne by83990
the political subdivision. Fees received for medical treatment or 83991
services that are placed in the commissary fund under this 83992
division shall be used for the same purposes as profits from the 83993
commissary fund, except that they shall not be used to pay any 83994
salary or benefits of any person who works in or is employed for 83995
the sole purpose of providing service to the commissary.83996

       (C) Any fee paid by a person under this section shall be83997
deducted from any medical or dental costs that the person is83998
ordered to reimburse under a financial sanction imposed pursuant83999
to section 2929.28 of the Revised Code or to repay under a policy 84000
adopted under section 2929.37 of the Revised Code.84001

       (D) As used in this section, "inmate account" has the same84002
meaning as in section 2969.21 of the Revised Code.84003

       Sec. 4506.14.  (A) Commercial driver's licenses shall expire84004
as follows:84005

       (1) Except as provided in division (A)(3) of this section,84006
each such license issued to replace an operator's or chauffeur's84007
license shall expire on the original expiration date of the84008
operator's or chauffeur's license and, upon renewal, shall expire84009
on the licensee's birthday in the fourth year after the date of84010
issuance.84011

       (2) Except as provided in division (A)(3) of this section,84012
each such license issued as an original license to a person whose84013
residence is in this state shall expire on the licensee's birthday84014
in the fourth year after the date of issuance, and each such84015
license issued to a person whose temporary residence is in this84016
state shall expire in accordance with rules adopted by the84017
registrar of motor vehicles. A license issued to a person with a84018
temporary residence in this state is nonrenewable, but may be84019
replaced with a new license within ninety days prior to its84020
expiration upon the applicant's compliance with all applicable84021
requirements.84022

       (3) Each such license issued to replace the operator's or84023
chauffeur's license of a person who is less than twenty-one years84024
of age, and each such license issued as an original license to a84025
person who is less than twenty-one years of age, shall expire on84026
the licensee's twenty-first birthday.84027

       (B) No commercial driver's license shall be issued for a84028
period longer than four years and ninety days. Except as provided84029
in section 4507.12 of the Revised Code, the registrar may waive84030
the examination of any person applying for the renewal of a84031
commercial driver's license issued under this chapter, provided84032
that the applicant presents either an unexpired commercial84033
driver's license or a commercial driver's license that has expired84034
not more than six months prior to the date of application.84035

       (C) Subject to the requirements of this chapter and except as 84036
provided in division (A)(2) of this section in regard to a person 84037
whose temporary residence is in this state, every commercial 84038
driver's license shall be renewable ninety days before its 84039
expiration upon payment of the fees required by section 4506.08 of 84040
the Revised Code. Each person applying for renewal of a commercial 84041
driver's license shall complete the application form prescribed by 84042
section 4506.07 of the Revised Code and shall provide all 84043
certifications required. If the person wishes to retain an84044
endorsement authorizing the person to transport hazardous 84045
materials, the person shall take and successfully complete the 84046
written test for the endorsement and shall submit to any 84047
background check required by federal law.84048

       (D) Each person licensed as a driver under this chapter shall 84049
notify the registrar of any change in the person's address within 84050
ten days following that change. The notification shall be in 84051
writing on a form provided by the registrar and shall include the 84052
full name, date of birth, license number, county of residence,84053
social security number, and new address of the person.84054

       (E) Whoever violates division (D) of this section is guilty84055
of a minor misdemeanor.84056

       Sec. 4506.15.  (A) No person shall do any of the following:84057

       (1) Drive a commercial motor vehicle while having a84058
measurable or detectable amount of alcohol or of a controlled84059
substance in the person's blood, breath, or urine;84060

       (2) Drive a commercial motor vehicle while having an alcohol84061
concentration of four-hundredths of one per cent or more;84062

       (3) Drive a commercial motor vehicle while under the84063
influence of a controlled substance;84064

       (4) Knowingly leave the scene of an accident involving a84065
commercial motor vehicle driven by the person;84066

       (5) Use a commercial motor vehicle in the commission of a84067
felony;84068

       (6) Refuse to submit to a test under section 4506.17 of the84069
Revised Code;84070

       (7) Violate an out-of-service order issued under this84071
chapter;84072

       (8) Violate any prohibition described in divisions (A)(2) to84073
(7) of this section while transporting hazardous materials;84074

       (9) Use a commercial motor vehicle in the commission of a84075
felony involving the manufacture, distribution, or dispensing of a84076
controlled substance as defined in section 3719.01 of the Revised84077
Code;84078

       (10) Drive a commercial motor vehicle in violation of any84079
provision of sections 4511.61 to 4511.63 of the Revised Code or84080
any federal or local law or ordinance pertaining to84081
railroad-highway grade crossings.84082

       (B) Whoever violates this section is guilty of a misdemeanor84083
of the first degree.84084

       Sec. 4506.16.  (A) Whoever violates division (A)(1) of84085
section 4506.15 of the Revised Code or a similar law of another84086
state or a foreign jurisdiction, immediately shall be placed84087
out-of-service for twenty-four hours, in addition to any84088
disqualification required by this section and any other penalty84089
imposed by the Revised Code.84090

       (B) The registrar of motor vehicles shall disqualify any84091
person from operating a commercial motor vehicle as follows:84092

       (1) Subject to division (B)(4) of this section, uponUpon a84093
first conviction for a violation of any provision of divisions84094
(A)(2) to (7) of section 4506.15 of the Revised Code or a similar84095
law of another state or a foreign jurisdiction, one year, in84096
addition to any other penalty imposed by the Revised Code;84097

       (2) Upon a first conviction for a violation of division84098
(A)(8) of section 4506.15 of the Revised Code or a similar law of84099
another state or a foreign jurisdiction, three years, in addition84100
to any other penalty imposed by the Revised Code;84101

       (3) Uponand upon a second conviction for a violation of any84102
provision of divisions (A)(2) to (7) of section 4506.15 of the84103
Revised Code or a similar law of another state or a foreign84104
jurisdiction, or any combination of such violations arising from84105
two or more separate incidents, the person shall be disqualified84106
for life or for any other period of time as determined by the84107
United States secretary of transportation and designated by the84108
director of public safety by rule, in addition to any other84109
penalty imposed by the Revised Code;84110

       (4)(2) Upon a first conviction for a violation of division84111
(A)(8) of section 4506.15 of the Revised Code or a similar law of84112
another state or a foreign jurisdiction, three years;84113

       (3) Upon conviction of a violation of division (A)(5)(9) of84114
section 4506.15 of the Revised Code or a similar law of another84115
state or a foreign jurisdiction in connection with the84116
manufacture, distribution, or dispensing of a controlled substance84117
or the possession with intent to manufacture, distribute, or84118
dispense a controlled substance, the person shall be disqualified84119
for life, in addition to any other penalty imposed by the Revised84120
Code;84121

       (4) Upon a first conviction for a violation of division 84122
(A)(10) of section 4506.15 of the Revised Code or a similar law of 84123
another state or a foreign jurisdiction, occurring in a three-year 84124
period, the person shall be disqualified for not less than sixty 84125
days, upon a second conviction occurring in the three-year period, 84126
the person shall be disqualified for not less than one hundred 84127
twenty days, and upon a subsequent conviction occurring within a84128
three-year period, the person shall be disqualified for not less84129
than one year;84130

       (5) Upon conviction of two serious traffic violations84131
involving the operation of a commercial motor vehicle by the84132
person and arising from separate incidents occurring in a84133
three-year period, the person shall be disqualified for sixty84134
days, in addition to any other penalty imposed by the Revised84135
Code;84136

       (6) Upon conviction of three serious traffic violations84137
involving the operation of a commercial motor vehicle by the84138
person and arising from separate incidents occurring in a84139
three-year period, the person shall be disqualified for one84140
hundred twenty days, in addition to any other penalty imposed by84141
the Revised Code.84142

       (C) For the purposes of this section, conviction of a84143
violation for which disqualification is required may be evidenced84144
by any of the following:84145

       (1) A judgment entry of a court of competent jurisdiction in84146
this or any other state;84147

       (2) An administrative order of a state agency of this or any84148
other state having statutory jurisdiction over commercial drivers;84149

       (3) A computer record obtained from or through the commercial 84150
driver's license information system;84151

       (4) A computer record obtained from or through a state agency 84152
of this or any other state having statutory jurisdiction over 84153
commercial drivers or the records of commercial drivers.84154

       (D) Any record described in division (C) of this section84155
shall be deemed to be self-authenticating when it is received by84156
the bureau of motor vehicles.84157

       (E) When disqualifying a driver, the registrar shall cause84158
the records of the bureau to be updated to reflect that action84159
within ten days after it occurs.84160

       (F) The registrar immediately shall notify a driver who is84161
finally convicted of any offense described in section 4506.15 of84162
the Revised Code or division (B)(3), (4), (5), or (6) of this 84163
section and thereby is subject to disqualification, of the offense 84164
or offenses involved, of the length of time for which84165
disqualification is to be imposed, and that the driver may request84166
a hearing within thirty days of the mailing of the notice to show84167
cause why the driver should not be disqualified from operating a84168
commercial motor vehicle. If a request for such a hearing is not84169
made within thirty days of the mailing of the notice, the order of84170
disqualification is final. The registrar may designate hearing84171
examiners who, after affording all parties reasonable notice,84172
shall conduct a hearing to determine whether the disqualification84173
order is supported by reliable evidence. The registrar shall adopt 84174
rules to implement this division.84175

       (G) Any person who is disqualified from operating a84176
commercial motor vehicle under this section may apply to the84177
registrar for a driver's license to operate a motor vehicle other84178
than a commercial motor vehicle, provided the person's commercial84179
driver's license is not otherwise suspended. A person whose84180
commercial driver's license is suspended shall not apply to the84181
registrar for or receive a driver's license under Chapter 4507. of84182
the Revised Code during the period of suspension.84183

       (H) The disqualifications imposed under this section are in84184
addition to any other penalty imposed by the Revised Code.84185

       Sec. 4506.20.  (A) Each employer shall require every84186
applicant for employment as a driver of a commercial motor vehicle84187
to provide the information specified in section 4506.20 of the84188
Revised Code.84189

       (B) No employer shall knowingly permit or authorize any84190
driver employed by the employer to drive a commercial motor84191
vehicle during any period in which any of the following apply:84192

       (1) The driver's commercial driver's license is suspended,84193
revoked, or canceled by any state or a foreign jurisdiction;84194

       (2) The driver has lost the privilege to drive, or currently 84195
is disqualified from driving, a commercial motor vehicle in any 84196
state or foreign jurisdiction;84197

       (3) The driver is subject to an out-of-service order in any84198
state or foreign jurisdiction;84199

       (4) The driver has more than one driver's license.84200

       (C) No employer shall knowingly permit or authorize a driver 84201
to operate a commercial motor vehicle in violation of section 84202
4506.15 of the Revised Code.84203

       (D)(1) Whoever violates division (A) or (B) of this section 84204
is guilty of a misdemeanor of the first degree.84205

       (2) Whoever violates division (C) of this section may be 84206
assessed a fine not to exceed ten thousand dollars.84207

       Sec. 4511.33.  (A) Whenever any roadway has been divided into84208
two or more clearly marked lanes for traffic, or wherever within84209
municipal corporations traffic is lawfully moving in two or more84210
substantially continuous lines in the same direction, the84211
following rules apply:84212

       (1) A vehicle or trackless trolley shall be driven, as nearly 84213
as is practicable, entirely within a single lane or line of84214
traffic and shall not be moved from such lane or line until the84215
driver has first ascertained that such movement can be made with84216
safety.84217

       (2) Upon a roadway which is divided into three lanes and84218
provides for two-way movement of traffic, a vehicle or trackless84219
trolley shall not be driven in the center lane except when84220
overtaking and passing another vehicle or trackless trolley where84221
the roadway is clearly visible and such center lane is clear of84222
traffic within a safe distance, or when preparing for a left turn,84223
or where such center lane is at the time allocated exclusively to84224
traffic moving in the direction the vehicle or trackless trolley84225
is proceeding and is posted with signs to give notice of such84226
allocation.84227

       (3) Official signs may be erected directing specified traffic 84228
to use a designated lane or designating those lanes to be used by 84229
traffic moving in a particular direction regardless of the center 84230
of the roadway, or restricting the use of a particular lane to 84231
only buses during certain hours or during all hours, and drivers 84232
of vehicles and trackless trolleys shall obey the directions of 84233
such signs.84234

       (4) Official traffic control devices may be installed84235
prohibiting the changing of lanes on sections of roadway and84236
drivers of vehicles shall obey the directions of every such84237
device.84238

       (B) Except as otherwise provided in this division, whoever84239
violates this section is guilty of a minor misdemeanor. If, within 84240
one year of the offense, the offender previously has been84241
convicted of or pleaded guilty to one predicate motor vehicle or84242
traffic offense, whoever violates this section is guilty of a84243
misdemeanor of the fourth degree. If, within one year of the84244
offense, the offender previously has been convicted of two or more84245
predicate motor vehicle or traffic offenses, whoever violates this84246
section is guilty of a misdemeanor of the third degree.84247

       Sec. 4511.62.  (A)(1) Whenever any person driving a vehicle84248
or trackless trolley approaches a railroad grade crossing, the84249
person shall stop within fifty feet, but not less than fifteen84250
feet from the nearest rail of the railroad if any of the following84251
circumstances exist at the crossing:84252

       (a) A clearly visible electric or mechanical signal device84253
gives warning of the immediate approach of a train.84254

       (b) A crossing gate is lowered.84255

       (c) A flagperson gives or continues to give a signal of the84256
approach or passage of a train.84257

       (d) There is insufficient space on the other side of the84258
railroad grade crossing to accommodate the vehicle or trackless84259
trolley the person is operating without obstructing the passage of84260
other vehicles, trackless trolleys, pedestrians, or railroad84261
trains, notwithstanding any traffic control signal indication to84262
proceed.84263

       (e) An approaching train is emitting an audible signal or is84264
plainly visible and is in hazardous proximity to the crossing.84265

       (f) There is insufficient undercarriage clearance to safely 84266
negotiate the crossing.84267

       (2) A person who is driving a vehicle or trackless trolley84268
and who approaches a railroad grade crossing shall not proceed as84269
long as any of the circumstances described in divisions (A)(1)(a)84270
to (e)(f) of this section exist at the crossing.84271

       (B) No person shall drive any vehicle through, around, or84272
under any crossing gate or barrier at a railroad crossing while84273
the gate or barrier is closed or is being opened or closed unless84274
the person is signaled by a law enforcement officer or flagperson84275
that it is permissible to do so.84276

       (C) Whoever violates this section is guilty of a misdemeanor84277
of the fourth degree.84278

       Sec. 4511.63.  (A) The operator of any motor vehicle or84279
trackless trolley, carrying passengers, for hire, of any school84280
bus, any vehicle described in division (C) of this section, or of84281
any vehicle carrying explosives or flammable liquids as84282
transporting a cargo or as such part of a cargo asmaterial or 84283
materials required to constitute a hazardbe placarded under 49 84284
C.F.R. Parts 100-185, before crossing at grade any track of a 84285
railroad, shall stop the vehicle or trackless trolley and, while 84286
so stopped, shall listen through an open door or open window and 84287
look in both directions along the track for any approaching train, 84288
and for signals indicating the approach of a train, and shall 84289
proceed only upon exercising due care after stopping, looking, and 84290
listening as required by this section. Upon proceeding, the 84291
operator of such a vehicle shall cross only in a gear that will 84292
ensure there will be no necessity for changing gears while 84293
traversing the crossing and shall not shift gears while crossing 84294
the tracks.84295

       (B) This section does not apply at any of the following:84296

       (1) Streetstreet railway grade crossings within a municipal84297
corporation, or to abandoned tracks, spur tracks, side tracks, and84298
industrial tracks when the public utilities commission has84299
authorized and approved the crossing of the tracks without making84300
the stop required by this section;84301

       (2) Through June 30, 1995, a street railway grade crossing84302
where out-of-service signs are posted in accordance with section84303
4955.37 of the Revised Code.84304

       (C) This section applies to any vehicle used for the84305
transportation of pupils to and from a school or school-related84306
function if the vehicle is owned or operated by, or operated under84307
contract with, a public or nonpublic school.84308

       (D) For purposes of this section, "bus" means any vehicle84309
originally designed by its manufacturer to transport sixteen or84310
more passengers, including the driver, or carries sixteen or more84311
passengers, including the driver.84312

       (E) Except as otherwise provided in this division, whoever84313
violates this section is guilty of a minor misdemeanor. If the84314
offender previously has been convicted of or pleaded guilty to one84315
or more violations of this section or section 4511.76, 4511.761,84316
4511.762, 4511.764, 4511.77, or 4511.79 of the Revised Code or a84317
municipal ordinance that is substantially similar to any of those84318
sections, whoever violates this section is guilty of a misdemeanor84319
of the fourth degree.84320

       Sec. 4511.75.  (A) The driver of a vehicle, streetcar, or84321
trackless trolley upon meeting or overtaking from either direction84322
any school bus stopped for the purpose of receiving or discharging84323
any school child, person attending programs offered by community84324
boards of mental health and county boards of mental retardation84325
and developmental disabilities, or child attending a program84326
offered by a head start agency, shall stop at least ten feet from84327
the front or rear of the school bus and shall not proceed until84328
such school bus resumes motion, or until signaled by the school84329
bus driver to proceed.84330

       It is no defense to a charge under this division that the84331
school bus involved failed to display or be equipped with an84332
automatically extended stop warning sign as required by division84333
(B) of this section.84334

       (B) Every school bus shall be equipped with amber and red84335
visual signals meeting the requirements of section 4511.771 of the84336
Revised Code, and an automatically extended stop warning sign of a84337
type approved by the state board of education, which shall be84338
actuated by the driver of the bus whenever but only whenever the84339
bus is stopped or stopping on the roadway for the purpose of84340
receiving or discharging school children, persons attending84341
programs offered by community boards of mental health and county84342
boards of mental retardation and developmental disabilities, or84343
children attending programs offered by head start agencies. A84344
school bus driver shall not actuate the visual signals or the stop84345
warning sign in designated school bus loading areas where the bus84346
is entirely off the roadway or at school buildings when children84347
or persons attending programs offered by community boards of84348
mental health and county boards of mental retardation and84349
developmental disabilities are loading or unloading at curbside or84350
at buildings when children attending programs offered by head84351
start agencies are loading or unloading at curbside. The visual84352
signals and stop warning sign shall be synchronized or otherwise84353
operated as required by rule of the board.84354

       (C) Where a highway has been divided into four or more84355
traffic lanes, a driver of a vehicle, streetcar, or trackless84356
trolley need not stop for a school bus approaching from the84357
opposite direction which has stopped for the purpose of receiving84358
or discharging any school child, persons attending programs84359
offered by community boards of mental health and county boards of84360
mental retardation and developmental disabilities, or children84361
attending programs offered by head start agencies. The driver of84362
any vehicle, streetcar, or trackless trolley overtaking the school84363
bus shall comply with division (A) of this section.84364

       (D) School buses operating on divided highways or on highways 84365
with four or more traffic lanes shall receive and discharge all 84366
school children, persons attending programs offered by community 84367
boards of mental health and county boards of mental retardation 84368
and developmental disabilities, and children attending programs 84369
offered by head start agencies on their residence side of the 84370
highway.84371

       (E) No school bus driver shall start the driver's bus until84372
after any child, person attending programs offered by community84373
boards of mental health and county boards of mental retardation84374
and developmental disabilities, or child attending a program84375
offered by a head start agency who may have alighted therefrom has84376
reached a place of safety on the child's or person's residence84377
side of the road.84378

       (F)(1) Whoever violates division (A) of this section may be84379
fined an amount not to exceed five hundred dollars. A person who84380
is issued a citation for a violation of division (A) of this84381
section is not permitted to enter a written plea of guilty and84382
waive the person's right to contest the citation in a trial but84383
instead must appear in person in the proper court to answer the84384
charge.84385

       (2) In addition to and independent of any other penalty84386
provided by law, the court or mayor may impose upon an offender84387
who violates this section a class seven suspension of the84388
offender's driver's license, commercial driver's license,84389
temporary instruction permit, probationary license, or nonresident84390
operating privilege from the range specified in division (A)(7) of84391
section 4510.02 of the Revised Code. When a license is suspended84392
under this section, the court or mayor shall cause the offender to84393
deliver the license to the court, and the court or clerk of the84394
court immediately shall forward the license to the registrar of84395
motor vehicles, together with notice of the court's action.84396

       (G) As used in this section:84397

       (1) "Head start agency" has the same meaning as in division84398
(A)(1) of section 3301.31 of the Revised Code.84399

       (2) "School bus," as used in relation to children who attend84400
a program offered by a head start agency, means a bus that is84401
owned and operated by a head start agency, is equipped with an84402
automatically extended stop warning sign of a type approved by the84403
state board of education, is painted the color and displays the84404
markings described in section 4511.77 of the Revised Code, and is84405
equipped with amber and red visual signals meeting the84406
requirements of section 4511.771 of the Revised Code, irrespective84407
of whether or not the bus has fifteen or more children aboard at84408
any time. "School bus" does not include a van owned and operated84409
by a head start agency, irrespective of its color, lights, or84410
markings.84411

       Section 3.14. That the existing versions of sections 307.93, 84412
2152.19, 2301.02, 2301.03, 2743.191, 2743.51, 2929.38, 4506.14, 84413
4506.15, 4506.16, 4506.20, 4511.33, 4511.62, 4511.63, and 4511.75 84414
of the Revised Code that are scheduled to take effect January 1, 84415
2004, are hereby repealed.84416

       Section 3.15. Sections 3.13 and 3.14 of this act take effect 84417
January 1, 2004, except section 4511.75 of the Revised Code, as 84418
amended in those sections of this act, takes effect July 1, 2004. 84419
The amendment of section 4511.75 of the Revised Code by those 84420
sections of this act is not intended to supersede the amendment of 84421
the version of section 4511.75 of the Revised Code that is 84422
scheduled to take effect January 1, 2004.84423

       Section 3.16. That the version of section 5739.033 of the 84424
Revised Code as it results from Am. Sub. S.B. 143 of the 124th 84425
General Assembly, as amended by H.B. 675 of the 124th General 84426
Assembly, be amended to read as follows:84427

       Sec. 5739.033.  The amount of tax due pursuant to sections84428
5739.02, 5739.021, 5739.023, and 5739.026 of the Revised Code is84429
the sum of the taxes imposed pursuant to those sections at the84430
situssourcing location of the sale as determined under this84431
section or, if applicable, under division (C) of section 5739.031 84432
or section 5739.034 of the Revised Code. This section applies only 84433
to a vendor's or seller's obligation to collect and remit sales 84434
taxes under section 5739.02, 5739.021, 5739.023, or 5739.026 of 84435
the Revised Code or use taxes under section 5741.02, 5741.021, 84436
5741.022, or 5741.023 of the Revised Code. This section does not 84437
affect the obligation of a consumer to remit use taxes on the 84438
storage, use, or other consumption of tangible personal property 84439
or on the benefit realized of any service provided, to the 84440
jurisdiction of that storage, use, or consumption, or benefit 84441
realized.84442

       (A) Except for sales, other than leases, of titled motor 84443
vehicles, titled watercraft, or titled outboard motors as provided 84444
in section 5741.05 of the Revised Code, or as otherwise provided 84445
in this section and section 5739.034 of the Revised Code, the 84446
situs of all sales is the vendor's place of business.shall be 84447
sourced as follows:84448

       (1) If the consumer or the consumer'sa donee designated by 84449
the consumer receives tangible personal property or a service at a 84450
vendor's place of business of the vendor, the situs of the sale is84451
shall be sourced to that place of business.84452

       (2) When the tangible personal property or service is not84453
received at a vendor's place of business, the situs of the sale is84454
shall be sourced to the location known to the vendor where the 84455
consumer or athe donee designated by the consumer receives the84456
tangible personal property or service, including the location84457
indicated by instructions for delivery to the consumer or the84458
consumer's donee, known to the vendor.84459

       (3) If divisions (A)(1) and (2) of this section do not apply, 84460
the situs of the sale isshall be sourced to the location 84461
indicated by an address for the consumer that is available from 84462
the vendor's business records of the vendor that are maintained in 84463
the ordinary course of the vendor's business, when use of that 84464
address does not constitute bad faith.84465

       (4) If divisions (A)(1), (2), and (3) of this section do not84466
apply, the situs of the sale isshall be sourced to the location 84467
indicated by an address for the consumer obtained during the 84468
consummation of the sale, including the address associated with 84469
the consumer's payment instrument, if no other address is 84470
available, when use of that address does not constitute bad faith.84471

       (5) If divisions (A)(1), (2), (3), and (4) of this section do 84472
not apply, including in the circumstance where the vendor is84473
without sufficient information to apply any of those divisions,84474
the situs of the sale isshall be sourced to the address from 84475
which tangible personal property was shipped, or from which the 84476
service was provided, disregarding any location that merely 84477
provided the electronic transfer of the property sold or service 84478
provided.84479

       (6) As used in division (A) of this section, "receive" means84480
taking possession of tangible personal property or making first84481
use of a service. "Receive" does not include possession by a84482
shipping company on behalf of a consumer.84483

       (B)(1) Notwithstanding divisions (A)(1) to (5) of this84484
section, a manufacturer or other consumer that is not a holder of84485
a direct payment permit granted under section 5739.031 of the84486
Revised Code, that purchases tangible personal propertycomputer 84487
software delivered electronically or a service for use in 84488
business, and that knows at the time of purchase that the property84489
such software or service will be concurrently available for use in 84490
more than one taxing jurisdiction shall deliver to the vendor in 84491
conjunction with its purchase a multiple points of use exemption 84492
form prescribed by the tax commissioner disclosing this fact. On 84493
receipt of the multiple points of use exemption form, the vendor 84494
is relieved of its obligation to collect, pay, or remit the tax 84495
due, and the consumer must collect, pay, or remit the tax directly 84496
to the state.84497

       (2) A consumer that delivers such form to a vendor may use84498
any reasonable, consistent, and uniform method of apportioning the84499
tax due on the tangible personal propertycomputer software 84500
delivered electronically or service for use in business that is84501
supported by the consumer's business records as they existed at84502
the time of the sale.84503

       (3) The multiple points of use exemption form shall remain in 84504
effect for all future sales by the vendor to the consumer until it 84505
is revoked in writing by the consumer, except as to the consumer's 84506
specific apportionment of a subsequent sale under division (B)(2)84507
of this section and the facts existing at the time of the sale.84508

       (C) A person who holds a direct payment permit issued under84509
section 5739.031 of the Revised Code is not required to deliver a84510
multiple points of use exemption form to a vendor. But such permit 84511
holder shall comply with division (B)(2) of this section in84512
apportioning the tax due on tangible personal propertycomputer 84513
software delivered electronically or a service used in business84514
that will be concurrently available for use in more than one 84515
taxing jurisdiction.84516

       (D) Except as provided in division (F) of this section:84517

       (1) If the vendor provides a service specified in division84518
(B)(3)(f) or (i) of section 5739.01 of the Revised Code, the situs84519
of the sale is the location of the telephone number or account as84520
reflected in the records of the vendor.84521

       (2) In the case of a telecommunications service, if the84522
telephone number or account is located outside this state, the84523
situs of the sale is the location in this state from which the84524
service originated(1) Notwithstanding divisions (A)(1) to (5) of 84525
this section, the purchaser of direct mail that is not a holder of 84526
a direct payment permit shall provide to the vendor in conjunction 84527
with the purchase either a direct mail form prescribed by the tax 84528
commissioner, or information to show the jurisdictions to which 84529
the direct mail is delivered to recipients.84530

       (2) Upon receipt of a direct mail form, the vendor is 84531
relieved of all obligations to collect, pay, or remit the 84532
applicable tax and the purchaser is obligated to pay that tax on a 84533
direct pay basis. A direct mail form shall remain in effect for 84534
all future sales of direct mail by the vendor to the purchaser 84535
until it is revoked in writing.84536

       (3) Upon receipt of information from the purchaser showing 84537
the jurisdictions to which the direct mail is delivered to 84538
recipients, the vendor shall collect the tax according to the 84539
delivery information provided by the purchaser. In the absence of 84540
bad faith, the vendor is relieved of any further obligation to 84541
collect tax on any transaction where the vendor has collected tax 84542
pursuant to the delivery information provided by the purchaser.84543

       (4) If the purchaser of direct mail does not have a direct 84544
payment permit and does not provide the vendor with either a 84545
direct mail form or delivery information as required by division 84546
(D)(1) of this section, the vendor shall collect the tax according 84547
to division (A)(5) of this section. Nothing in division (D)(4) of 84548
this section shall limit a purchaser's obligation to pay sales or 84549
use tax to any state to which the direct mail is delivered.84550

       (5) If a purchaser of direct mail provides the vendor with 84551
documentation of direct payment authority, the purchaser shall not 84552
be required to provide a direct mail form or delivery information 84553
to the vendor.84554

       (E) If the vendor provides lodging to transient guests as84555
specified in division (B)(2) of section 5739.01 of the Revised84556
Code, the situs of the sale isshall be sourced to the location 84557
where the lodging is located.84558

       (F) Except as otherwise provided in this division, if the84559
vendor sells a prepaid authorization number or a prepaid telephone84560
calling card, the situs of the sale is the vendor's place of84561
business and shall be taxed at the time of sale. If the vendor84562
sells a prepaid authorization number or prepaid telephone calling84563
card through a telephone call, electronic commerce, or any other84564
form of remote commerce, the situs of the sale is the consumer's84565
shipping address, or, if there is no item shipped, at the84566
consumer's billing address(1) As used in this division and 84567
division (G) of this section, "transportation equipment" means any 84568
of the following:84569

        (a) Locomotives and railcars that are utilized for the 84570
carriage of persons or property in interstate commerce.84571

        (b) Trucks and truck-tractors with a gross vehicle weight 84572
rating of greater than ten thousand pounds, trailers, 84573
semi-trailers, or passenger buses that are registered through the 84574
international registration plan and are operated under authority 84575
of a carrier authorized and certificated by the United States 84576
department of transportation or another federal authority to 84577
engage in the carriage of persons or property in interstate 84578
commerce.84579

        (c) Aircraft that are operated by air carriers authorized and 84580
certificated by the United States department of transportation or 84581
another federal authority to engage in the carriage of persons or 84582
property in interstate or foreign commerce.84583

        (d) Containers designed for use on and component parts 84584
attached to or secured on the items set forth in division 84585
(F)(1)(a), (b), or (c) of this section.84586

        (2) A sale, lease, or rental of transportation equipment 84587
shall be sourced pursuant to division (A) of this section.84588

        (G)(1) A lease or rental of tangible personal property that 84589
does not require recurring periodic payments shall be sourced 84590
pursuant to division (A) of this section.84591

        (2) A lease or rental of tangible personal property that 84592
requires recurring periodic payments shall be sourced as follows:84593

        (a) In the case of a motor vehicle, other than a motor 84594
vehicle that is transportation equipment, such lease or rental 84595
shall be sourced to the primary property location as follows:84596

        (i) For a lease or rental taxed pursuant to division (A)(2) 84597
of section 5739.02 of the Revised Code, the primary property 84598
location is the address of the lessee or renter used for titling 84599
the motor vehicle pursuant to section 4505.06 of the Revised Code 84600
at the time the lease or rental is consummated.84601

        (ii) For a lease or rental taxed pursuant to division (A)(3) 84602
of section 5739.02 of the Revised Code, the primary property 84603
location for each lease or rental installment is the primary 84604
property location for the period covered by the installment.84605

        (b) In the case of an aircraft, other than an aircraft that 84606
is transportation equipment, such lease or rental shall be sourced 84607
to the primary property location as follows:84608

        (i) For a lease or rental taxed pursuant to division (A)(2) 84609
of section 5739.02 of the Revised Code, the primary property 84610
location is the primary property location at the time the lease or 84611
rental is consummated.84612

        (ii) For a lease or rental taxed pursuant to division (A)(3) 84613
of section 5739.02 of the Revised Code, the primary property 84614
location for each lease or rental installment is the primary 84615
property location for the period covered by the installment.84616

        (c) In the case of a watercraft or an outboard motor required 84617
to be titled in this state pursuant to Chapter 1548. of the 84618
Revised Code, such lease or rental shall be sourced to the primary 84619
property location as follows:84620

        (i) For a lease or rental taxed pursuant to division (A)(2) 84621
of section 5739.02 of the Revised Code, the primary property 84622
location is the address of the lessee or renter shown on the 84623
title.84624

        (ii) For a lease or rental taxed pursuant to division (A)(3) 84625
of section 5739.02 of the Revised Code, the primary property 84626
location for the initial lease or rental installment is the 84627
address of the lessee or renter shown on the title. For each 84628
subsequent installment, the primary property location is the 84629
primary property location for the period covered by the 84630
installment.84631

        (d) In the case of a lease or rental of all other tangible 84632
personal property, other than transportation equipment, such lease 84633
or rental shall be sourced as follows:84634

        (i) For a lease or rental that is taxed pursuant to division 84635
(A)(2) of section 5739.02 of the Revised Code, the lease or rental 84636
shall be sourced pursuant to division (A) of this section at the 84637
time the lease or rental is consummated.84638

        (ii) For a lease or rental that is taxed pursuant to division 84639
(A)(3) of section 5739.02 of the Revised Code, the initial lease 84640
or rental installment shall be sourced pursuant to division (A) of 84641
this section. Each subsequent installment shall be sourced to the 84642
primary property location for the period covered by the 84643
installment.84644

        (3) As used in division (G) of this section, "primary 84645
property location" means an address for tangible personal property 84646
provided by the lessee or renter that is available to the lessor 84647
or owner from its records maintained in the ordinary course of 84648
business, when use of that address does not constitute bad faith.84649

       Section 3.17. That the existing version of section 5739.033 84650
of the Revised Code as it results from Am. Sub. S.B. 143 of the 84651
124th General Assembly, as amended by H.B. 675 of the 124th 84652
General Assembly, is hereby repealed.84653

       Section 3.18. The amendments in Sections 3.16 and 3.17 of 84654
this act provide for or are essential to the implementation of a 84655
tax levy. Therefore, under Ohio Constitution, Article II, Section 84656
1d, those Sections are not subject to the referendum and go into 84657
effect January 1, 2004.84658

       Section 3.19. Section 4723.063 of the Revised Code is hereby 84659
repealed, effective December 31, 2013.84660

       Section 3.20. That the version of section 5101.28 of the 84661
Revised Code that is scheduled to take effect January 1, 2004, be 84662
amended to read as follows:84663

       Sec. 5101.28.  (A) The department of job and family services84664
shall enter into written agreements with law enforcement agencies84665
to exchange, obtain, or share(1) On request of the department of 84666
job and family services or a county agency, a law enforcement 84667
agency shall provide information regarding public assistance 84668
recipients to enable the department,or county agencies, and law 84669
enforcement agenciesagency to determine, for eligibility 84670
purposes, whether a recipient or a member of a recipient's 84671
assistance group is either of the following:84672

       (1) Aa fugitive felon;84673

       (2) Violatingfelon or violating a condition of probation, a 84674
community control sanction, parole, or a post-release control 84675
sanction imposed under state or federal law.84676

       (2) A county agency may enter into a written agreement with a 84677
local law enforcement agency establishing procedures concerning 84678
access to information and providing for compliance with division 84679
(F) of this section.84680

       (B) TheTo the extent permitted by federal law, the84681
department and county agencies shall provide information, except 84682
information directly related to the receipt of medical assistance 84683
or medical services, regarding recipients of public assistance84684
under a program administered by the state department or a county 84685
agency pursuant to Chapter 5107., 5108., or 5115. of the Revised 84686
Code to law enforcement agencies on request for the purposes of84687
investigations, prosecutions, and criminal and civil proceedings84688
that are within the scope of the law enforcement agencies'84689
official duties.84690

       (C) Information about a recipient shall be exchanged,84691
obtained, or shared only if the department, county agency, or law84692
enforcement agency requesting the information gives sufficient84693
information to specifically identify the recipient. In addition to 84694
the recipient's name, identifying information may include the84695
recipient's current or last known address, social security number,84696
other identifying number, age, gender, physical characteristics,84697
any information specified in an agreement entered into under84698
division (A) of this section, or any information considered84699
appropriate by the department or agency.84700

       (D)(1) The department and its officers and employees are not84701
liable in damages in a civil action for any injury, death, or loss84702
to person or property that allegedly arises from the release of84703
information in accordance with divisions (A), (B), and (C) of this84704
section. This section does not affect any immunity or defense that 84705
the department and its officers and employees may be entitled to84706
under another section of the Revised Code or the common law of84707
this state, including section 9.86 of the Revised Code.84708

       (2) The county agencies and their employees are not liable in 84709
damages in a civil action for any injury, death, or loss to person 84710
or property that allegedly arises from the release of information 84711
in accordance with divisions (A), (B), and (C) of this section. 84712
"Employee" has the same meaning as in division (B) of section 84713
2744.01 of the Revised Code. This section does not affect any84714
immunity or defense that the county agencies and their employees 84715
may be entitled to under another section of the Revised Code or 84716
the common law of this state, including section 2744.02 and 84717
division (A)(6) of section 2744.03 of the Revised Code.84718

       (E) To the extent permitted by federal law, the department84719
and county agencies shall provide access to information to the84720
auditor of state acting pursuant to Chapter 117. or sections84721
5101.181 and 5101.182 of the Revised Code and to any other84722
government entity authorized by or federal law to conduct an audit84723
of or similar activity involving a public assistance program.84724

       (F) The auditor of state shall prepare an annual report on84725
the outcome of the agreements required under division (A) of this84726
section. The report shall include the number of fugitive felons, 84727
probation and parole violators, and violators of community control 84728
sanctions and post-release control sanctions apprehended during 84729
the immediately preceding year as a result of the exchange of84730
information pursuant to that division. The auditor of state shall 84731
file the report with the governor, the president and minority 84732
leader of the senate, and the speaker and minority leader of the 84733
house of representatives. The state department, county agencies, 84734
and law enforcement agencies shall cooperate with the auditor of 84735
state's office in gathering the information required under this 84736
division.84737

       (G) To the extent permitted by federal law, the department of84738
job and family services, county departments of job and family84739
services, and employees of the departments may report to a public84740
children services agency or other appropriate agency information84741
on known or suspected physical or mental injury, sexual abuse or84742
exploitation, or negligent treatment or maltreatment, of a child84743
receiving public assistance, if circumstances indicate that the84744
child's health or welfare is threatened.84745

       (H) As used in this section:84746

       (1) "Community control sanction" has the same meaning as in84747
section 2929.01 of the Revised Code.84748

       (2) "Post-release control sanction" has the same meaning as84749
in section 2967.01 of the Revised Code.84750

       Section 3.21. That the existing version of section 5101.28 of 84751
the Revised Code that is scheduled to take effect January 1, 2004, 84752
is hereby repealed.84753

       Section 3.22. Sections 3.20 and 3.21 of this act shall take 84754
effect January 1, 2004.84755

       Section 3.23. That the version of section 5743.45 of the 84756
Revised Code that is scheduled to take effect January 1, 2004, be 84757
amended to read as follows:84758

       Sec. 5743.45.  (A) As used in this section, "felony" has the84759
same meaning as in section 109.511 of the Revised Code.84760

       (B) For purposes of enforcing this chapter and Chapters 84761
5728., 5735., 5739., 5741., and 5747. of the Revised Code and 84762
subject to division (C) of this section, the tax commissioner, by 84763
journal entry, may delegate any investigation powers of the 84764
commissioner to an employee of the department of taxation who has 84765
been certified by the Ohio peace officer training commission and 84766
who is engaged in the enforcement of those chapters. A separate 84767
journal entry shall be entered for each employee to whom that 84768
power is delegated. Each journal entry shall be a matter of public 84769
record and shall be maintained in an administrative portion of the84770
journal as provided for in division (L) of section 5703.05 of the84771
Revised Code. When that journal entry is completed, the employee84772
to whom it pertains, while engaged within the scope of the84773
employee's duties in enforcing the provisions of this chapter or84774
Chapter 5728., 5735., 5739., 5741., or 5747. of the Revised Code, 84775
has the power of a police officer to carry concealed weapons, make84776
arrests, and obtain warrants for violations of any provision in84777
those chapters. The commissioner, at any time, may suspend or84778
revoke the commissioner's delegation by journal entry. No employee 84779
of the department shall divulge any information acquired as a84780
result of an investigation pursuant to this chapter or Chapter 84781
5728., 5735., 5739., 5741., or 5747. of the Revised Code, except84782
as may be required by the commissioner or a court.84783

       (C)(1) The tax commissioner shall not delegate any84784
investigation powers to an employee of the department of taxation84785
pursuant to division (B) of this section on a permanent basis, on84786
a temporary basis, for a probationary term, or on other than a84787
permanent basis if the employee previously has been convicted of84788
or has pleaded guilty to a felony.84789

       (2)(a) The tax commissioner shall revoke the delegation of84790
investigation powers to an employee to whom the delegation was84791
made pursuant to division (B) of this section if that employee84792
does either of the following:84793

       (i) Pleads guilty to a felony;84794

       (ii) Pleads guilty to a misdemeanor pursuant to a negotiated84795
plea agreement as provided in division (D) of section 2929.43 of 84796
the Revised Code in which the employee agrees to surrender the 84797
certificate awarded to that employee under section 109.77 of the 84798
Revised Code.84799

       (b) The tax commissioner shall suspend the delegation of84800
investigation powers to an employee to whom the delegation was84801
made pursuant to division (B) of this section if that employee is84802
convicted, after trial, of a felony. If the employee files an84803
appeal from that conviction and the conviction is upheld by the84804
highest court to which the appeal is taken or if the employee does84805
not file a timely appeal, the commissioner shall revoke the84806
delegation of investigation powers to that employee. If the84807
employee files an appeal that results in that employee's acquittal84808
of the felony or conviction of a misdemeanor, or in the dismissal84809
of the felony charge against that employee, the commissioner shall84810
reinstate the delegation of investigation powers to that employee.84811
The suspension, revocation, and reinstatement of the delegation of84812
investigation powers to an employee under division (C)(2) of this84813
section shall be made by journal entry pursuant to division (B) of84814
this section. An employee to whom the delegation of investigation84815
powers is reinstated under division (C)(2)(b) of this section84816
shall not receive any back pay for the exercise of those84817
investigation powers unless that employee's conviction of the84818
felony was reversed on appeal, or the felony charge was dismissed,84819
because the court found insufficient evidence to convict the84820
employee of the felony.84821

       (3) Division (C) of this section does not apply regarding an84822
offense that was committed prior to January 1, 1997.84823

       (4) The suspension or revocation of the delegation of84824
investigation powers to an employee under division (C)(2) of this84825
section shall be in accordance with Chapter 119. of the Revised84826
Code.84827

       Section 3.24. That the existing version of section 5743.45 of 84828
the Revised Code that is scheduled to take effect January 1, 2004, 84829
is hereby repealed.84830

       Section 3.25. Sections 3.23 and 3.24 of this act take effect 84831
January 1, 2004.84832

       Section 3.26. Section 5111.161 of the Revised Code is hereby 84833
repealed, effective October 1, 2006.84834

       Section 4.  Except as otherwise provided, all appropriation84835
items (AI) in this act are appropriated out of any moneys in the84836
state treasury to the credit of the designated fund that are not84837
otherwise appropriated. For all appropriations made in this act,84838
the amounts in the first column are for fiscal year 2004 and the84839
amounts in the second column are for fiscal year 2005.84840

FND AI AI TITLE APPROPRIATIONS 84841

       Section 5.  ACC ACCOUNTANCY BOARD OF OHIO84842

General Services Fund Group84843

4J8 889-601 CPA Education Assistance $ 209,510 $ 209,510 84844
4K9 889-609 Operating Expenses $ 1,010,583 $ 1,055,578 84845
TOTAL GSF General Services Fund 84846
Group $ 1,220,093 $ 1,265,088 84847
TOTAL ALL BUDGET FUND GROUPS $ 1,220,093 $ 1,265,088 84848


       Section 6.  PAY ACCRUED LEAVE LIABILITY84850

Accrued Leave Liability Fund Group84851

806 995-666 Accrued Leave Fund $ 70,783,792 $ 78,296,200 84852
807 995-667 Disability Fund $ 47,269,465 $ 50,098,308 84853
TOTAL ALF Accrued Leave Liability 84854
Fund Group $ 118,053,257 $ 128,394,508 84855

Agency Fund Group84856

808 995-668 State Employee Health Benefit Fund $ 312,724,593 $ 371,450,611 84857
809 995-669 Dependent Care Spending Account $ 3,691,169 $ 4,060,286 84858
810 995-670 Life Insurance Investment Fund $ 1,925,110 $ 1,992,489 84859
811 995-671 Parental Leave Benefit Fund $ 4,350,302 $ 4,785,332 84860
TOTAL AGY Agency Fund Group $ 322,691,174 $ 382,288,718 84861

TOTAL ALL BUDGET FUND GROUPS $ 440,744,431 $ 510,683,226 84862

       ACCRUED LEAVE LIABILITY FUND84863

       The foregoing appropriation item 995-666, Accrued Leave Fund,84864
shall be used to make payments from the Accrued Leave Liability84865
Fund (Fund 806), pursuant to section 125.211 of the Revised Code.84866
If it is determined by the Director of Budget and Management that84867
additional amounts are necessary, the amounts are appropriated.84868

       STATE EMPLOYEE DISABILITY LEAVE BENEFIT FUND84869

       The foregoing appropriation item 995-667, Disability Fund,84870
shall be used to make payments from the State Employee Disability84871
Leave Benefit Fund (Fund 807), pursuant to section 124.83 of the84872
Revised Code. If it is determined by the Director of Budget and84873
Management that additional amounts are necessary, the amounts are84874
appropriated.84875

       STATE EMPLOYEE HEALTH BENEFIT FUND84876

       The foregoing appropriation item 995-668, State Employee84877
Health Benefit Fund, shall be used to make payments from the State84878
Employee Health Benefit Fund (Fund 808), pursuant to section84879
124.87 of the Revised Code. If it is determined by the Director of 84880
Budget and Management that additional amounts are necessary, the 84881
amounts are appropriated.84882

       DEPENDENT CARE SPENDING ACCOUNT84883

       The foregoing appropriation item 995-669, Dependent Care84884
Spending Account, shall be used to make payments from the84885
Dependent Care Spending Account (Fund 809) to employees eligible84886
for dependent care expenses. If it is determined by the Director84887
of Budget and Management that additional amounts are necessary,84888
the amounts are appropriated.84889

       LIFE INSURANCE INVESTMENT FUND84890

       The foregoing appropriation item 995-670, Life Insurance84891
Investment Fund, shall be used to make payments from the Life84892
Insurance Investment Fund (Fund 810) for the costs and expenses of84893
the state's life insurance benefit program pursuant to section84894
125.212 of the Revised Code. If it is determined by the Director84895
of Budget and Management that additional amounts are necessary,84896
the amounts are appropriated.84897

       PARENTAL LEAVE BENEFIT FUND84898

       The foregoing appropriation item 995-671, Parental Leave84899
Benefit Fund, shall be used to make payments from the Parental84900
Leave Benefit Fund (Fund 811) to employees eligible for parental84901
leave benefits pursuant to section 124.137 of the Revised Code. If84902
it is determined by the Director of Budget and Management that84903
additional amounts are necessary, the amounts are appropriated.84904

       Section 7.  ADJ ADJUTANT GENERAL84905

General Revenue Fund84906

GRF 745-401 Ohio Military Reserve $ 14,889 $ 15,188 84907
GRF 745-404 Air National Guard $ 1,915,177 $ 1,939,762 84908
GRF 745-409 Central Administration $ 3,976,734 $ 3,899,590 84909
GRF 745-499 Army National Guard $ 3,987,516 $ 4,086,222 84910
GRF 745-502 Ohio National Guard Unit Fund $ 100,953 $ 102,973 84911
TOTAL GRF General Revenue Fund $ 9,995,269 $ 10,043,735 84912

General Services Fund Group84913

534 745-612 Armory Improvements $ 534,304 $ 534,304 84914
536 745-620 Camp Perry/Buckeye Inn Operations $ 1,094,970 $ 1,094,970 84915
537 745-604 ONG Maintenance $ 219,826 $ 219,826 84916
TOTAL GSF General Services Fund Group $ 1,849,100 $ 1,849,100 84917

Federal Special Revenue Fund Group84918

3E8 745-628 Air National Guard Operations and Maintenance Agreement $ 11,901,459 $ 12,174,760 84919
3R8 745-603 Counter Drug Operations $ 25,000 $ 25,000 84920
3S0 745-602 Higher Ground Training $ 10,937 $ 10,937 84921
341 745-615 Air National Guard Base Security $ 2,181,960 $ 2,312,877 84922
342 745-616 Army National Guard Service Agreement $ 8,109,221 $ 8,686,892 84923
TOTAL FED Federal Special Revenue Fund Group $ 22,228,577 $ 23,210,466 84924

State Special Revenue Fund Group84925

528 745-605 Marksmanship Activities $ 66,078 $ 66,078 84926
TOTAL SSR State Special Revenue Fund Group $ 66,078 $ 66,078 84927

TOTAL ALL BUDGET FUND GROUPS $ 34,139,024 $ 35,169,379 84928


       Section 8. DAS DEPARTMENT OF ADMINISTRATIVE SERVICES84930

General Revenue Fund84931

GRF 100-402 Unemployment Compensation $ 100,000 $ 100,000 84932
GRF 100-405 Agency Audit Expenses $ 350,000 $ 350,000 84933
GRF 100-406 County & University Human Resources Services $ 400,000 $ 400,000 84934
GRF 100-410 Veterans' Records Conversion $ 19,729 $ 47,123 84935
GRF 100-417 MARCS $ 900,000 $ 900,000 84936
GRF 100-418 Digital Government $ 3,446,645 $ 3,643,649 84937
GRF 100-419 Network Security $ 3,000,000 $ 1,000,000 84938
GRF 100-421 OAKS Project Implementation $ 450,000 $ 450,000 84939
GRF 100-433 State of Ohio Computer Center $ 4,936,073 $ 4,991,719 84940
GRF 100-439 Equal Opportunity Certification Programs $ 661,531 $ 661,531 84941
GRF 100-447 OBA - Building Rent Payments $ 105,675,000 $ 117,027,700 84942
GRF 100-448 OBA - Building Operating Payments $ 25,445,550 $ 26,003,250 84943
GRF 100-449 DAS - Building Operating Payments $ 4,264,675 $ 4,460,417 84944
GRF 100-451 Minority Affairs $ 50,000 $ 50,000 84945
GRF 100-734 Major Maintenance - State Bldgs $ 45,000 $ 45,000 84946
GRF 102-321 Construction Compliance $ 1,250,000 $ 1,250,000 84947
GRF 130-321 State Agency Support Services $ 2,778,000 $ 2,522,000 84948
TOTAL GRF General Revenue Fund $ 153,772,203 $ 163,902,389 84949

General Services Fund Group84950

112 100-616 Director's Office $ 5,503,547 $ 5,503,547 84951
115 100-632 Central Service Agency $ 431,176 $ 448,574 84952
117 100-644 General Services Division - Operating $ 7,622,861 $ 8,653,304 84953
122 100-637 Fleet Management $ 4,169,589 $ 4,352,849 84954
125 100-622 Human Resources Division - Operating $ 21,489,800 $ 21,764,800 84955
127 100-627 Vehicle Liability Insurance $ 3,363,894 $ 3,344,644 84956
128 100-620 Collective Bargaining $ 3,410,952 $ 3,410,952 84957
130 100-606 Risk Management Reserve $ 217,904 $ 223,904 84958
131 100-639 State Architect's Office $ 6,510,117 $ 6,473,867 84959
132 100-631 DAS Building Management $ 10,921,019 $ 10,721,430 84960
188 100-649 Equal Opportunity Division - Operating $ 1,082,353 $ 1,103,697 84961
201 100-653 General Services Resale Merchandise $ 1,533,000 $ 1,553,000 84962
210 100-612 State Printing $ 6,160,200 $ 6,674,421 84963
4P3 100-603 Departmental MIS Services $ 6,077,535 $ 6,233,638 84964
427 100-602 Investment Recovery $ 4,023,473 $ 3,953,216 84965
5C2 100-605 MARCS Administration $ 6,632,527 $ 9,268,178 84966
5C3 100-608 Skilled Trades $ 1,840,327 $ 1,905,655 84967
5D7 100-621 Workforce Development $ 12,000,000 $ 12,000,000 84968
5L7 100-610 Professional Development $ 2,700,000 $ 2,700,000 84969
5V6 100-619 Employee Educational Development $ 809,071 $ 811,129 84970
TOTAL GSF General Services Fund 84971
Group $ 106,499,345 $ 111,100,805 84972

Intragovernmental Service Fund Group84973

133 100-607 Information Technology Fund $ 100,987,526 $ 102,272,838 84974
4N6 100-617 Major IT Purchases $ 15,452,006 $ 10,617,166 84975
TOTAL ISF Intragovernmental 84976
Service Fund Group $ 116,439,532 $ 112,890,004 84977

Agency Fund Group84978

113 100-628 Unemployment Compensation Pass Through $ 4,200,000 $ 4,200,000 84979
124 100-629 Payroll Deductions $ 1,971,000,000 $ 2,050,000,000 84980
TOTAL AGY Agency Fund Group $ 1,975,200,000 $ 2,054,200,000 84981

Holding Account Redistribution Fund Group84982

R08 100-646 General Services Refunds $ 20,000 $ 20,000 84983
TOTAL 090 Holding Account 84984
Redistribution Fund Group $ 20,000 $ 20,000 84985
TOTAL ALL BUDGET FUND GROUPS $ 2,351,931,080 $ 2,442,113,198 84986


       Section 8.01.  AGENCY AUDIT EXPENSES84988

       The foregoing appropriation item 100-405, Agency Audit84989
Expenses, shall be used for auditing expenses designated in 84990
division (A)(1) of section 117.13 of the Revised Code for those 84991
state agencies audited on a biennial basis.84992

       Section 8.02. OHIO BUILDING AUTHORITY84993

       The foregoing appropriation item 100-447, OBA - Building Rent84994
Payments, shall be used to meet all payments at the times they are84995
required to be made during the period from July 1, 2003, to June84996
30, 2005, by the Department of Administrative Services to the Ohio84997
Building Authority pursuant to leases and agreements under Chapter84998
152. of the Revised Code, but limited to the aggregate amount of84999
$222,702,700. These appropriations are the source of funds pledged 85000
for bond service charges on obligations issued pursuant to Chapter 85001
152. of the Revised Code.85002

        The foregoing appropriation item 100-448, OBA - Building 85003
Operating Payments, shall be used to meet all payments at the 85004
times that they are required to be made during the period from85005
July 1, 2003, to June 30, 2005, by the Department of85006
Administrative Services to the Ohio Building Authority pursuant to85007
leases and agreements under Chapter 152. of the Revised Code, but85008
limited to the aggregate amount of $51,448,800.85009

       The payments to the Ohio Building Authority are for the85010
purpose of paying the expenses of agencies that occupy space in85011
the various state facilities. The Department of Administrative85012
Services may enter into leases and agreements with the Ohio85013
Building Authority providing for the payment of these expenses.85014
The Ohio Building Authority shall report to the Department of85015
Administrative Services and the Office of Budget and Management85016
not later than five months after the start of a fiscal year the85017
actual expenses incurred by the Ohio Building Authority in85018
operating the facilities and any balances remaining from payments85019
and rentals received in the prior fiscal year. The Department of85020
Administrative Services shall reduce subsequent payments by the85021
amount of the balance reported to it by the Ohio Building85022
Authority.85023

       Section 8.03.  DAS - BUILDING OPERATING PAYMENTS85024

       The foregoing appropriation item 100-449, DAS - Building85025
Operating Payments, shall be used to pay the rent expenses of85026
veterans organizations pursuant to section 123.024 of the Revised85027
Code in fiscal years 2004 and 2005.85028

       The foregoing appropriation item, 100-449, DAS - Building85029
Operating Payments, may be used to provide funding for the cost of85030
property appraisals or building studies that the Department of 85031
Administrative Services may be required to obtain for property 85032
that is being sold by the state or property under consideration to 85033
be renovated or purchased by the state.85034

       Notwithstanding section 125.28 of the Revised Code, the85035
remaining portion of the appropriation may be used to pay the85036
operating expenses of state facilities maintained by the85037
Department of Administrative Services that are not billed to85038
building tenants. These expenses may include, but are not limited85039
to, the costs for vacant space and space undergoing renovation,85040
and the rent expenses of tenants that are relocated due to85041
building renovations. These payments shall be processed by the85042
Department of Administrative Services through intrastate transfer85043
vouchers and placed in the Building Management Fund (Fund 132).85044

       Section 8.04.  CENTRAL SERVICE AGENCY FUND85045

       The Director of Budget and Management may transfer up to 85046
$423,200 in fiscal year 2004 and up to $427,700 in fiscal year85047
2005 from the Occupational Licensing and Regulatory Fund (Fund85048
4K9) to the Central Service Agency Fund (Fund 115). The Director85049
of Budget and Management may transfer up to $40,700 in fiscal year85050
2004 and up to $41,200 in fiscal year 2005 from the State Medical85051
Board Operating Fund (Fund 5C6) to the Central Service Agency Fund85052
(Fund 115). The appropriation item 100-632, Central Service85053
Agency, shall be used to purchase the necessary equipment,85054
products, and services to maintain a local area network for the85055
professional licensing boards, and to support their licensing 85056
applications in fiscal years 2004 and 2005. The amount of the cash85057
transfer is appropriated to appropriation item 100-632, Central85058
Service Agency.85059

       Section 8.05.  COLLECTIVE BARGAINING ARBITRATION EXPENSES85060

       With approval of the Director of Budget and Management, the85061
Department of Administrative Services may seek reimbursement from85062
state agencies for the actual costs and expenses the department85063
incurs in the collective bargaining arbitration process. The85064
reimbursements shall be processed through intrastate transfer85065
vouchers and placed in the Collective Bargaining Fund (Fund 128).85066

       Section 8.06. EQUAL OPPORTUNITY PROGRAM85067

       The Department of Administrative Services, with the approval85068
of the Director of Budget and Management, shall establish charges85069
for recovering the costs of administering the activities supported85070
by the State EEO Fund (Fund 188). These charges shall be deposited 85071
to the credit of the State EEO Fund (Fund 188) upon payment made 85072
by state agencies, state-supported or state-assisted institutions 85073
of higher education, and tax-supported agencies, municipal 85074
corporations, and other political subdivisions of the state, for 85075
services rendered.85076

       Section 8.07. MERCHANDISE FOR RESALE85077

       The foregoing appropriation item 100-653, General Services85078
Resale Merchandise, shall be used to account for merchandise for85079
resale, which is administered by the General Services Division. 85080
Deposits to the fund may comprise the cost of merchandise for85081
resale and shipping fees.85082

       Section 8.08.  DEPARTMENTAL MIS85083

       The foregoing appropriation item 100-603, Departmental MIS85084
Services, may be used to pay operating expenses of management85085
information systems activities in the Department of Administrative85086
Services. The Department of Administrative Services shall85087
establish charges for recovering the costs of management85088
information systems activities. These charges shall be deposited85089
to the credit of the Departmental MIS Services Fund (Fund 4P3).85090

       Notwithstanding any other language to the contrary, the85091
Director of Budget and Management may transfer up to $1,000,000 of85092
fiscal year 2004 appropriations and up to $1,000,000 of fiscal85093
year 2005 appropriations from appropriation item 100-603,85094
Departmental MIS Services, to any Department of Administrative85095
Services non-General Revenue Fund appropriation item. The85096
appropriations transferred shall be used to make payments for85097
management information systems services.85098

       Section 8.09. INVESTMENT RECOVERY FUND85099

       Notwithstanding division (B) of section 125.14 of the Revised85100
Code, cash balances in the Investment Recovery Fund (Fund 427) may 85101
be used to support the operating expenses of the Federal Surplus 85102
Operating Program created in sections 125.84 to 125.90 of the 85103
Revised Code.85104

       Notwithstanding division (B) of section 125.14 of the Revised85105
Code, cash balances in the Investment Recovery Fund may be used to85106
support the operating expenses of the State Property Inventory and85107
Fixed Assets Management System Program.85108

       Of the foregoing appropriation item 100-602, Investment85109
Recovery, up to $1,958,155 in fiscal year 2004 and up to85110
$2,049,162 in fiscal year 2005 shall be used to pay the operating85111
expenses of the State Surplus Property Program, the Surplus85112
Federal Property Program, and the State Property Inventory and85113
Fixed Assets Management System Program pursuant to Chapter 125. of85114
the Revised Code and this section. If additional appropriations85115
are necessary for the operations of these programs, the Director85116
of Administrative Services shall seek increased appropriations85117
from the Controlling Board under section 131.35 of the Revised85118
Code.85119

       Of the foregoing appropriation item 100-602, Investment85120
Recovery, $2,221,029 in fiscal year 2004 and $2,130,022 in fiscal85121
year 2005 shall be used to transfer proceeds from the sale of85122
surplus property from the Investment Recovery Fund to non-General85123
Revenue Funds pursuant to division (A)(2) of section 125.14 of the85124
Revised Code. If it is determined by the Director of85125
Administrative Services that additional appropriations are85126
necessary for the transfer of such sale proceeds, the Director of85127
Administrative Services may request the Director of Budget and85128
Management to increase the amounts. Such amounts are hereby85129
appropriated.85130

       Notwithstanding division (B) of section 125.14 of the Revised85131
Code, the Director of Budget and Management, at the request of the85132
Director of Administrative Services, shall transfer up to85133
$2,811,197 of the amounts held for transfer to the General Revenue85134
Fund from the Investment Recovery Fund to the General Services 85135
Fund (Fund 117) during the biennium beginning July 1, 2003, and 85136
ending June 30, 2005. The cash transferred to the General Services 85137
Fund shall be used to pay the operating expenses of the 85138
Competitive Sealed Proposal Program, to provide operating cash for 85139
the General Services Fund, and to provide operating cash for the 85140
newly created rate pools for Real Estate Leasing and Interior 85141
Design Services.85142

       Section 8.10. MULTI-AGENCY RADIO COMMUNICATIONS SYSTEM85143

       Notwithstanding division (B)(3) of section 4505.09 of the85144
Revised Code, the Director of Budget and Management, at the85145
request of the Director of Administrative Services, may transfer85146
up to $4,887,390 in fiscal year 2004 and $1,000,000 in fiscal year85147
2005 from the Automated Title Processing System (Fund 849) to the85148
Multi-Agency Radio Communications Systems Administration Fund 85149
(Fund 5C2). The cash transferred to the Multi-Agency Radio 85150
Communications Systems Administration Fund shall be used for the 85151
development of the MARCS system.85152

       Effective with the implementation of the Multi-Agency Radio85153
Communications System, the Director of Administrative Services85154
shall collect user fees from participants in the system. The85155
Director of Administrative Services, with the advice of the85156
Multi-Agency Radio Communications System Steering Committee and85157
the Director of Budget and Management, shall determine the amount85158
of the fees and the manner by which the fees shall be collected.85159
Such user charges shall comply with the applicable cost principles85160
issued by the federal Office of Management and Budget. All moneys85161
from user charges and fees shall be deposited in the state85162
treasury to the credit of the Multi-Agency Radio Communications85163
System Administration Fund (Fund 5C2). All interest income derived 85164
from the investment of the fund shall accrue to the fund.85165

       Section 8.11. WORKFORCE DEVELOPMENT FUND85166

       There is hereby established in the state treasury the85167
Workforce Development Fund (Fund 5D7). The foregoing appropriation 85168
item 100-621, Workforce Development, shall be used to make 85169
payments from the fund. The fund shall be under the supervision of 85170
the Department of Administrative Services, which may adopt rules 85171
with regard to administration of the fund. The fund shall be used 85172
to pay the costs of the Workforce Development Program, if any, as 85173
previously established by Article 37 of the contract between the85174
State of Ohio and OCSEA/AFSCME, Local 11, effective March 1, 2000, 85175
and as modified by any successor labor contract between the State 85176
of Ohio and OCSEA/AFSCME. The program shall be administered in 85177
accordance with the contract. Revenues shall accrue to the fund as 85178
specified in the contract. The fund may be used to pay direct and 85179
indirect costs of the program that are attributable to staff, 85180
consultants, and service providers. All income derived from the 85181
investment of the fund shall accrue to the fund.85182

       If it is determined by the Director of Administrative85183
Services that additional appropriation amounts are necessary, the85184
Director of Administrative Services may request that the Director85185
of Budget and Management increase such amounts. Such amounts are 85186
hereby appropriated.85187

       Section 8.12. PROFESSIONAL DEVELOPMENT FUND85188

       The foregoing appropriation item 100-610, Professional85189
Development, shall be used to make payments from the Professional85190
Development Fund (Fund 5L7) pursuant to section 124.182 of the85191
Revised Code.85192

       Section  8.13.  EMPLOYEE EDUCATIONAL DEVELOPMENT85193

       There is hereby established in the state treasury the 85194
Employee Educational Development Fund (Fund 5V6). The foregoing 85195
appropriation item 100-619, Employee Educational Development, 85196
shall be used to make payments from the fund. The fund shall be 85197
used to pay the costs of the administration of educational 85198
programs per existing collective bargaining agreements with 85199
District 1199, the Health Care and Social Service Union; State 85200
Council of Professional Educators; Ohio Education Association; 85201
National Education Association; the Fraternal Order of Police Ohio 85202
Labor Council, Unit 2; and the Ohio State Troopers Association, 85203
Units 1 and 15. The fund shall be under the supervision of the 85204
Department of Administrative Services, which may adopt rules with 85205
regard to administration of the fund. The fund shall be 85206
administered in accordance with the applicable sections of the 85207
collective bargaining agreements between the State and the 85208
aforementioned unions. The Department of Administrative Services, 85209
with the approval of the Director of Budget and Management, shall 85210
establish charges for recovering the costs of administering the 85211
educational programs. Receipts for these charges shall be 85212
deposited into the Employee Educational Development Fund. All 85213
income derived from the investment of the funds shall accrue to 85214
the fund.85215

       If it is determined by the Director of Administrative 85216
Services that additional appropriation amounts are necessary, the 85217
Director of Administrative Services may request that the Director 85218
of Budget and Management increase such amounts. Such amounts are 85219
hereby appropriated with the approval of the Director of Budget 85220
and Management.85221

       Upon the request of the Director of Administrative Services, 85222
the Director of Budget and Management shall transfer any cash 85223
balances attributable to educational programs per existing 85224
collective bargaining agreements with District 1199, the Health 85225
Care and Social Service Union; State Council of Professional 85226
Educators; Ohio Education Association; National Education 85227
Association; the Fraternal Order of Police Ohio Labor Council, 85228
Unit 2; and the Ohio State Troopers Association, Units 1 and 15 85229
from the Human Resources Services Fund (Fund 125) to the Employee 85230
Educational Development Fund (Fund 5V6). 85231

       Section 8.14.  MAJOR IT PURCHASES85232

       The Director of Administrative Services shall compute the85233
amount of revenue attributable to the amortization of all85234
equipment purchases and capitalized systems from appropriation 85235
item 100-607, Information Technology Fund; appropriation item85236
100-617, Major IT Purchases; and appropriation item CAP-837, Major 85237
IT Purchases, which is recovered by the Department of85238
Administrative Services as part of the rates charged by the 85239
Information Technology Fund (Fund 133) created in section 125.15 85240
of the Revised Code. The Director of Budget and Management may 85241
transfer cash in an amount not to exceed the amount of 85242
amortization computed from the Information Technology Fund (Fund 85243
133) to the Major IT Purchases Fund (Fund 4N6).85244

       Section 8.15. INFORMATION TECHNOLOGY ASSESSMENT85245

       The Director of Administrative Services, with the approval of85246
the Director of Budget and Management, may establish an85247
information technology assessment for the purpose of recovering85248
the cost of selected infrastructure and statewide programs. Such85249
assessment shall comply with applicable cost principles issued by85250
the federal Office of Management and Budget. The information 85251
technology assessment shall be charged to all organized bodies, 85252
offices, or agencies established by the laws of the state for the 85253
exercise of any function of state government except for the 85254
General Assembly, any legislative agency, the Supreme Court, the 85255
other courts of record in Ohio, or any judicial agency, the 85256
Adjutant General, the Bureau of Workers' Compensation, and 85257
institutions administered by a board of trustees. Any state-entity 85258
exempted by this section may utilize the infrastructure or 85259
statewide program by participating in the information technology 85260
assessment. All charges for the information technology assessment 85261
shall be deposited to the credit of the Information Technology 85262
Fund (Fund 133) created in section 125.15 of the Revised Code.85263

       Section 8.16. UNEMPLOYMENT COMPENSATION FUND85264

       The foregoing appropriation item 100-628, Unemployment85265
Compensation Pass Through, shall be used to make payments from the 85266
Unemployment Compensation Fund (Fund 113), pursuant to section 85267
4141.241 of the Revised Code. If it is determined that additional 85268
amounts are necessary, such amounts are hereby appropriated.85269

       Section 8.17. PAYROLL WITHHOLDING FUND85270

       The foregoing appropriation item 100-629, Payroll Deductions,85271
shall be used to make payments from the Payroll Withholding Fund85272
(Fund 124). If it is determined by the Director of Budget and85273
Management that additional appropriation amounts are necessary,85274
such amounts are hereby appropriated.85275

       Section 8.18. GENERAL SERVICES REFUNDS85276

       The foregoing appropriation item 100-646, General Services85277
Refunds, shall be used to hold bid guarantee and building plans85278
and specifications deposits until they are refunded. The Director85279
of Administrative Services may request that the Director of Budget85280
and Management transfer cash received for the costs of providing85281
the building plans and specifications to contractors from the85282
General Services Refunds Fund to the State Architect's Office Fund 85283
(Fund 131). Prior to the transfer of cash, the Director of85284
Administrative Services shall certify that such amounts are in85285
excess of amounts required for refunding deposits and are directly85286
related to costs of producing building plans and specifications.85287
If it is determined that additional appropriations are necessary,85288
such amounts are hereby appropriated.85289

       Section 8.19.  MULTI-AGENCY RADIO COMMUNICATION SYSTEM DEBT85290
SERVICE PAYMENTS85291

       The Director of Administrative Services, in consultation with85292
the Multi-Agency Radio Communication System (MARCS) Steering85293
Committee and the Director of Budget and Management, shall85294
determine the share of debt service payments attributable to85295
spending for MARCS components that are not specific to any one85296
agency and that shall be charged to agencies supported by the85297
motor fuel tax. Such share of debt service payments shall be85298
calculated for MARCS capital disbursements made beginning July 1,85299
1997. Within thirty days of any payment made from appropriation85300
item 100-447, OBA - Building Rent Payments, the Director of85301
Administrative Services shall certify to the Director of Budget85302
and Management the amount of this share. The Director of Budget85303
and Management shall transfer such amounts to the General Revenue85304
Fund from the State Highway Safety Fund (Fund 036) established in85305
section 4501.06 of the Revised Code.85306

       The Director of Administrative Services shall consider85307
renting or leasing existing tower sites at reasonable or current85308
market rates, so long as these existing sites are equipped with85309
the technical capabilities to support the MARCS project.85310

       Section 8.20. DIRECTOR'S DECLARATION OF PUBLIC EXIGENCY85311

       Whenever the Director of Administrative Services declares a85312
"public exigency," as provided in division (C) of section 123.1585313
of the Revised Code, the Director shall also notify the members of85314
the Controlling Board.85315

       Section 8.21. GENERAL SERVICE CHARGES85316

       The Department of Administrative Services, with the approval85317
of the Director of Budget and Management, shall establish charges85318
for recovering the costs of administering the programs in the85319
General Services Fund (Fund 117) and the State Printing Fund (Fund85320
210).85321

       Section 8.22. During the period beginning July 1, 2003, and 85322
ending June 30, 2005, and notwithstanding section 123.10 of the 85323
Revised Code, the Director of Administrative Services shall 85324
collect no commissions or fees in connection with any of the 85325
following:85326

       (A) A lease to which the Department of Administrative 85327
Services is a party that is in effect on the effective date of 85328
this section;85329

       (B) A lease for which negotiations have commenced between the 85330
Department and another party prior to July 1, 2003;85331

       (C) A lease regarding which the Department did not inform all 85332
interested parties prior to negotiations that the Department would 85333
be requesting real estate commissions or fees.85334

       Section 8.23. CENTRALIZED FLEET MANAGEMENT PROGRAM85335

        Of the foregoing appropriation item 130-321, State Agency 85336
Support Services, $378,000 in fiscal year 2004 and $122,000 in 85337
fiscal year 2005 shall be used for the centralized fleet 85338
management program.85339

       Section 8.24. ASSESSMENTS ON STATE AGENCIES, BOARDS, AND 85340
COMMISSIONS85341

       For fiscal year 2004 and fiscal year 2005, the Director of 85342
Administrative Services shall not increase rates, charges, or fees 85343
for centralized services provided by the Department of 85344
Administrative Services and specified in Payroll Letter 824, 85345
effective July 17, 2002. This provision shall not apply to payroll 85346
deductions for employee health, vision, and dental benefits; 85347
employers' share of pension contributions; or amounts deducted for 85348
accrued leave or disability leave. Nor shall this provision apply 85349
to charges or deductions for programs operated by the Department 85350
of Administrative Services in accordance with any collective 85351
bargaining agreement.85352

       The Director of Administrative Services shall not increase 85353
rates or charges assessed to state agencies, boards, and 85354
commissions for other centralized services provided by the General 85355
Services Division and in effect as of June 30, 2003. However, the 85356
rate charged for mail services may be adjusted to account for 85357
increases in federal postage rates.85358

       Section 9.  AAM COMMISSION ON AFRICAN AMERICAN MALES85359

General Revenue Fund85360

GRF 036-100 Personal Services $ 212,492 $ 218,610 85361
GRF 036-200 Maintenance $ 50,180 $ 50,180 85362
GRF 036-300 Equipment $ 4,000 $ 4,000 85363
GRF 036-501 CAAM Awards and Scholarships $ 8,143 $ 765 85364
GRF 036-502 Community Projects $ 25,185 $ 26,445 85365
TOTAL GRF General Revenue Fund $ 300,000 $ 300,000 85366

State Special Revenue Fund Group85367

4H3 036-601 Commission on African American Males - Gifts/Grants $ 10,000 $ 10,000 85368
TOTAL SSR State Special Revenue Fund Group $ 10,000 $ 10,000 85369
TOTAL ALL BUDGET FUND GROUPS $ 310,000 $ 310,000 85370

       COMMISSION ON AFRICAN AMERICAN MALES PROGRESS REVIEW85371

       Annually, not later than the thirty-first day of December, 85372
the Commission on African American Males shall internally prepare 85373
and submit to the chairperson and ranking minority member of the 85374
Human Services Subcommittee of the Finance and Appropriations 85375
Committee of the House of Representatives a report that 85376
demonstrates the progress that has been made toward meeting the 85377
Commission's mission statement.85378

       From the foregoing appropriations, the Commission on African 85379
American Males shall provide in each fiscal year $50,000 to the 85380
Cincinnati State Community College to purchase books and equipment 85381
in order to furnish the Cincinnati State William F. Bowen Room 85382
that will honor Ohio's African-American legislators.85383

       Section 10.  JCR JOINT COMMITTEE ON AGENCY RULE REVIEW85384

General Revenue Fund85385

GRF 029-321 Operating Expenses $ 363,769 $ 379,769 85386
TOTAL GRF General Revenue Fund $ 363,769 $ 379,769 85387
TOTAL ALL BUDGET FUND GROUPS $ 363,769 $ 379,769 85388

       OPERATING85389

       The Chief Administrative Officer of the House of85390
Representatives and the Clerk of the Senate shall determine, by85391
mutual agreement, which of them shall act as fiscal agent for the85392
Joint Committee on Agency Rule Review.85393

       Section 11.  AGE DEPARTMENT OF AGING85394

General Revenue Fund85395

GRF 490-321 Operating Expenses $ 2,308,867 $ 2,308,867 85396
GRF 490-403 PASSPORT $ 81,008,877 $ 103,746,032 85397
GRF 490-405 Golden Buckeye Card $ 297,628 $ 297,628 85398
GRF 490-406 Senior Olympics $ 16,636 $ 16,636 85399
GRF 490-409 Ohio Community Service Council Operations $ 228,048 $ 228,048 85400
GRF 490-410 Long-Term Care Ombudsman $ 729,685 $ 729,685 85401
GRF 490-411 Senior Community Services $ 11,271,431 $ 11,271,431 85402
GRF 490-412 Residential State Supplement $ 9,960,356 $ 9,960,356 85403
GRF 490-414 Alzheimers Respite $ 4,346,689 $ 4,346,689 85404
GRF 490-416 Transportation for Elderly $ 138,369 $ 138,369 85405
GRF 490-419 Prescription Drug Discount Program $ 169,986 $ 169,986 85406
GRF 490-506 Senior Volunteers $ 375,471 $ 375,471 85407
TOTAL GRF General Revenue Fund $ 110,852,043 $ 133,589,198 85408

General Services Fund Group85409

480 490-606 Senior Citizens Services Special Events $ 372,677 $ 372,677 85410
5T4 490-615 Aging Network Support $ 252,830 $ 252,830 85411
TOTAL GSF General Services Fund 85412
Group $ 625,507 $ 625,507 85413

Federal Special Revenue Fund Group85414

3C4 490-607 PASSPORT $ 142,926,054 $ 151,954,474 85415
3M3 490-611 Federal Aging Nutrition $ 25,541,095 $ 26,818,149 85416
3M4 490-612 Federal Supportive Services $ 26,305,294 $ 27,094,453 85417
3R7 490-617 Ohio Community Service Council Programs $ 8,951,150 $ 8,905,150 85418
322 490-618 Older Americans Support Services $ 12,904,949 $ 13,298,626 85419
TOTAL FED Federal Special Revenue 85420
Fund Group $ 216,628,542 $ 228,070,852 85421

State Special Revenue Fund Group85422

4C4 490-609 Regional Long-Term Care Ombudsman Program $ 829,321 $ 829,321 85423
4J4 490-610 PASSPORT/Residential State Supplement $ 33,268,052 $ 33,263,984 85424
4U9 490-602 PASSPORT Fund $ 5,500,000 $ 5,500,000 85425
5W1 490-616 Resident Services Coordinator Program $ 250,000 $ 250,000 85426
624 490-604 OCSC Community Support $ 2,500 $ 2,500 85427
TOTAL SSR State Special Revenue 85428
Fund Group $ 39,849,873 $ 39,845,805 85429
TOTAL ALL BUDGET FUND GROUPS $ 367,955,965 $ 402,131,362 85430


       Section 11.01. PRE-ADMISSION REVIEW FOR NURSING FACILITY85432
ADMISSION85433

       Pursuant to sections 5101.751 and 5101.754 of the Revised85434
Code and an interagency agreement, the Department of Job and85435
Family Services shall designate the Department of Aging to perform85436
assessments under sections 5101.75 and 5111.204 of the Revised85437
Code. Of the foregoing appropriation item 490-403, PASSPORT, the85438
Department of Aging may use not more than $2,511,309 in fiscal85439
year 2004 and $2,574,092 in fiscal year 2005 to perform the85440
assessments for persons not eligible for Medicaid in accordance85441
with the department's interagency agreement with the Department of85442
Job and Family Services and to assist individuals in planning for85443
their long-term health care needs.85444

       Section 11.02.  PASSPORT85445

       Appropriation item 490-403, PASSPORT, and the amounts set85446
aside for the PASSPORT Waiver Program in appropriation item85447
490-610, PASSPORT/Residential State Supplement, may be used to85448
assess clients regardless of Medicaid eligibility.85449

       The Director of Aging shall adopt rules under section 111.1585450
of the Revised Code governing the nonwaiver funded PASSPORT85451
program, including client eligibility.85452

       The Department of Aging shall administer the Medicaid85453
waiver-funded PASSPORT Home Care Program as delegated by the85454
Department of Job and Family Services in an interagency agreement. 85455
The foregoing appropriation item 490-403, PASSPORT, and the 85456
amounts set aside for the PASSPORT Waiver Program in appropriation 85457
item 490-610, PASSPORT/Residential State Supplement, shall be used 85458
to provide the required state match for federal Medicaid funds85459
supporting the Medicaid Waiver-funded PASSPORT Home Care Program.85460
Appropriation item 490-403, PASSPORT, and the amounts set aside85461
for the PASSPORT Waiver Program in appropriation item 490-610,85462
PASSPORT/Residential State Supplement, may also be used to support85463
the Department of Aging's administrative costs associated with85464
operating the PASSPORT program.85465

       The foregoing appropriation item 490-607, PASSPORT, shall be85466
used to provide the federal matching share for all PASSPORT85467
program costs determined by the Department of Job and Family85468
Services to be eligible for Medicaid reimbursement.85469

       SENIOR COMMUNITY SERVICES85470

       Of the foregoing appropriation item 490-411, Senior Community 85471
Services, $300,000 shall be allocated to the Visiting Nurses 85472
Association of Cleveland.85473

       The remainder of the foregoing appropriation item 490-411, 85474
Senior Community Services, shall be used for services designated 85475
by the Department of Aging, including, but not limited to, 85476
home-delivered and congregate meals, transportation services,85477
personal care services, respite services, adult day services, home 85478
repair, care coordination, and decision support systems. Service 85479
priority shall be given to low income, frail, and cognitively 85480
impaired persons 60 years of age and over. The department shall 85481
promote cost sharing by service recipients for those services 85482
funded with block grant funds, including, where possible,85483
sliding-fee scale payment systems based on the income of service85484
recipients.85485

       ALZHEIMERS RESPITE85486

       The foregoing appropriation item 490-414, Alzheimers Respite,85487
shall be used to fund only Alzheimer's disease services under85488
section 173.04 of the Revised Code.85489

       TRANSPORTATION FOR ELDERLY85490

       The foregoing appropriation item 490-416, Transportation for85491
Elderly, shall be used for noncapital expenses related to85492
transportation services for the elderly that provide access to85493
such things as healthcare services, congregate meals,85494
socialization programs, and grocery shopping. The funds pass 85495
through and shall be administered by the Area Agencies on Aging. 85496
The appropriation shall be allocated to the following agencies:85497

       (A) Up to $34,912 in fiscal year 2004 and up to $34,039 in 85498
fiscal year 2005 to the Jewish Vocational Services/Cincinnati;85499

       (B) Up to $34,912 in fiscal year 2004 and up to $34,039 in 85500
fiscal year 2005 to the Jewish Community Center of Cleveland;85501

       (C) Up to $34,912 in fiscal year 2004 and up to $34,039 in 85502
fiscal year 2005 to the Wexner Heritage Village/Columbus;85503

       (D) Up to $15,469 in fiscal year 2004 and up to $15,082 in 85504
fiscal year 2005 to the Jewish Family Services of Dayton;85505

       (E) Up to $7,805 in fiscal year 2004 and up to $7,610 in 85506
fiscal year 2005 to the Jewish Community Center of Akron;85507

       (F) Up to $3,832 in fiscal year 2004 and up to $3,736 in 85508
fiscal year 2005 to the Jewish Community Center/Youngstown;85509

       (G) Up to $2,270 in fiscal year 2004 and up to $2,214 in 85510
fiscal year 2005 to the Jewish Community Center/Canton;85511

       (H) Up to $7,805 in fiscal year 2004 and up to $7,610 in 85512
fiscal year 2005 to the Jewish Community Center/Sylvania.85513

       Agencies receiving funding from appropriation item 490-416,85514
Transportation for Elderly, shall coordinate services with other85515
local service agencies.85516

       RESIDENTIAL STATE SUPPLEMENT85517

       Under the Residential State Supplement Program, the amount85518
used to determine whether a resident is eligible for payment and85519
for determining the amount per month the eligible resident will85520
receive shall be as follows:85521

       (A) $900 for a residential care facility, as defined in85522
section 3721.01 of the Revised Code;85523

       (B) $900 for an adult group home, as defined in Chapter 3722. 85524
of the Revised Code;85525

       (C) $800 for an adult foster home, as defined in Chapter 173.85526
of the Revised Code;85527

       (D) $800 for an adult family home, as defined in Chapter85528
3722. of the Revised Code;85529

       (E) $800 for an adult community alternative home, as defined85530
in Chapter 3724. of the Revised Code;85531

       (F) $800 for an adult residential facility, as defined in85532
Chapter 5119. of the Revised Code;85533

       (G) $600 for adult community mental health housing services,85534
as defined in division (B)(5) of section 173.35 of the Revised85535
Code.85536

       The Departments of Aging and Job and Family Services shall85537
reflect these amounts in any applicable rules the departments 85538
adopt under section 173.35 of the Revised Code.85539

       TRANSFER OF RESIDENTIAL STATE SUPPLEMENT APPROPRIATIONS85540

       The Department of Aging may transfer cash by intrastate85541
transfer vouchers from the foregoing appropriation items 490-412,85542
Residential State Supplement, and 490-610, PASSPORT/Residential85543
State Supplement, to the Department of Job and Family Services'85544
Fund 4J5, Home and Community-Based Services for the Aged Fund. The 85545
funds shall be used to make benefit payments to Residential State85546
Supplement recipients.85547

       LONG-TERM CARE OMBUDSMAN85548

       The foregoing appropriation item 490-410, Long-Term Care85549
Ombudsman, shall be used for a program to fund ombudsman program85550
activities in nursing homes, adult care facilities, boarding85551
homes, and home and community care services.85552

       PRESCRIPTION DRUG DISCOUNT PROGRAM85553

       The foregoing appropriation item 490-419, Prescription Drug 85554
Discount Program, shall be used to administer a prescription drug 85555
discount program.85556

       REGIONAL LONG-TERM CARE OMBUDSMAN PROGRAMS85557

       The foregoing appropriation item 490-609, Regional Long-Term85558
Care Ombudsman Programs, shall be used solely to pay the costs of85559
operating the regional long-term care ombudsman programs.85560

       PASSPORT/RESIDENTIAL STATE SUPPLEMENT85561

       Of the foregoing appropriation item 490-610,85562
PASSPORT/Residential State Supplement, up to $2,835,000 each85563
fiscal year may be used to fund the Residential State Supplement85564
Program. The remaining available funds shall be used to fund the85565
PASSPORT program.85566

       TRANSFER OF APPROPRIATIONS - FEDERAL AGING NUTRITION, FEDERAL85567
SUPPORTIVE SERVICES, AND OLDER AMERICANS SUPPORT SERVICES85568

       Upon written request of the Director of Aging, the Director85569
of Budget and Management may transfer appropriation authority85570
among appropriation items 490-611, Federal Aging Nutrition,85571
490-612, Federal Supportive Services, and 490-618, Older Americans85572
Support Services, in amounts not to exceed 30 per cent of the85573
appropriation from which the transfer is made. The Department of85574
Aging shall report such transfers to the Controlling Board at the85575
next regularly scheduled meeting of the board.85576

       OHIO COMMUNITY SERVICE COUNCIL85577

       The foregoing appropriation items 490-409, Ohio Community85578
Service Council Operations, and 490-617, Ohio Community Service 85579
Council Programs, shall be used in accordance with section 121.40 85580
of the Revised Code.85581

       Section 12.  AGR DEPARTMENT OF AGRICULTURE85582

General Revenue Fund85583

GRF 700-321 Operating Expenses $ 2,737,665 $ 2,771,628 85584
GRF 700-401 Animal Disease Control $ 4,121,815 $ 4,121,815 85585
GRF 700-402 Amusement Ride Safety $ 278,767 $ 275,943 85586
GRF 700-403 Dairy Division $ 1,494,597 $ 1,494,153 85587
GRF 700-404 Ohio Proud $ 197,727 $ 197,229 85588
GRF 700-405 Animal Damage Control $ 94,954 $ 94,954 85589
GRF 700-406 Consumer Analytical Lab $ 819,281 $ 872,241 85590
GRF 700-407 Food Safety $ 999,042 $ 999,042 85591
GRF 700-409 Farmland Preservation $ 256,993 $ 256,993 85592
GRF 700-410 Plant Industry $ 1,109,867 $ 1,107,677 85593
GRF 700-411 International Trade and Market Development $ 621,049 $ 517,524 85594
GRF 700-412 Weights and Measures $ 914,137 $ 909,120 85595
GRF 700-413 Gypsy Moth Prevention $ 546,118 $ 576,299 85596
GRF 700-414 Concentrated Animal Feeding Facilities Advisory Committee $ 16,521 $ 16,086 85597
GRF 700-415 Poultry Inspection $ 270,645 $ 267,743 85598
GRF 700-418 Livestock Regulation Program $ 1,306,911 $ 1,306,911 85599
GRF 700-424 Livestock Testing and Inspections $ 123,347 $ 123,347 85600
GRF 700-499 Meat Inspection Program - State Share $ 4,651,611 $ 4,696,889 85601
GRF 700-501 County Agricultural Societies $ 381,091 $ 381,091 85602
TOTAL GRF General Revenue Fund $ 20,942,138 $ 20,986,685 85603

Federal Special Revenue Fund Group85604

3J4 700-607 Indirect Cost $ 938,785 $ 949,877 85605
3R2 700-614 Federal Plant Industry $ 1,400,000 $ 1,425,000 85606
326 700-618 Meat Inspection Service - Federal Share $ 4,876,904 $ 4,951,291 85607
336 700-617 Ohio Farm Loan Revolving Fund $ 181,774 $ 181,774 85608
382 700-601 Cooperative Contracts $ 2,400,000 $ 2,500,000 85609
TOTAL FED Federal Special Revenue 85610
Fund Group $ 9,797,463 $ 10,007,942 85611

State Special Revenue Fund Group85612

4C9 700-605 Feed, Fertilizer, and Lime Inspection $ 986,765 $ 1,008,541 85613
4D2 700-609 Auction Education $ 30,476 $ 30,476 85614
4E4 700-606 Utility Radiological Safety $ 73,059 $ 73,059 85615
4P7 700-610 Food Safety Inspection $ 575,797 $ 582,711 85616
4R0 700-636 Ohio Proud Marketing $ 40,300 $ 38,300 85617
4R2 700-637 Dairy Inspection Fund $ 1,157,603 $ 1,184,183 85618
4T6 700-611 Poultry and Meat Inspection $ 46,162 $ 47,294 85619
4T7 700-613 International Trade and Market Development Rotary $ 41,238 $ 42,000 85620
4V5 700-615 Animal Industry Lab Fees $ 711,944 $ 711,944 85621
494 700-612 Agricultural Commodity Marketing Program $ 170,077 $ 170,220 85622
496 700-626 Ohio Grape Industries $ 1,071,099 $ 1,071,099 85623
497 700-627 Commodity Handlers Regulatory Program $ 664,118 $ 664,118 85624
498 700-628 Commodity Indemnity Fund $ 250,000 $ 250,000 85625
5B8 700-629 Auctioneers $ 291,672 $ 365,390 85626
5H2 700-608 Metrology Lab $ 105,879 $ 108,849 85627
5L8 700-604 Livestock Management Program $ 250,000 $ 250,000 85628
578 700-620 Ride Inspection Fees $ 497,000 $ 497,000 85629
579 700-630 Scale Certification $ 168,785 $ 171,677 85630
652 700-634 Laboratory Services $ 1,043,444 $ 1,074,447 85631
669 700-635 Pesticide Program $ 2,243,232 $ 2,243,232 85632
TOTAL SSR State Special Revenue 85633
Fund Group $ 10,418,650 $ 10,584,540 85634

Clean Ohio Fund Group85635

057 700-632 Clean Ohio Agricultural Easement $ 149,000 $ 149,000 85636
TOTAL CLR Clean Ohio Fund Group $ 149,000 $ 149,000 85637

Holding Account Redistribution Fund Group85638

XXX 700-XXX Farm Service Electronic Filing $ 60,000 $ 60,000 85639
TOTAL 090 Holding Account Redistribution Fund Group $ 60,000 $ 60,000 85640
TOTAL ALL BUDGET FUND GROUPS $ 41,367,251 $ 41,788,167 85641

       ANIMAL DAMAGE CONTROL85642

       Of the foregoing appropriation item 700-405, Animal Damage 85643
Control, $50,000 shall be used in each fiscal year for coyote and 85644
black vulture indemnification.85645

       INTERNATIONAL TRADE AND MARKET DEVELOPMENT85646

       Of the foregoing appropriation item 700-411, International 85647
Trade and Market Development, $100,000 shall be used in fiscal 85648
year 2004 for the Ohio-Israel Agricultural Initiative.85649

       FAMILY FARM LOAN PROGRAM85650

       Notwithstanding Chapter 166. of the Revised Code, up to 85651
$1,500,000 in each fiscal year shall be transferred from moneys in 85652
the Facilities Establishment Fund (Fund 037) to the Family Farm 85653
Loan Fund (Fund 5H1) in the Department of Development. These 85654
moneys shall be used for loan guarantees. The transfer is subject 85655
to Controlling Board approval.85656

       Financial assistance from the Family Farm Loan Fund (Fund 85657
5H1) shall be repaid to Fund 5H1. This fund is established in 85658
accordance with sections 166.031, 901.80, 901.81, 901.82, and 85659
901.83 of the Revised Code.85660

       When the Family Farm Loan Fund (Fund 5H1) ceases to exist, 85661
all outstanding balances, all loan repayments, and any other 85662
outstanding obligations shall revert to the Facilities 85663
Establishment Fund (Fund 037).85664

       CLEAN OHIO AGRICULTURAL EASEMENT85665

       The foregoing appropriation item 700-632, Clean Ohio 85666
Agricultural Easement, shall be used by the Department of 85667
Agriculture in administering sections 901.21, 901.22, and 5301.67 85668
to 5301.70 of the Revised Code.85669

       FARM SERVICE ELECTRONIC FILING85670

       As soon as possible on or after July 1, 2003, the Director of 85671
Budget and Management shall make a one-time cash transfer of 85672
$60,000 from Fund 382, Cooperative Contracts, to Fund XXX, Farm 85673
Service Electronic Filing Fund, in fiscal year 2004. The Farm 85674
Service Electronic Filing Fund shall be administered by the 85675
Department of Agriculture.85676

       Section 13.  AIR AIR QUALITY DEVELOPMENT AUTHORITY85677

General Revenue Fund85678

GRF 898-402 Coal Development Office $ 588,041 $ 599,802 85679
GRF 898-901 Coal R&D Gen Obligation Debt Service $ 7,231,200 $ 9,185,100 85680
TOTAL GRF General Revenue Fund $ 7,819,241 $ 9,784,902 85681

Agency Fund Group85682

4Z9 898-602 Small Business Ombudsman $ 233,482 $ 233,482 85683
5A0 898-603 Small Business Assistance $ 197,463 $ 197,463 85684
570 898-601 Operating Expenses $ 243,383 $ 243,383 85685
TOTAL AGY Agency Fund Group $ 674,328 $ 674,328 85686

Coal Research/Development Fund85687

046 898-604 Coal Research and Development Fund $ 13,168,357 $ 13,168,357 85688
TOTAL 046 Coal Research/Development Fund $ 13,168,357 $ 13,168,357 85689
TOTAL ALL BUDGET FUND GROUPS $ 21,661,926 $ 23,627,587 85690

       COAL DEVELOPMENT OFFICE85691

        The foregoing appropriation item GRF 898-402, Coal 85692
Development Office, shall be used for the administrative costs of 85693
the Coal Development Office.85694

       COAL RESEARCH AND DEVELOPMENT GENERAL OBLIGATION DEBT SERVICE85695

        The foregoing appropriation item GRF 898-901, Coal R & D Gen 85696
Obligation Debt Service, shall be used to pay all debt service and 85697
related financing costs at the times they are required to be made 85698
under sections 151.01 and 151.07 of the Revised Code during the 85699
period from July 1, 2003, to June 30, 2005. The Office of the 85700
Sinking Fund or the Director of Budget and Management shall 85701
effectuate the required payments by an intrastate transfer 85702
voucher.85703

       SCIENCE AND TECHNOLOGY COLLABORATION85704

        The Air Quality Development Authority shall work in close 85705
collaboration with the Department of Development, the Board of 85706
Regents, and the Third Frontier Commission in relation to 85707
appropriation items and programs listed in the following 85708
paragraph, and other technology-related appropriations and 85709
programs in the Department of Development, Air Quality Development 85710
Authority, and the Board of Regents as those agencies may 85711
designate, to ensure implementation of a coherent state strategy 85712
with respect to science and technology.85713

        Each of the following appropriations and programs: 195-401, 85714
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 85715
Third Frontier Action Fund; 898-604, Coal Research and Development 85716
Fund; 235-454, Research Challenge; 235-510, Ohio Supercomputer 85717
Center; 235-527, Ohio Aerospace Institute; 235-535, Agricultural 85718
Research and Development Center; 235-553, Dayton Area Graduate 85719
Studies Institute; 235-554, Computer Science Graduate Education; 85720
235-556, Ohio Academic Resources Network; and 195-435, Biomedical 85721
Research and Technology Transfer Trust, shall be reviewed annually 85722
by the Third Frontier Commission with respect to its development 85723
of complementary relationships within a combined state science and 85724
technology investment portfolio and its overall contribution to 85725
the state's science and technology strategy, including the 85726
adoption of appropriately consistent criteria for:85727

       (1) The scientific merit of activities supported by the 85728
program;85729

        (2) The relevance of the program's activities to commercial85730
opportunities in the private sector;85731

        (3) The private sector's involvement in a process that 85732
continually evaluates commercial opportunities to use the work 85733
supported by the program; and85734

        (4) The ability of the program and recipients of grant 85735
funding from the program to engage in activities that are 85736
collaborative, complementary, and efficient with respect to the 85737
expenditure of state funds.85738

        All programs listed in the preceding paragraph shall provide 85739
annual reports to the Third Frontier Commission discussing 85740
existing, planned, or possible collaborations between programs and 85741
recipients of grant funding related to technology, development, 85742
commercialization, and supporting Ohio's economic development. The 85743
annual review by the Third Frontier Commission shall be a 85744
comprehensive review of the entire state science and technology 85745
program portfolio rather than a review of individual programs.85746

       Section 14.  ADA DEPARTMENT OF ALCOHOL AND DRUG ADDICTION 85747
SERVICES85748

General Revenue Fund85749

GRF 038-321 Operating Expenses $ 1,200,293 $ 1,200,293 85750
GRF 038-401 Treatment Services $ 36,762,306 $ 36,762,306 85751
GRF 038-404 Prevention Services $ 1,055,033 $ 1,055,033 85752
TOTAL GRF General Revenue Fund $ 39,017,632 $ 39,017,632 85753

General Services Fund85754

5T9 038-616 Problem Gambling Services $ 60,000 $ 60,000 85755
TOTAL GSF General Services Fund Group $ 60,000 $ 60,000 85756

Federal Special Revenue Fund Group85757

3G3 038-603 Drug Free Schools $ 3,500,000 $ 3,500,000 85758
3G4 038-614 Substance Abuse Block Grant $ 67,335,499 $ 68,079,223 85759
3H8 038-609 Demonstration Grants $ 7,093,075 $ 7,093,075 85760
3J8 038-610 Medicaid $ 30,000,000 $ 30,000,000 85761
3N8 038-611 Administrative Reimbursement $ 500,000 $ 500,000 85762
TOTAL FED Federal Special Revenue 85763
Fund Group $ 108,428,574 $ 109,172,298 85764

State Special Revenue Fund Group85765

475 038-621 Statewide Treatment and Prevention $ 15,191,182 $ 15,191,182 85766
5P1 038-615 Credentialing $ 225,000 $ 0 85767
689 038-604 Education and Conferences $ 280,000 $ 280,000 85768
TOTAL SSR State Special Revenue 85769
Fund Group $ 15,696,182 $ 15,471,182 85770
TOTAL ALL BUDGET FUND GROUPS $ 163,202,388 $ 163,721,112 85771

       TREATMENT SERVICES85772

        Of the foregoing appropriation item 038-401, Treatment 85773
Services, not more than $8,190,000 shall be used by the Department 85774
of Alcohol and Drug Addiction Services for program grants for 85775
priority populations in each year of the biennium.85776

       AM. SUB. H.B. 484 OF THE 122nd GENERAL ASSEMBLY85777

       Of the foregoing appropriation item 038-401, Treatment85778
Services, $4 million in each fiscal year shall be allocated for85779
services to families, adults, and adolescents pursuant to the85780
requirements of Am. Sub. H.B. 484 of the 122nd General Assembly.85781

       TALBERT HOUSE85782

        Of the foregoing appropriation item 038-401, Treatment 85783
Services, $200,000 in each fiscal year shall be allocated to 85784
establish a Talbert House Facility in Butler County. These funds 85785
are in addition to any other funds for which the Talbert House 85786
facility and Butler County are eligible to receive from the 85787
Department of Alcohol and Drug Addiction Services.85788

       SERVICES FOR TANF-ELIGIBLE INDIVIDUALS85789

       Of the foregoing appropriation item 038-401, Treatment 85790
Services, $5 million each year shall be used to fund TANF-eligible 85791
expenditures for substance abuse prevention and treatment services 85792
to children, or their families, whose income is at or below 200 85793
per cent of the official income poverty guideline. The Director of 85794
Alcohol and Drug Addiction Services and the Director of Job and 85795
Family Services shall develop operating and reporting guidelines 85796
for these programs.85797

       THERAPEUTIC COMMUNITIES85798

        Of the foregoing appropriation item 038-401, Treatment 85799
Services, $750,000 shall be used in each fiscal year for expansion 85800
of the Therapeutic Communities Program in the Department of 85801
Rehabilitation and Correction.85802

       PARENT AWARENESS TASK FORCE85803

       The Parent Awareness Task Force shall study ways to engage85804
more parents in activities, coalitions, and educational programs85805
in Ohio relating to alcohol and other drug abuse prevention. Of85806
the foregoing appropriation item 038-404, Prevention Services,85807
$30,000 in each fiscal year may be used to support the functions85808
of the Parent Awareness Task Force.85809

       COMMUNITY CAPITAL ASSISTANCE FUNDS85810

       Any proceeds from the repayment of ODADAS community capital 85811
assistance funds from St. Anthony's Villa shall be deposited into 85812
Fund 475, appropriation item 038-621, Statewide Treatment and 85813
Prevention, and such amounts are hereby appropriated for 85814
distribution to other community capital assistance projects in 85815
Lucas County.85816

       Section 15.  AMB AMBULANCE LICENSING BOARD85817

General Services Fund Group85818

4N1 915-601 Operating Expenses $ 272,340 $ 284,054 85819
TOTAL GSF General Services 85820
Fund Group $ 272,340 $ 284,054 85821
TOTAL ALL BUDGET FUND GROUPS $ 272,340 $ 284,054 85822


       Section 16.  ARC STATE BOARD OF EXAMINERS OF ARCHITECTS85824

General Services Fund Group85825

4K9 891-609 Operating Expenses $ 480,574 $ 479,574 85826
TOTAL GSF General Services Fund 85827
Group $ 480,574 $ 479,574 85828
TOTAL ALL BUDGET FUND GROUPS $ 480,574 $ 479,574 85829


       Section 17.  ART OHIO ARTS COUNCIL85831

General Revenue Fund85832

GRF 370-100 Personal Services $ 1,896,848 $ 1,892,879 85833
GRF 370-200 Maintenance $ 547,404 $ 532,998 85834
GRF 370-300 Equipment $ 227,788 $ 27,056 85835
GRF 370-502 Program Subsidies $ 9,896,320 $ 9,648,912 85836
TOTAL GRF General Revenue Fund $ 12,568,360 $ 12,101,845 85837

General Services Fund Group85838

4B7 370-603 Per Cent for Art Acquisitions $ 86,366 $ 86,366 85839
460 370-602 Operations $ 429,325 $ 429,325 85840
TOTAL GSF General Services Fund Group $ 515,691 $ 515,691 85841

Federal Special Revenue Fund Group85842

314 370-601 Federal Programs $ 1,657,300 $ 1,657,300 85843
TOTAL FED Federal Special Revenue Fund Group $ 1,657,300 $ 1,657,300 85844
TOTAL ALL BUDGET FUND GROUPS $ 14,741,351 $ 14,274,836 85845

       EQUIPMENT85846

       Of the foregoing appropriation item 370-300, Equipment, 85847
$200,000 in fiscal year 2004 shall be used for computer upgrades.85848

       PROGRAM SUBSIDIES85849

       A museum is not eligible to receive funds from appropriation85850
item 370-502, Program Subsidies, if $8,000,000 or more in capital85851
appropriations were appropriated by the state for the museum85852
between January 1, 1986, and December 31, 2002.85853

       PER CENT FOR ART ACQUISITIONS85854

       The unencumbered balance remaining from prior projects of85855
appropriation item 370-603, Per Cent for Art Acquisitions, shall85856
be used by the Ohio Arts Council to pay for start-up costs in85857
connection with the selection of artists of new Per Cent for Art85858
projects.85859

       Section 18.  AFC OHIO ARTS AND SPORTS FACILITIES COMMISSION85860

General Revenue Fund85861

GRF 371-321 Operating Expenses $ 317,451 $ 317,451 85862
GRF 371-401 Lease Rental Payments $ 36,283,800 $ 37,617,700 85863
TOTAL GRF General Revenue Fund $ 36,601,251 $ 37,935,151 85864

State Special Revenue Fund Group85865

4T8 371-601 Riffe Theatre Equipment Maintenance $ 23,194 $ 23,194 85866
4T8 371-603 Project Administration $ 1,035,377 $ 1,074,339 85867
TOTAL SSR State Special Revenue Group $ 1,058,571 $ 1,097,533 85868
TOTAL ALL BUDGET FUND GROUPS $ 37,659,822 $ 39,032,684 85869

       OHIO BUILDING AUTHORITY LEASE PAYMENTS85870

       The foregoing appropriation item 371-401, Lease Rental 85871
Payments, shall be used by the Arts and Sports Facilities 85872
Commission for payments to the Ohio Building Authority for the 85873
period from July 1, 2003, to June 30, 2005, pursuant to the 85874
primary leases and agreements for those buildings made under 85875
Chapter 152. of the Revised Code, but limited to the aggregate 85876
amount of $73,901,500. This appropriation is the source of funds 85877
pledged for bond service charges on related obligations issued 85878
pursuant to Chapter 152. of the Revised Code.85879

       OPERATING EXPENSES85880

       The foregoing appropriation item 371-603, Project85881
Administration, shall be used by the Ohio Arts and Sports85882
Facilities Commission to carry out its responsibilities pursuant85883
to this section and Chapter 3383. of the Revised Code.85884

       Within ten days after the effective date of this section, or 85885
as soon as possible thereafter, the Director of Budget and 85886
Management shall determine the amount of cash from interest 85887
earnings to be transferred from the Arts Facilities Building Fund 85888
(Fund 030) and the Sports Facilities Building Fund (Fund 024) to 85889
the Arts and Sports Facilities Commission Administration Fund 85890
(Fund 4T8). The total amount transferred in fiscal year 2004 and 85891
fiscal year 2005 may not exceed the total biennial appropriation 85892
of $2,109,716 in appropriation item 371-603, Project 85893
Administration.85894

       By July 10, 2004, or as soon as possible thereafter, the 85895
Director of Budget and Management shall determine the amount of 85896
cash from interest earnings to be transferred from the Arts 85897
Facilities Building Fund (Fund 030) and the Sports Facilities 85898
Building Fund (Fund 024) to the Arts and Sports Commission 85899
Administration Fund (Fund 4T8). The total amount transferred in 85900
fiscal year 2004 and in fiscal year 2005 may not exceed the total 85901
biennial appropriation of $2,109,716 in appropriation item 85902
371-603, Project Administration.85903

       Section 19.  ATH ATHLETIC COMMISSION85904

General Services Fund Group85905

4K9 175-609 Athletic Commission - Operating $ 188,250 $ 200,205 85906
TOTAL GSF General Services Fund Group $ 188,250 $ 200,205 85907
TOTAL ALL BUDGET FUND GROUPS $ 188,250 $ 200,205 85908

       TRANSFER OF CASH BALANCE FROM FUND 5R185909

       On July 1, 2003, or as soon thereafter as possible, the 85910
Director of Budget and Management shall transfer the cash balance 85911
in the Athlete Agents Registration Fund (Fund 5R1) that was 85912
created in former section 4771.22 of the Revised Code to the 85913
Occupational Licensing and Regulatory Fund (Fund 4K9). The 85914
director shall cancel any existing encumbrances against 85915
appropriation item 175-602, Athlete Agents Registration (Fund 85916
5R1), and reestablish them against appropriation item 175-609, 85917
Athletic Commission - Operating (Fund 4K9). The amounts of the 85918
reestablished encumbrances are hereby appropriated.85919

       Section 20. AGO ATTORNEY GENERAL85920

General Revenue Fund85921

GRF 055-321 Operating Expenses $ 53,885,937 $ 53,885,937 85922
GRF 055-406 Community Police Match and Law Enforcement Assistance $ 2,258,843 $ 2,258,843 85923
GRF 055-411 County Sheriffs $ 731,879 $ 736,929 85924
GRF 055-415 County Prosecutors $ 717,182 $ 723,490 85925
TOTAL GRF General Revenue Fund $ 57,593,841 $ 57,605,199 85926

General Services Fund Group85927

106 055-612 General Reimbursement $ 18,870,196 $ 18,870,196 85928
107 055-624 Employment Services $ 984,396 $ 984,396 85929
195 055-660 Workers' Compensation Section $ 7,769,628 $ 7,769,628 85930
4Y7 055-608 Title Defect Rescission $ 570,623 $ 570,623 85931
4Z2 055-609 BCI Asset Forfeiture and Cost Reimbursement $ 332,109 $ 332,109 85932
418 055-615 Charitable Foundations $ 1,899,066 $ 1,899,066 85933
420 055-603 Attorney General Antitrust $ 446,449 $ 446,449 85934
421 055-617 Police Officers' Training Academy Fee $ 1,193,213 $ 1,193,213 85935
5A9 055-618 Telemarketing Fraud Enforcement $ 52,378 $ 52,378 85936
590 055-633 Peace Officer Private Security Fund $ 98,370 $ 98,370 85937
629 055-636 Corrupt Activity Investigation and Prosecution $ 108,230 $ 108,230 85938
631 055-637 Consumer Protection Enforcement $ 1,373,832 $ 1,373,832 85939
TOTAL GSF General Services Fund 85940
Group $ 33,698,490 $ 33,698,490 85941

Federal Special Revenue Fund Group85942

3E5 055-638 Anti-Drug Abuse $ 1,923,400 $ 1,981,102 85943
3R6 055-613 Attorney General Federal Funds $ 3,730,191 $ 3,842,097 85944
306 055-620 Medicaid Fraud Control $ 2,882,970 $ 2,969,459 85945
381 055-611 Civil Rights Legal Service $ 390,815 $ 390,815 85946
383 055-634 Crime Victims Assistance $ 17,561,250 $ 18,439,313 85947
TOTAL FED Federal Special Revenue 85948
Fund Group $ 26,488,626 $ 27,622,786 85949

State Special Revenue Fund Group85950

4L6 055-606 DARE $ 3,927,962 $ 3,927,962 85951
402 055-616 Victims of Crime $ 27,933,893 $ 27,933,893 85952
417 055-621 Domestic Violence Shelter $ 14,492 $ 14,492 85953
419 055-623 Claims Section $ 13,649,954 $ 13,649,954 85954
659 055-641 Solid and Hazardous Waste Background Investigations $ 621,159 $ 621,159 85955
TOTAL SSR State Special Revenue 85956
Fund Group $ 46,147,460 $ 46,147,460 85957

Holding Account Redistribution Fund Group85958

R03 055-629 Bingo License Refunds $ 5,200 $ 5,200 85959
R04 055-631 General Holding Account $ 275,000 $ 275,000 85960
R05 055-632 Antitrust Settlements $ 10,400 $ 10,400 85961
R18 055-630 Consumer Frauds $ 750,000 $ 750,000 85962
R42 055-601 Organized Crime Commission Account $ 200,000 $ 200,000 85963
TOTAL 090 Holding Account 85964
Redistribution Fund Group $ 1,240,600 $ 1,240,600 85965
TOTAL ALL BUDGET FUND GROUPS $ 165,169,017 $ 166,314,535 85966

       WORKERS' COMPENSATION SECTION85967

       The Workers' Compensation Section Fund (Fund 195) shall85968
receive payments from the Bureau of Workers' Compensation and the85969
Ohio Industrial Commission at the beginning of each quarter of85970
each fiscal year to fund legal services to be provided to the85971
Bureau of Workers' Compensation and the Ohio Industrial Commission85972
during the ensuing quarter. Such advance payment shall be subject85973
to adjustment.85974

       In addition, the Bureau of Workers' Compensation shall85975
transfer payments at the beginning of each quarter for the support85976
of the Workers' Compensation Fraud Unit.85977

       All amounts shall be mutually agreed upon by the Attorney85978
General, the Bureau of Workers' Compensation, and the Ohio85979
Industrial Commission.85980

       CORRUPT ACTIVITY INVESTIGATION AND PROSECUTION85981

       The foregoing appropriation item 055-636, Corrupt Activity85982
Investigation and Prosecution, shall be used as provided by85983
division (D)(2) of section 2923.35 of the Revised Code to dispose85984
of the proceeds, fines, and penalties credited to the Corrupt85985
Activity Investigation and Prosecution Fund, which is created in85986
division (D)(1)(b) of section 2923.35 of the Revised Code. If it85987
is determined that additional amounts are necessary, the amounts85988
are hereby appropriated.85989

       COMMUNITY POLICE MATCH AND LAW ENFORCEMENT ASSISTANCE85990

       In fiscal years 2004 and 2005, the Attorney General's Office85991
may request the Director of Budget and Management to transfer85992
appropriation authority from appropriation item 055-321, Operating85993
Expenses, to appropriation item 055-406, Community Police Match85994
and Law Enforcement Assistance. The Director of Budget and85995
Management shall then transfer appropriation authority from85996
appropriation item 055-321, Operating Expenses, to appropriation85997
item 055-406, Community Police Match and Law Enforcement85998
Assistance. Moneys transferred to appropriation item 055-406, 85999
Community Police Match and Law Enforcement Assistance, shall be 86000
used to pay operating expenses and to provide grants to local law 86001
enforcement agencies and communities for the purpose of supporting 86002
law enforcement-related activities.86003

       Section 21.  AUD AUDITOR OF STATE86004

General Revenue Fund86005

GRF 070-321 Operating Expenses $ 30,813,217 $ 30,813,217 86006
GRF 070-403 Fiscal Watch/Emergency Technical Assistance $ 400,000 $ 500,000 86007
GRF 070-405 Electronic Data Processing - Auditing and Administration $ 823,193 $ 823,193 86008
GRF 070-406 Uniform Accounting Network/Technology Improvements Fund $ 1,774,394 $ 1,774,394 86009
TOTAL GRF General Revenue Fund $ 33,810,804 $ 33,910,804 86010

General Services Fund Group86011

109 070-601 Public Audit Expense - Intra-State $ 10,592,547 $ 11,651,800 86012
422 070-601 Public Audit Expense - Local Government $ 37,617,072 $ 39,497,925 86013
584 070-603 Training Program $ 124,999 $ 131,250 86014
675 070-605 Uniform Accounting Network $ 3,015,760 $ 3,317,336 86015
TOTAL GSF General Services Fund 86016
Group $ 51,350,378 $ 54,598,311 86017

Holding Account Redistribution Fund Group86018

R06 070-604 Continuous Receipts $ 50,000 $ 60,000 86019
TOTAL 090 Holding Account 86020
Redistribution Fund Group $ 50,000 $ 60,000 86021
TOTAL ALL BUDGET FUND GROUPS $ 85,211,182 $ 88,569,115 86022

       FISCAL WATCH/EMERGENCY TECHNICAL ASSISTANCE86023

       The foregoing appropriation item 070-403, Fiscal86024
Watch/Emergency Technical Assistance, shall be used for all86025
expenses incurred by the Office of the Auditor of State in its86026
role relating to fiscal watch or fiscal emergency activities under86027
Chapters 118. and 3316. of the Revised Code. Expenses include, but 86028
are not limited to, the following: duties related to the 86029
determination or termination of fiscal watch or fiscal emergency 86030
of municipal corporations, counties, or townships as outlined in 86031
Chapter 118. of the Revised Code and of school districts as 86032
outlined in Chapter 3316. of the Revised Code; development of 86033
preliminary accounting reports; performance of annual forecasts; 86034
provision of performance audits; and supervisory, accounting, or 86035
auditing services for the mentioned public entities and school 86036
districts. The unencumbered balance of appropriation item 070-403, 86037
Fiscal Watch/Emergency Technical Assistance, at the end of fiscal 86038
year 2004 is transferred to fiscal year 2005 for use under the 86039
same appropriation item.86040

       ELECTRONIC DATA PROCESSING86041

       The unencumbered balance of appropriation item 070-405,86042
Electronic Data Processing - Auditing and Administration, at the86043
end of fiscal year 2004 is transferred to fiscal year 2005 for use86044
under the same appropriation item.86045

       UNIFORM ACCOUNTING NETWORK/TECHNOLOGY IMPROVEMENTS FUND86046

       The foregoing appropriation item 070-406, Uniform Accounting86047
Network/Technology Improvements Fund, shall be used to pay the86048
costs of developing and implementing the Uniform Accounting86049
Network and technology improvements for the Office of the Auditor86050
of State. The unencumbered balance of the appropriation at the end 86051
of fiscal year 2004 is transferred to fiscal year 2005 to pay the 86052
costs of developing and implementing the Uniform Accounting 86053
Network and technology improvements for the Office of the Auditor 86054
of State.86055

       Section 22.  BRB BOARD OF BARBER EXAMINERS86056

General Services Fund Group86057

4K9 877-609 Operating Expenses $ 535,853 $ 555,037 86058
TOTAL GSF General Services Fund 86059
Group $ 535,853 $ 555,037 86060
TOTAL ALL BUDGET FUND GROUPS $ 535,853 $ 555,037 86061


       Section 23.  OBM OFFICE OF BUDGET AND MANAGEMENT86063

General Revenue Fund86064

GRF 042-321 Budget Development and Implementation $ 3,092,469 $ 2,405,243 86065
GRF 042-401 Office of Quality Services $ 30,000 $ 0 86066
GRF 042-409 Commission Closures $ 65,000 $ 0 86067
GRF 042-410 National Association Dues $ 27,089 $ 27,902 86068
GRF 042-412 Audit of Auditor of State $ 62,110 $ 55,760 86069
TOTAL GRF General Revenue Fund $ 3,276,668 $ 2,488,905 86070

General Services Fund Group86071

105 042-603 State Accounting $ 9,131,651 $ 9,375,862 86072
TOTAL GSF General Services Fund Group $ 9,131,651 $ 9,375,862 86073

State Special Revenue Fund Group86074

5N4 042-602 OAKS Project Implementation $ 2,062,875 $ 2,069,125 86075
TOTAL SSR State Special Revenue Fund Group $ 2,062,875 $ 2,069,125 86076
TOTAL ALL BUDGET FUND GROUPS $ 14,471,194 $ 13,933,892 86077

       OFFICE OF QUALITY SERVICES86078

       On the effective date of this section, the Office of Quality 86079
Services is abolished and its operations shall be wound up and 86080
discontinued. The foregoing appropriation item 042-401, Office of 86081
Quality Services, shall be used to pay final payroll costs for 86082
staff assigned to the Office of Quality Services.86083

       COMMISSION CLOSURES86084

       The foregoing appropriation item 042-409, Commission Closures 86085
shall be used to pay for unemployment compensation costs and 86086
miscellaneous expenses related to and following the closures of 86087
the Office of Quality Services and any other state agency as 86088
defined in section 1.60 of the Revised Code.86089

       AUDIT COSTS86090

       Of the foregoing appropriation item 042-603, State86091
Accounting, not more than $400,000 in fiscal year 2004 and86092
$415,000 in fiscal year 2005 shall be used to pay for centralized86093
audit costs associated with either Single Audit Schedules or86094
financial statements prepared in conformance with generally86095
accepted accounting principles for the state.86096

       Section 24.  CSR CAPITOL SQUARE REVIEW AND ADVISORY BOARD86097

General Revenue Fund86098

GRF 874-100 Personal Services $ 2,031,400 $ 2,051,400 86099
GRF 874-320 Maintenance and Equipment $ 1,022,262 $ 982,929 86100
TOTAL GRF General Revenue Fund $ 3,053,662 $ 3,034,329 86101

General Services Fund Group86102

4G5 874-603 Capitol Square Maintenance Expenses $ 15,000 $ 15,000 86103
4S7 874-602 Statehouse Gift Shop/Events $ 770,484 $ 770,484 86104
TOTAL GSF General Services 86105
Fund Group $ 785,484 $ 785,484 86106

Underground Parking Garage86107

208 874-601 Underground Parking Garage Operating $ 2,996,801 $ 2,959,721 86108
TOTAL UPG Underground Parking 86109
Garage $ 2,996,801 $ 2,959,721 86110
TOTAL ALL BUDGET FUND GROUPS $ 6,835,947 $ 6,779,534 86111


       Section 25.  SCR STATE BOARD OF CAREER COLLEGES AND SCHOOLS86113

General Services Fund Group86114

4K9 233-601 Operating Expenses $ 404,025 $ 431,525 86115
TOTAL GSF General Services Fund Group $ 404,025 $ 431,525 86116
TOTAL ALL BUDGET FUND GROUPS $ 404,025 $ 431,525 86117


       Section 26. CDP CHEMICAL DEPENDENCY PROFESSIONALS BOARD86119

General Services Fund Group86120

4K9 930-609 Operating Expenses $ 225,000 $ 450,000 86121
TOTAL GSF General Services Fund Group $ 225,000 $ 450,000 86122
TOTAL ALL BUDGET FUND GROUPS $ 225,000 $ 450,000 86123

       Notwithstanding any other law to the contrary, upon 86124
certification by the Director of Administrative Services, the 86125
Director of Budget and Management may transfer cash in an amount 86126
not to exceed the fiscal year 2004 appropriation from Fund 5P1 86127
(Credentialing Fund) to Fund 4K9 (Occupational Licensing). The 86128
amount transferred is hereby appropriated. The cash shall be used 86129
to pay expenses related to establishing the Chemical Dependency 86130
Professionals Board, including, but not limited to, travel 86131
reimbursement of board members.86132

       Upon completion of the transition of the Department of 86133
Alcohol and Drug Addiction's certificates and credentials issuance 86134
program to the Chemical Dependency Professionals Board, the 86135
Director of Alcohol and Drug Addiction Services shall certify to 86136
the Director of Budget and Management the remaining cash in Fund 86137
5P1 (Credentialing Fund). The Director of Budget and Management 86138
shall transfer the certified balance from Fund 5P1 to Fund 4K9 86139
(Occupational Licensing). This transition shall be completed in 86140
accordance with Section 5 of Am. Sub. H.B. 496 of the 124th 86141
General Assembly.86142

       Section 27.  CHR STATE CHIROPRACTIC BOARD86143

General Services Fund Group86144

4K9 878-609 Operating Expenses $ 591,724 $ 591,724 86145
TOTAL GSF General Services Fund 86146
Group $ 591,724 $ 591,724 86147
TOTAL ALL BUDGET FUND GROUPS $ 591,724 $ 591,724 86148


       Section 28.  CIV OHIO CIVIL RIGHTS COMMISSION86150

General Revenue Fund86151

GRF 876-100 Personal Services $ 7,000,000 $ 7,000,000 86152
GRF 876-200 Maintenance $ 400,000 $ 400,000 86153
GRF 876-300 Equipment $ 91,298 $ 91,298 86154
TOTAL GRF General Revenue Fund $ 7,491,298 $ 7,491,298 86155

Federal Special Revenue Fund Group86156

334 876-601 Federal Programs $ 3,965,000 $ 3,790,000 86157
TOTAL FED Federal Special Revenue 86158
Fund Group $ 3,965,000 $ 3,790,000 86159

State Special Revenue Fund Group86160

217 876-604 General Reimbursement $ 20,951 $ 20,951 86161
TOTAL SSR State Special 86162
Revenue Fund Group $ 20,951 $ 20,951 86163
TOTAL ALL BUDGET FUND GROUPS $ 11,477,249 $ 11,302,249 86164


       Section 29.  COM DEPARTMENT OF COMMERCE86166

General Revenue Fund86167

GRF 800-402 Grants-Volunteer Fire Departments $ 647,953 $ 647,953 86168
GRF 800-410 Labor and Worker Safety $ 3,700,040 $ 3,725,040 86169
Total GRF General Revenue Fund $ 4,347,993 $ 4,372,993 86170

General Services Fund Group86171

163 800-620 Division of Administration $ 3,385,803 $ 3,490,056 86172
163 800-637 Information Technology $ 2,753,299 $ 2,772,924 86173
5F1 800-635 Small Government Fire Departments $ 250,000 $ 250,000 86174
TOTAL GSF General Services Fund 86175
Group $ 6,389,102 $ 6,512,980 86176

Federal Special Revenue Fund Group86177

348 800-622 Underground Storage Tanks $ 195,008 $ 195,008 86178
348 800-624 Leaking Underground Storage Tanks $ 1,850,000 $ 1,850,000 86179
349 800-626 OSHA Enforcement $ 1,527,750 $ 1,604,140 86180
TOTAL FED Federal Special Revenue 86181
Fund Group $ 3,572,758 $ 3,649,148 86182

State Special Revenue Fund Group86183

4B2 800-631 Real Estate Appraisal Recovery $ 60,000 $ 60,000 86184
4H9 800-608 Cemeteries $ 273,465 $ 273,465 86185
4L5 800-609 Fireworks Training and Education $ 10,976 $ 10,976 86186
4X2 800-619 Financial Institutions $ 2,020,798 $ 2,200,843 86187
5B9 800-632 PI & Security Guard Provider $ 1,188,716 $ 1,188,716 86188
5K7 800-621 Penalty Enforcement $ 50,000 $ 50,000 86189
543 800-602 Unclaimed Funds-Operating $ 7,051,051 $ 7,051,051 86190
543 800-625 Unclaimed Funds-Claims $ 25,512,867 $ 25,512,867 86191
544 800-612 Banks $ 6,657,997 $ 6,657,997 86192
545 800-613 Savings Institutions $ 2,765,618 $ 2,894,330 86193
546 800-610 Fire Marshal $ 7,855,076 $ 11,787,994 86194
547 800-603 Real Estate Education/Research $ 250,000 $ 250,000 86195
548 800-611 Real Estate Recovery $ 100,000 $ 100,000 86196
549 800-614 Real Estate $ 3,586,754 $ 3,705,892 86197
550 800-617 Securities $ 4,600,000 $ 4,800,000 86198
552 800-604 Credit Union $ 2,613,356 $ 2,751,852 86199
553 800-607 Consumer Finance $ 3,764,279 $ 3,735,445 86200
556 800-615 Industrial Compliance $ 24,627,687 $ 25,037,257 86201
6A4 800-630 Real Estate Appraiser-Operating $ 658,506 $ 664,006 86202
653 800-629 UST Registration/Permit Fee $ 1,353,632 $ 1,249,632 86203
TOTAL SSR State Special Revenue 86204
Fund Group $ 95,000,778 $ 99,982,323 86205

Liquor Control Fund Group86206

043 800-601 Merchandising $ 341,079,554 $ 353,892,432 86207
043 800-627 Liquor Control Operating $ 17,248,488 $ 15,981,346 86208
043 800-633 Economic Development Debt Service $ 23,277,500 $ 29,029,500 86209
043 800-636 Revitalization Debt Service $ 4,747,800 $ 9,736,300 86210
TOTAL LCF Liquor Control 86211
Fund Group $ 386,353,342 $ 408,639,578 86212
TOTAL ALL BUDGET FUND GROUPS $ 495,663,973 $ 523,157,022 86213

       GRANTS-VOLUNTEER FIRE DEPARTMENTS86214

       The foregoing appropriation item 800-402, Grants-Volunteer86215
Fire Departments, shall be used to make annual grants to volunteer86216
fire departments of up to $10,000, or up to $25,000 if the86217
volunteer fire department provides service for an area affected by86218
a natural disaster. The grant program shall be administered by the 86219
Fire Marshal under the Department of Commerce. The Fire Marshal 86220
shall adopt rules necessary for the administration and operation 86221
of the grant program.86222

       SMALL GOVERNMENT FIRE DEPARTMENTS86223

       Upon the request of the Director of Commerce, the Director of86224
Budget and Management shall transfer $250,000 cash in each fiscal86225
year from the State Fire Marshal Fund (Fund 546) within the State86226
Special Revenue Fund Group to the Small Government Fire86227
Departments Fund (Fund 5F1) within the General Services Fund86228
Group.86229

       Notwithstanding section 3737.17 of the Revised Code, the86230
foregoing appropriation item 800-635, Small Government Fire86231
Departments, may be used to provide loans to private fire86232
departments.86233

       LABOR AND WORKER SAFETY86234

       The Department of Commerce may designate a portion of86235
appropriation item 800-410, Labor and Worker Safety, to be used to86236
match federal funding for the OSHA on-site consultation program.86237

       PENALTY ENFORCEMENT86238

       The foregoing appropriation item 800-621, Penalty86239
Enforcement, shall be used to enforce sections 4115.03 to 4115.1686240
of the Revised Code.86241

       UNCLAIMED FUNDS PAYMENTS86242

       The foregoing appropriation item 800-625, Unclaimed86243
Funds-Claims, shall be used to pay claims pursuant to section86244
169.08 of the Revised Code. If it is determined that additional86245
amounts are necessary, the amounts are hereby appropriated.86246

       BANKS FUND (FUND 544) TRANSFER TO THE GRF86247

        On July 31, 2003, or as soon as possible thereafter, the 86248
Director of Budget and Management may transfer up to $2,000,000 86249
cash from the Banks Fund (Fund 544) to the General Revenue Fund.86250

       FIRE MARSHAL FUND (FUND 546) TRANSFER TO THE GRF86251

        On July 31, 2003, or as soon as possible thereafter, the 86252
Director of Budget and Management may transfer up to $10,000,000 86253
cash from the Fire Marshal Fund (Fund 546) to the General Revenue 86254
Fund.86255

       REAL ESTATE FUND (FUND 549) TRANSFER TO THE GRF86256

        On July 31, 2003, or as soon as possible thereafter, the 86257
Director of Budget and Management may transfer up to $1,000,000 86258
cash from the Real Estate Fund (Fund 549) to the General Revenue 86259
Fund.86260

       INDUSTRIAL COMPLIANCE FUND (FUND 556) TRANSFER TO THE GRF86261

        On July 31, 2003, or as soon as possible thereafter, the 86262
Director of Budget and Management may transfer up to $1,000,000 86263
cash from the Industrial Compliance Fund (Fund 556), to the 86264
General Revenue Fund.86265

       INCREASED APPROPRIATION AUTHORITY - MERCHANDISING86266

       The foregoing appropriation item 800-601, Merchandising, 86267
shall be used pursuant to section 4301.12 of the Revised Code. If 86268
it is determined that additional amounts are necessary, the 86269
amounts are hereby appropriated.86270

       ECONOMIC DEVELOPMENT DEBT SERVICE86271

       The foregoing appropriation item 800-633, Economic 86272
Development Debt Service, shall be used to meet all payments at 86273
the times they are required to be made during the period from July 86274
1, 2003, to June 30, 2005, for bond service charges on obligations86275
issued under Chapter 166. of the Revised Code. If it is determined 86276
that additional appropriations are necessary for this purpose, 86277
such amounts are hereby appropriated, subject to the limitations 86278
set forth in section 166.11 of the Revised Code. The General 86279
Assembly acknowledges that an appropriation for this purpose is 86280
not required, but is made in this form and in this act for record 86281
purposes only.86282

       REVITALIZATION DEBT SERVICE86283

       The foregoing appropriation item 800-636, Revitalization Debt86284
Service, shall be used to pay debt service and related financing86285
costs under sections 151.01 and 151.40 of the Revised Code during 86286
the period from July 1, 2003, to June 30, 2005. If it is 86287
determined that additional appropriations are necessary for this 86288
purpose, such amounts are hereby appropriated. The General 86289
Assembly acknowledges the priority of the pledge of a portion of 86290
receipts from that source to obligations issued and to be issued 86291
under Chapter 166. of the Revised Code.86292

       ADMINISTRATIVE ASSESSMENTS86293

       Notwithstanding any other provision of law to the contrary,86294
Fund 163, Division of Administration, shall receive assessments 86295
from all operating funds of the department in accordance with 86296
procedures prescribed by the Director of Commerce and approved by 86297
the Director of Budget and Management.86298

       Section 30. OCC OFFICE OF CONSUMERS' COUNSEL86299

General Services Fund Group86300

5F5 053-601 Operating Expenses $ 9,277,519 $ 9,277,519 86301
TOTAL GSF General Services Fund Group $ 9,277,519 $ 9,277,519 86302
TOTAL ALL BUDGET FUND GROUPS $ 9,277,519 $ 9,277,519 86303


       Section 31.  CEB CONTROLLING BOARD86305

General Revenue Fund86306

GRF 911-401 Emergency Purposes/Contingencies $ 5,000,000 $ 5,000,000 86307
GRF 911-404 Mandate Assistance $ 1,462,500 $ 1,462,500 86308
GRF 911-441 Ballot Advertising Costs $ 887,500 $ 487,500 86309
TOTAL GRF General Revenue Fund $ 7,350,000 $ 6,950,000 86310

State Special Revenue Fund Group86311

5E2 911-601 Disaster Services $ 4,000,000 $ 0 86312
TOTAL SSR State Special 86313
Revenue Fund Group $ 4,000,000 $ 0 86314
TOTAL ALL BUDGET FUND GROUPS $ 11,350,000 $ 6,950,000 86315

       FEDERAL SHARE86316

       In transferring appropriations to or from appropriation items86317
that have federal shares identified in this act, the Controlling86318
Board shall add or subtract corresponding amounts of federal86319
matching funds at the percentages indicated by the state and86320
federal division of the appropriations in this act. Such changes86321
are hereby appropriated.86322

       DISASTER ASSISTANCE86323

       Pursuant to requests submitted by the Department of Public86324
Safety, the Controlling Board may approve transfers from the86325
Emergency Purposes Fund to a Department of Public Safety General86326
Revenue Fund appropriation item to provide funding for assistance86327
to political subdivisions made necessary by natural disasters or86328
emergencies. Such transfers may be requested and approved prior to86329
the occurrence of any specific natural disasters or emergencies in86330
order to facilitate the provision of timely assistance.86331

       SOUTHERN OHIO CORRECTIONAL FACILITY COST86332

       The Office of Criminal Justice Services and the Public86333
Defender Commission may each request, upon approval of the86334
Director of Budget and Management, additional funds from the86335
Emergency Purposes Fund for costs related to the disturbance that86336
occurred on April 11, 1993, at the Southern Ohio Correctional86337
Facility in Lucasville, Ohio.86338

       DISASTER SERVICES86339

       Pursuant to requests submitted by the Department of Public86340
Safety, the Controlling Board may approve transfers from the86341
foregoing appropriation item 911-601, Disaster Services, to a86342
Department of Public Safety General Revenue Fund appropriation86343
item to provide for assistance to political subdivisions made86344
necessary by natural disasters or emergencies. These transfers may 86345
be requested and approved prior to the occurrence of any specific 86346
natural disasters or emergencies in order to facilitate the 86347
provision of timely assistance. The Emergency Management Agency of 86348
the Department of Public Safety shall use the funding for disaster 86349
aid requests that meet the Emergency Management Agency's criteria 86350
for assistance.86351

       The foregoing appropriation item 911-601, Disaster Services,86352
shall be used by the Controlling Board, pursuant to requests86353
submitted by state agencies, to transfer cash and appropriation86354
authority to any fund and appropriation item for the payment of86355
state agency program expenses as follows:86356

       (A) The southern Ohio flooding, referred to as86357
FEMA-DR-1164-OH;86358

       (B) The flood/storm disaster referred to as FEMA-DR-1227-OH;86359

       (C) The Southern Ohio flooding, referred to as86360
FEMA-DR-1321-OH;86361

       (D) The flooding referred to as FEMA-DR-1339-OH;86362

       (E) The tornado/storms referred to as FEMA-DR-1343-OH;86363

       (F) Other disasters declared by the Governor, if the Director 86364
of Budget and Management determines that sufficient funds exist 86365
beyond the expected program costs of these disasters.86366

       The unencumbered balance of appropriation item 911-601, 86367
Disaster Services, at the end of fiscal year 2004 is transferred 86368
to fiscal year 2005 for use under the same appropriation item.86369

       MANDATE ASSISTANCE86370

       (A) The foregoing appropriation item 911-404, Mandate86371
Assistance, shall be used to provide financial assistance to local86372
units of government, school districts, and fire departments for86373
the cost of the following three unfunded state mandates:86374

       (1) The cost to county prosecutors for prosecuting certain86375
felonies that occur on the grounds of state institutions operated86376
by the Department of Rehabilitation and Correction and the86377
Department of Youth Services;86378

       (2) The cost, primarily to small villages and townships, of86379
providing firefighter training and equipment or gear;86380

       (3) The cost to school districts of in-service training for86381
child abuse detection.86382

       (B) The Department of Commerce, the Office of Criminal86383
Justice Services, and the Department of Education may prepare and86384
submit to the Controlling Board one or more requests to transfer86385
appropriations from appropriation item 911-404, Mandate86386
Assistance. The state agencies charged with this administrative86387
responsibility are listed below, as well as the estimated annual86388
amounts that may be used for each program of state financial86389
assistance.86390

ADMINISTERING ESTIMATED ANNUAL 86391
PROGRAM AGENCY AMOUNT 86392

Prosecution Costs Office of Criminal $146,500 86393
Justice Services 86394
Firefighter Training Costs Department of Commerce $731,000 86395
Child Abuse Detection Training Costs Department of Education $585,000 86396

       (C) Subject to the total amount appropriated in each fiscal86397
year for appropriation item 911-404, Mandate Assistance, the86398
Department of Commerce, the Office of Criminal Justice Services,86399
and the Department of Education may request from the Controlling86400
Board that amounts smaller or larger than these estimated annual86401
amounts be transferred to each program.86402

       (D) In addition to making the initial transfers requested by86403
the Department of Commerce, the Office of Criminal Justice86404
Services, and the Department of Education, the Controlling Board86405
may transfer appropriations received by a state agency under this86406
section back to appropriation item 911-404, Mandate Assistance, or86407
to one or more of the other programs of state financial assistance86408
identified under this section.86409

       (E) It is expected that not all costs incurred by local units 86410
of government, school districts, and fire departments under each 86411
of the three programs of state financial assistance identified 86412
under this section will be fully reimbursed by the state. 86413
Reimbursement levels may vary by program and shall be based on: 86414
the relationship between the appropriation transfers requested by 86415
the Department of Commerce, the Office of Criminal Justice 86416
Services, and the Department of Education and provided by the 86417
Controlling Board for each of the programs; the rules and86418
procedures established for each program by the administering state86419
agency; and the actual costs incurred by local units of86420
government, school districts, and fire departments.86421

       (F) Each of these programs of state financial assistance86422
shall be carried out as follows:86423

       (1) PROSECUTION COSTS86424

       (a) Appropriations may be transferred to the Office of86425
Criminal Justice Services to cover local prosecution costs for86426
aggravated murder, murder, felonies of the first degree, and86427
felonies of the second degree that occur on the grounds of86428
institutions operated by the Department of Rehabilitation and86429
Correction and the Department of Youth Services.86430

       (b) Upon a delinquency filing in juvenile court or the return 86431
of an indictment for aggravated murder, murder, or any felony of86432
the first or second degree that was committed at a Department of86433
Youth Services or a Department of Rehabilitation and Correction86434
institution, the affected county may, in accordance with rules86435
that the Office of Criminal Justice Services shall adopt, apply to 86436
the Office of Criminal Justice Services for a grant to cover all 86437
documented costs that are incurred by the county prosecutor's 86438
office.86439

       (c) Twice each year, the Office of Criminal Justice Services86440
shall designate counties to receive grants from those counties86441
that have submitted one or more applications in compliance with86442
the rules that have been adopted by the Office of Criminal Justice86443
Services for the receipt of such grants. In each year's first86444
round of grant awards, if sufficient appropriations have been86445
made, up to a total of $100,000 may be awarded. In each year's86446
second round of grant awards, the remaining appropriations86447
available for this purpose may be awarded.86448

       (d) If for a given round of grants there are insufficient86449
appropriations to make grant awards to all the eligible counties,86450
the first priority shall be given to counties with cases involving86451
aggravated murder and murder; second priority shall be given to86452
cases involving a felony of the first degree; and third priority86453
shall be given to cases involving a felony of the second degree.86454
Within these priorities, the grant awards shall be based on the86455
order in which the applications were received, except that86456
applications for cases involving a felony of the first or second86457
degree shall not be considered in more than two consecutive rounds86458
of grant awards.86459

       (2) FIREFIGHTER TRAINING COSTS86460

       Appropriations may be transferred to the Department of86461
Commerce for use as full or partial reimbursement to local units86462
of government and fire departments for the cost of firefighter86463
training and equipment or gear. In accordance with rules that the86464
department shall adopt, a local unit of government or fire86465
department may apply to the department for a grant to cover all86466
documented costs that are incurred to provide firefighter training86467
and equipment or gear. The department shall make grants within the 86468
limits of the funding provided, with priority given to fire86469
departments that serve small villages and townships.86470

       (3) CHILD ABUSE DETECTION TRAINING COSTS86471

       Appropriations may be transferred to the Department of86472
Education for disbursement to local school districts as full or86473
partial reimbursement for the cost of providing in-service86474
training for child abuse detection. In accordance with rules that86475
the department shall adopt, a local school district may apply to86476
the department for a grant to cover all documented costs that are86477
incurred to provide in-service training for child abuse detection.86478
The department shall make grants within the limits of the funding86479
provided.86480

       (G) Any moneys allocated within appropriation item 911-404,86481
Mandate Assistance, not fully utilized may, upon application of86482
the Ohio Public Defender Commission, and with the approval of the86483
Controlling Board, be disbursed to boards of county commissioners86484
to provide additional reimbursement for the costs incurred by 86485
counties in providing defense to indigent defendants pursuant to 86486
Chapter 120. of the Revised Code.86487

       The amount to be disbursed to each county shall be allocated86488
proportionately on the basis of the total amount of reimbursement 86489
paid to each county as a percentage of the amount of reimbursement 86490
paid to all of the counties during the most recent state fiscal 86491
year for which data is available and as calculated by the Ohio 86492
Public Defender Commission.86493

       BALLOT ADVERTISING COSTS86494

       Pursuant to requests submitted by the Ohio Ballot Board, the86495
Controlling Board shall approve transfers from the foregoing86496
appropriation item 911-441, Ballot Advertising Costs, to an Ohio86497
Ballot Board appropriation item in order to reimburse county86498
boards of elections for the cost of public notices associated with86499
statewide ballot initiatives.86500

       Of the foregoing appropriation item 911-441, Ballot86501
Advertising Costs, the Director of Budget and Management shall86502
transfer any amounts that are not needed for the purpose of86503
reimbursing county boards of elections for the cost of public86504
notices associated with statewide ballot initiatives to86505
appropriation item 911-404, Mandate Assistance.86506

       Section 32.  COS STATE BOARD OF COSMETOLOGY86507

General Services Fund Group86508

4K9 879-609 Operating Expenses $ 2,681,359 $ 2,822,359 86509
TOTAL GSF General Services Fund 86510
Group $ 2,681,359 $ 2,822,359 86511
TOTAL ALL BUDGET FUND GROUPS $ 2,681,359 $ 2,822,359 86512


       Section 33.  CSW COUNSELOR, SOCIAL WORKER, AND MARRIAGE AND 86514
FAMILY THERAPIST BOARD86515

General Services Fund Group86516

4K9 899-609 Operating Expenses $ 1,021,524 $ 1,044,812 86517
TOTAL GSF General Services Fund 86518
Group $ 1,021,524 $ 1,044,812 86519
TOTAL ALL BUDGET FUND GROUPS $ 1,021,524 $ 1,044,812 86520


       Section 34. CLA COURT OF CLAIMS86522

General Revenue Fund86523

GRF 015-321 Operating Expenses $ 2,452,000 $ 2,477,000 86524
TOTAL GRF General Revenue Fund $ 2,452,000 $ 2,477,000 86525

State Special Revenue Fund Group86526

5K2 015-603 CLA Victims of Crime $ 1,532,043 $ 1,582,684 86527
TOTAL SSR State Special Revenue 86528
Fund Group $ 1,532,043 $ 1,582,684 86529
TOTAL ALL BUDGET FUND GROUPS $ 3,984,043 $ 4,059,684 86530

       OFFICE SPACE RENTAL EXPENSES86531

        Of the foregoing appropriation item 015-321, Operating 86532
Expenses, in fiscal year 2005, $302,000 shall be for the purpose 86533
of paying fiscal year 2005 office space rental expenses. Upon 86534
approval of the Controlling Board, the Court of Claims may expend 86535
up to $302,000 for the purpose of paying fiscal year 2005 office 86536
space rental expenses.86537

       Section 35. CJS OFFICE OF CRIMINAL JUSTICE SERVICES86538

General Revenue Fund86539

GRF 196-401 Criminal Justice Information System $ 534,570 $ 520,503 86540
GRF 196-403 Center for Violence Prevention $ 20,000 $ 20,000 86541
GRF 196-405 Violence Prevention Subsidy $ 707,076 $ 688,469 86542
GRF 196-424 Operating Expenses $ 1,431,371 $ 1,427,971 86543
TOTAL GRF General Revenue Fund $ 2,693,017 $ 2,656,943 86544

General Services Fund Group86545

4P6 196-601 General Services $ 135,450 $ 86,500 86546
TOTAL GSF Services Fund Group $ 135,450 $ 86,500 86547

Federal Special Revenue Fund Group86548

3L5 196-604 Justice Program $ 30,334,908 $ 30,311,870 86549
3U1 196-602 Criminal Justice Federal Programs $ 1,000,000 $ 0 86550
3V8 196-605 Federal Program Purposes FFY 01 $ 250,000 $ 0 86551
TOTAL FED Federal Special Revenue Fund Group $ 31,584,908 $ 30,311,870 86552
TOTAL ALL BUDGET FUND GROUPS $ 34,413,375 $ 33,055,313 86553

       INDIGENT DEFENSE86554

       The Office of Criminal Justice Services shall make all 86555
efforts to maximize the amount of funding available for the 86556
defense of indigent persons.86557

       CRIMINAL JUSTICE INFORMATION SYSTEM86558

       The foregoing appropriation item 196-401, Criminal Justice 86559
Information System, shall be used by the Office of Criminal 86560
Justice Services to work on a plan to improve Ohio's criminal 86561
justice information systems. The Director of Criminal Justice 86562
Services shall evaluate the progress of this plan and issue a 86563
report to the Governor, the Speaker and the Minority Leader of the 86564
House of Representatives, the President and the Minority Leader of 86565
the Senate, the Criminal Justice Policy Board, and the Legislative 86566
Service Commission by the first day of January of each year of the 86567
two-year biennium beginning July 1, 2003, and ending June 30, 86568
2005.86569

       VIOLENCE PREVENTION SUBSIDY86570

        Of the foregoing appropriation item 196-405, Violence 86571
Prevention Subsidy, $60,000 in fiscal year 2004 shall be used for 86572
Montgomery County's STVM Safe House Domestic Transitional Housing.86573

       OPERATING EXPENSES86574

       Of the foregoing appropriation item 196-424, Operating 86575
Expenses, up to $650,000 in each fiscal year shall be used for the 86576
purpose of matching federal funds.86577

       JUVENILE ACCOUNTABILITY INCENTIVE BLOCK GRANT86578

       The foregoing appropriation item 196-602, Criminal Justice 86579
Federal Programs, shall be used to fund and close out the Juvenile 86580
Accountability Incentive Block Grant Program for federal fiscal 86581
year 1999.86582

       Section 36.  DEN STATE DENTAL BOARD86583

General Services Fund Group86584

4K9 880-609 Operating Expenses $ 1,324,456 $ 1,346,656 86585
TOTAL GSF General Services Fund 86586
Group $ 1,324,456 $ 1,346,656 86587
TOTAL ALL BUDGET FUND GROUPS $ 1,324,456 $ 1,346,656 86588


       Section 37.  BDP BOARD OF DEPOSIT86590

General Services Fund Group86591

4M2 974-601 Board of Deposit $ 1,676,000 $ 1,676,000 86592
TOTAL GSF General Services Fund 86593
Group $ 1,676,000 $ 1,676,000 86594
TOTAL ALL BUDGET FUND GROUPS $ 1,676,000 $ 1,676,000 86595

       BOARD OF DEPOSIT EXPENSE FUND86596

       Upon receiving certification of expenses from the Treasurer86597
of State, the Director of Budget and Management shall transfer86598
cash from the Investment Earnings Redistribution Fund (Fund 608)86599
to the Board of Deposit Expense Fund (Fund 4M2). The latter fund86600
shall be used to pay for banking charges and fees required for the86601
operation of the State of Ohio Regular Account.86602

       Section 38. DEV DEPARTMENT OF DEVELOPMENT86603

General Revenue Fund86604

GRF 195-321 Operating Expenses $ 2,695,236 $ 3,020,115 86605
GRF 195-401 Thomas Edison Program $ 16,634,934 $ 16,334,934 86606
GRF 195-404 Small Business Development $ 1,740,722 $ 1,740,722 86607
GRF 195-405 Minority Business Development Division $ 1,620,755 $ 1,669,378 86608
GRF 195-407 Travel and Tourism $ 6,049,345 $ 7,049,345 86609
GRF 195-410 Defense Conversion Assistance $ 1,500,000 $ 0 86610
GRF 195-412 Business Development Grants $ 8,905,530 $ 8,905,530 86611
GRF 195-414 First Frontier Match $ 389,987 $ 389,987 86612
GRF 195-415 Economic Development Division and Regional Offices $ 5,594,975 $ 5,594,975 86613
GRF 195-416 Governor's Office of Appalachia $ 4,372,324 $ 4,372,324 86614
GRF 195-417 Urban/Rural Initiative $ 589,390 $ 589,390 86615
GRF 195-422 Third Frontier Action Fund $ 16,790,000 $ 16,790,000 86616
GRF 195-426 Clean Ohio Administration $ 518,730 $ 518,730 86617
GRF 195-432 International Trade $ 4,492,713 $ 4,492,713 86618
GRF 195-434 Investment in Training Grants $ 12,227,500 $ 12,227,500 86619
GRF 195-436 Labor/Management Cooperation $ 811,869 $ 811,869 86620
GRF 195-497 CDBG Operating Match $ 1,107,400 $ 1,107,400 86621
GRF 195-498 State Energy Match $ 100,000 $ 100,000 86622
GRF 195-501 Appalachian Local Development Districts $ 380,080 $ 380,080 86623
GRF 195-502 Appalachian Regional Commission Dues $ 238,274 $ 246,803 86624
GRF 195-507 Travel and Tourism Grants $ 1,025,000 $ 1,025,000 86625
GRF 195-515 Economic Development Contingency $ 10,000,000 $ 10,000,000 86626
GRF 195-516 Shovel Ready Sites $ 2,500,000 $ 2,500,000 86627
GRF 195-905 Third Frontier Research & Commercialization General Obligation Debt Service $ 0 $ 7,360,000 86628
TOTAL GRF General Revenue Fund $ 100,284,764 $ 107,226,795 86629

General Services Fund Group86630

135 195-605 Supportive Services $ 7,417,068 $ 7,539,686 86631
136 195-621 International Trade $ 24,915 $ 24,915 86632
685 195-636 General Reimbursements $ 1,316,012 $ 1,232,530 86633
TOTAL GSF General Services Fund 86634
Group $ 8,757,995 $ 8,797,131 86635

Federal Special Revenue Fund Group86636

3K8 195-613 Community Development Block Grant $ 65,000,000 $ 65,000,000 86637
3K9 195-611 Home Energy Assistance Block Grant $ 85,036,000 $ 85,036,000 86638
3K9 195-614 HEAP Weatherization $ 16,219,479 $ 16,219,479 86639
3L0 195-612 Community Services Block Grant $ 25,235,000 $ 25,235,000 86640
3V1 195-601 HOME Program $ 40,000,000 $ 40,000,000 86641
308 195-602 Appalachian Regional Commission $ 350,200 $ 350,200 86642
308 195-603 Housing and Urban Development $ 5,000,000 $ 5,000,000 86643
308 195-605 Federal Projects $ 15,300,248 $ 15,300,248 86644
308 195-609 Small Business Administration $ 4,196,381 $ 4,296,381 86645
308 195-618 Energy Federal Grants $ 3,397,659 $ 3,397,659 86646
335 195-610 Oil Overcharge $ 8,500,000 $ 8,500,000 86647
380 195-622 Housing Development Operating $ 5,606,080 $ 5,667,627 86648
TOTAL FED Federal Special Revenue 86649
Fund Group $ 273,841,047 $ 274,002,594 86650

State Special Revenue Fund Group86651

4F2 195-639 State Special Projects $ 540,183 $ 290,183 86652
4H4 195-641 First Frontier $ 500,000 $ 500,000 86653
4S0 195-630 Enterprise Zone Operating $ 211,900 $ 211,900 86654
4S1 195-634 Job Creation Tax Credit Operating $ 375,800 $ 375,800 86655
4W1 195-646 Minority Business Enterprise Loan $ 2,580,597 $ 2,580,597 86656
444 195-607 Water and Sewer Commission Loans $ 523,775 $ 523,775 86657
445 195-617 Housing Finance Operating $ 5,040,843 $ 4,983,738 86658
450 195-624 Minority Business Bonding Program Administration $ 13,563 $ 13,563 86659
451 195-625 Economic Development Financing Operating $ 2,358,310 $ 2,358,310 86660
5M4 195-659 Universal Service $ 170,000,000 $ 170,000,000 86661
5M5 195-660 Energy Efficiency Revolving Loan $ 12,000,000 $ 12,000,000 86662
611 195-631 Water and Sewer Administration $ 15,713 $ 15,713 86663
617 195-654 Volume Cap Administration $ 200,000 $ 200,000 86664
646 195-638 Low and Moderate Income Housing Trust Fund $ 40,000,000 $ 40,000,000 86665
TOTAL SSR State Special Revenue 86666
Fund Group $ 234,360,684 $ 234,053,579 86667

Facilities Establishment Fund Group86668

009 195-664 Innovation Ohio $ 50,000,000 $ 55,000,000 86669
037 195-615 Facilities Establishment $ 63,931,149 $ 63,931,149 86670
4Z6 195-647 Rural Industrial Park Loan $ 5,000,000 $ 5,000,000 86671
5D2 195-650 Urban Redevelopment Loans $ 10,475,000 $ 10,475,000 86672
5H1 195-652 Family Farm Loan Guarantee $ 1,500,000 $ 1,500,000 86673
5S8 195-627 Rural Development Initiative $ 5,000,000 $ 5,000,000 86674
5S9 195-628 Capital Access Loan Program $ 3,000,000 $ 3,000,000 86675
TOTAL 037 Facilities 86676
Establishment Fund Group $ 138,906,149 $ 143,906,149 86677

Clean Ohio Revitalization Fund86678

003 195-663 Clean Ohio Operating $ 150,000 $ 150,000 86679
TOTAL 003 Clean Ohio Revitalization Fund $ 150,000 $ 150,000 86680
TOTAL ALL BUDGET FUND GROUPS $ 756,300,639 $ 768,136,248 86681


       Section 38.01. THOMAS EDISON PROGRAM86683

       The foregoing appropriation item 195-401, Thomas Edison86684
Program, shall be used for the purposes of sections 122.28 to86685
122.38 of the Revised Code in order to provide funds for86686
cooperative public and private efforts in technological innovation86687
to promote the development and transfer of technology by and to86688
Ohio businesses that will lead to the creation of jobs, and to86689
provide for the administration of this program by the Technology86690
Division.86691

       Of the foregoing appropriation item 195-401, Thomas Edison86692
Program, not more than $2,000,000 in fiscal year 2004 and86693
$2,300,000 in fiscal year 2005 shall be used for operating 86694
expenditures in administering the programs of the Technology86695
Division.86696

       Section 38.02.  SMALL BUSINESS DEVELOPMENT86697

       The foregoing appropriation item 195-404, Small Business86698
Development, shall be used to ensure that the unique needs and86699
concerns of small businesses are addressed.86700

       The foregoing appropriation item 195-404, Small Business 86701
Development, may be used to provide grants to local organizations 86702
to support the operation of Small Business Development Centers and 86703
other local economic development activity promoting small 86704
business, and for the cost of administering the small business 86705
development center program. The centers shall provide technical,86706
financial, and management consultation for small business and 86707
shall facilitate access to state and federal programs. These funds 86708
shall be used as matching funds for grants from the United States 86709
Small Business Administration and other federal agencies, pursuant 86710
to Public Law No. 96-302 (1980) as amended by Public Law No. 86711
98-395 (1984), and regulations and policy guidelines for the 86712
programs under this law.86713

       In addition, the Office of Small Business may operate the86714
1st-Stop Business Connection and implement and coordinate the 86715
duties imposed on the Department of Development by Am. Sub. S.B. 86716
239 of the 115th General Assembly.86717

       MINORITY BUSINESS DEVELOPMENT DIVISION86718

       Of the foregoing appropriation item 195-405, Minority86719
Business Development Division, up to $1,060,000 but not less than 86720
$954,000 in each fiscal year shall be used to fund minority 86721
contractors and business assistance organizations. The Minority86722
Business Development Division shall determine which cities need 86723
minority contractors and business assistance organizations by 86724
utilizing United States Census Bureau data and zip codes to locate 86725
the highest concentrations of minority businesses. The Minority86726
Business Development Division also shall determine the numbers of86727
minority contractors and business assistance organizations86728
necessary and the amount of funding to be provided each. In86729
addition, the Minority Business Development Division shall86730
continue to plan and implement business conferences.86731

       Section 38.03. OHIO PREPAREDNESS FOR BRAC-200586732

       The foregoing appropriation item 195-410, Defense Conversion 86733
Assistance, shall be used for grants to local communities to pay 86734
for the costs associated with the research and preparation of 86735
response plans for military installations in Ohio, including 86736
Wright Patterson Air Force Base, Springfield Air National Guard 86737
Base, and other Ohio military installations in the state for the 86738
U.S. Department of Defense Base Realignment and Closure (BRAC) 86739
2005 Program. The grants shall contain requirements for cost 86740
sharing to evidence the commitment of local communities to this 86741
process. The Director of Development may reserve up to five per 86742
cent of the appropriation for contingency and administration 86743
support.86744

       Section 38.04. BUSINESS DEVELOPMENT86745

       The foregoing appropriation item 195-412, Business86746
Development Grants, shall be used as an incentive for attracting86747
and retaining business opportunities for the state. Any such86748
business opportunity, whether new, expanding, or relocating in86749
Ohio, is eligible for funding. The project must create or retain a 86750
significant number of jobs for Ohioans. Grant awards may be86751
considered only when (1) the project's viability hinges on an86752
award of funds from appropriation item 195-412, Business 86753
Development Grants; (2) all other public or private sources of 86754
financing have been considered; or (3) the funds act as a catalyst 86755
for the infusion into the project of other financing sources.86756

       The department's primary goal shall be to award funds to86757
political subdivisions of the state for off-site infrastructure86758
improvements. In order to meet the particular needs of economic86759
development in a region, the department may elect to award funds86760
directly to a business for on-site infrastructure improvements.86761
"Infrastructure improvements" mean improvements to water system86762
facilities, sewer and sewage treatment facilities, electric or gas86763
service facilities, fiber optic facilities, rail facilities, site86764
preparation, and parking facilities. The Director of Development86765
may recommend the funds be used in an alternative manner when86766
deemed appropriate to meet an extraordinary economic development86767
opportunity or need.86768

       The foregoing appropriation item 195-412, Business86769
Development Grants, may be expended only after the submission of a86770
request to the Controlling Board by the Department of Development86771
outlining the planned use of the funds, and the subsequent86772
approval of the request by the Controlling Board.86773

       The foregoing appropriation item 195-412, Business86774
Development Grants, may be used for, but is not limited to,86775
construction, rehabilitation, and acquisition projects for rail86776
freight assistance as requested by the Department of86777
Transportation. The Director of Transportation shall submit the86778
proposed projects to the Director of Development for an evaluation86779
of potential economic benefit.86780

       Section 38.05.  FIRST FRONTIER MATCH86781

       The foregoing appropriation item 195-414, First Frontier86782
Match, shall be used as matching funds to targeted counties for86783
the purpose of marketing state, regional, and local86784
characteristics that may attract economic development. "Targeted86785
counties" mean counties that have a population of less than86786
175,000 residents. The appropriation may be used either for86787
marketing programs by individual targeted counties or for regional86788
marketing campaigns that are marketing programs in which at least 86789
one targeted county is participating with one or more other 86790
targeted counties or larger counties.86791

       ECONOMIC DEVELOPMENT DIVISION AND REGIONAL OFFICES86792

       The foregoing appropriation item 195-415, Economic86793
Development Division and Regional Offices, shall be used for the 86794
operating expenses of the Economic Development Division and the 86795
regional economic development offices and for grants for 86796
cooperative economic development ventures.86797

       Section 38.06.  GOVERNOR'S OFFICE OF APPALACHIA86798

       The foregoing appropriation item 195-416, Governor's Office86799
of Appalachia, shall be used for the administrative costs of86800
planning and liaison activities for the Governor's Office of86801
Appalachia. Funds not expended for planning and liaison activities 86802
may be expended for special project grants within the Appalachian 86803
Region.86804

       Of the foregoing appropriation item 195-416, Governor's86805
Office of Appalachia, up to $250,000 each fiscal year shall be86806
used to match federal funds from the Appalachian Regional86807
Commission to provide job training to impact the Appalachian86808
Region.86809

       Of the foregoing appropriation item 195-416, Governor's 86810
Office of Appalachia, up to $4,372,324 in each fiscal year shall 86811
be used in conjunction with other federal and state funds to 86812
provide financial assistance to projects in Ohio's Appalachian 86813
counties in order to further the goals of the Appalachian Regional 86814
Commission. Such projects and project sponsors shall meet 86815
Appalachian Regional Commission eligibility requirements. Grants 86816
shall be administered by the Department of Development.86817

       URBAN/RURAL INITIATIVE86818

       The foregoing appropriation item 195-417, Urban/Rural86819
Initiative, shall be used to make grants in accordance with86820
sections 122.19 to 122.22 of the Ohio Revised Code.86821

       Section 38.07. THIRD FRONTIER ACTION FUND86822

       The foregoing appropriation item 195-422, Third Frontier 86823
Action Fund, shall be used to make grants in accordance with 86824
sections 184.01 and 184.02 of the Revised Code. Prior to the 86825
release of funds from appropriation item 195-422, Third Frontier 86826
Action Fund, each grant award shall be recommended for funding by 86827
the Third Frontier Commission and obtain approval from the 86828
Controlling Board.86829

       Of the foregoing appropriation item 195-422, Third Frontier 86830
Action Fund, not more than six per cent in each fiscal year shall 86831
be used for operating expenditures in administering the program.86832

       In addition to the six per cent for operating expenditures,86833
an additional administrative amount, not to exceed $1,500,00086834
within the biennium, shall be available for proposal evaluation, 86835
research and analyses, and marketing efforts deemed necessary to 86836
receive and disseminate information about science and 86837
technology-related opportunities in the state.86838

       SCIENCE AND TECHNOLOGY COLLABORATION86839

       The Department of Development shall work in close 86840
collaboration with the Board of Regents and the Third Frontier 86841
Commission in relation to appropriation items and programs listed 86842
in the following paragraph, and other technology-related 86843
appropriations and programs in the Department of Development, the 86844
Board of Regents, and Air Quality Development Authority, as those 86845
agencies may designate, to ensure implementation of a coherent 86846
state strategy with respect to science and technology.86847

       Each of the following appropriations and programs: 195-401, 86848
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 86849
Third Frontier Action Fund; 898-604, Coal Research and Development 86850
Fund; 235-454, Research Challenge; 235-510, Ohio Supercomputer 86851
Center; 235-527, Ohio Aerospace Institute; 235-535, Agricultural 86852
Research and Development Center; 235-553, Dayton Area Graduate 86853
Studies Institute; 235-554, Computer Science Graduate Education; 86854
235-556, Ohio Academic Resources Network; and 195-435, Biomedical 86855
Research and Technology Transfer Trust, shall be reviewed annually 86856
by the Third Frontier Commission with respect to its development 86857
of complementary relationships within a combined state science and 86858
technology investment portfolio and its overall contribution to 86859
the state's science and technology strategy, including the 86860
adoption of appropriately consistent criteria for: (1) the 86861
scientific merit of activities supported by the program; (2) the 86862
relevance of the program's activities to commercial opportunities 86863
in the private sector; (3) the private sector's involvement in a 86864
process that continually evaluates commercial opportunities to use 86865
the work supported by the program; and (4) the ability of the 86866
program and recipients of grant funding from the program to engage 86867
in activities that are collaborative, complementary, and efficient 86868
with respect to the expenditure of state funds.86869

       All programs listed in the preceding paragraph shall provide 86870
annual reports to the Third Frontier Commission discussing 86871
existing, planned, or possible collaborations between programs and 86872
recipients of grant funding related to technology, development, 86873
commercialization, and supporting Ohio's economic development. The 86874
annual review by the Third Frontier Commission shall be a 86875
comprehensive review of the entire state science and technology 86876
program portfolio rather than a review of individual programs.86877

       Section 38.08.  INTERNATIONAL TRADE86878

       The foregoing appropriation item 195-432, International86879
Trade, shall be used to operate and to maintain Ohio's86880
out-of-state trade offices.86881

       The Director of Development may enter into contracts with86882
foreign nationals to staff foreign offices. Such contracts may be86883
paid in local currency or United States currency and shall be86884
exempt from the provisions of section 127.16 of the Revised Code.86885
The director also may establish foreign currency accounts in86886
accordance with section 122.05 of the Revised Code for the payment86887
of expenses related to the operation and maintenance of the86888
foreign trade offices.86889

       The foregoing appropriation item 195-432, International86890
Trade, shall be used to fund the International Trade Division and86891
to assist Ohio manufacturers and agricultural producers in86892
exporting to foreign countries in conjunction with the Department86893
of Agriculture.86894

       Of the foregoing appropriation item 195-432, International86895
Trade, up to $35,000 may be used to purchase gifts for86896
representatives of foreign governments or dignitaries of foreign86897
countries.86898

       Section 38.09.  OHIO INVESTMENT IN TRAINING PROGRAM86899

       The foregoing appropriation item 195-434, Investment in86900
Training Grants, shall be used to promote training through grants 86901
for the reimbursement of eligible training expenses.86902

       Section 38.10. CDBG OPERATING MATCH86903

       The foregoing appropriation item 195-497, CDBG Operating 86904
Match, shall be used to provide matching funds as requested by the 86905
United States Department of Housing and Urban Development to 86906
administer the federally funded Community Development Block Grant 86907
(CDBG) program.86908

       STATE OPERATING MATCH86909

       The foregoing appropriation item 195-498, State Energy Match, 86910
shall be used to provide matching funds as required by the United 86911
States Department of Energy to administer the federally funded 86912
State Energy Plan.86913

       Section 38.11.  TRAVEL AND TOURISM GRANTS86914

       The foregoing appropriation item 195-507, Travel and Tourism86915
Grants, shall be used to provide grants to local organizations to86916
support various local travel and tourism events in Ohio.86917

       Of the foregoing appropriation item 195-507, Travel and86918
Tourism Grants, up to $160,000 in each fiscal year of the biennium86919
may be used to support the outdoor dramas Trumpet in the Land,86920
Blue Jacket, Tecumseh, and the Becky Thatcher Showboat Drama; 86921
$40,000 in each fiscal year shall be used for the Cincinnati Film 86922
Commission; $40,000 in each fiscal year shall be used for the 86923
Cleveland Film Commission; $600,000 in each fiscal year shall be 86924
used for grants to the International Center for the Preservation 86925
of Wild Animals; $120,000 in each fiscal year shall be used for 86926
the Ottawa County Visitors Bureau, the Sandusky/Erie County 86927
Visitors and Convention Bureau, and the Lorain County Visitors 86928
Bureau for collaborative efforts to promote tourism; $25,000 in 86929
each fiscal year shall be used for the Ohio River Trails Program; 86930
$40,000 in fiscal year 2004 shall be used for the United States 86931
Senior Open in Toledo; $20,000 in fiscal year 2005 for the 86932
Professional Football Hall of Fame; and $20,000 in fiscal year 86933
2005 for the Cuyahoga Valley Scenic Railroad.86934

       Section 38.12. SHOVEL READY SITES86935

       The foregoing appropriation item 195-516, Shovel Ready Sites, 86936
shall be used for the Shovel Ready Sites Program.86937

       The Director of Development shall contract for pilot projects 86938
with three port authorities, two of which shall be from urban 86939
counties with populations of at least 200,000 but not more than 86940
600,000 residents, and one of which shall be from a rural county. 86941
The appropriation shall be used to leverage federal funds, local 86942
funds, or both, to provide grants for the preparation of sites for 86943
immediate construction for infrastructure in the state.86944

       Section 38.13. THIRD FRONTIER RESEARCH & COMMERCIALIZATION 86945
GENERAL OBLIGATION DEBT SERVICE86946

       The foregoing appropriation item 195-905, Third Frontier 86947
Research & Commercialization General Obligation Debt Service, 86948
shall be used to pay all debt service and related financing costs 86949
during the period from July 1, 2003, to June 30, 2005, on 86950
obligations to be issued for research and development purposes 86951
under Section 2p of Article VIII, Ohio Constitution, and 86952
implementing legislation. The Office of the Sinking Fund or the 86953
Director of Budget and Management shall effectuate the required 86954
payments by an intrastate transfer voucher.86955

       Section 38.14. SUPPORTIVE SERVICES86956

       The Director of Development may assess divisions of the86957
department for the cost of central service operations. Such an86958
assessment shall be based on a plan submitted to and approved by86959
the Office of Budget and Management by the first day of August of86960
each fiscal year, and contain the characteristics of86961
administrative ease and uniform application.86962

       A division's payments shall be credited to the Supportive86963
Services Fund (Fund 135) using an intrastate transfer voucher.86964

       GENERAL REIMBURSEMENT86965

       The foregoing appropriation item 195-636, General86966
Reimbursements, shall be used for conference and subscription fees86967
and other reimbursable costs. Revenues to the General86968
Reimbursement Fund (Fund 685) shall consist of fees and other86969
moneys charged for conferences, subscriptions, and other86970
administrative costs that are not central service costs.86971

       Section 38.15.  TRAINING SERVICES86972

       Of the foregoing appropriation item 195-605, Federal 86973
Projects, $400,000 in each fiscal year shall be used for grants to 86974
the Ohio Weatherization Training Center, administered by the 86975
Corporation for Ohio Appalachian Development, for training and 86976
technical assistance services.86977

       Section 38.16. HEAP WEATHERIZATION86978

       Fifteen per cent of the federal funds received by the state86979
for the Home Energy Assistance Block Grant shall be deposited in 86980
appropriation item 195-614, HEAP Weatherization (Fund 3K9), and 86981
shall be used to provide home weatherization services in the 86982
state.86983

       Of the foregoing appropriation item 195-614, HEAP 86984
Weatherization, $200,000 in each fiscal year shall be used for 86985
grants to the Ohio Weatherization Training Center, administered by 86986
the Corporation for Ohio Appalachian Development, for training and 86987
technical assistance services.86988

       STATE SPECIAL PROJECTS86989

       The foregoing appropriation item 195-639, State Special86990
Projects, shall be used as a general account for the deposit of86991
private-sector funds from utility companies and other86992
miscellaneous state funds. Private-sector moneys shall be used to 86993
(1) pay the expenses of verifying the income-eligibility of HEAP 86994
applicants, (2) market economic development opportunities in the 86995
state, and (3) leverage additional federal funds. State funds86996
shall be used to match federal housing grants for the homeless.86997

       Section 38.17.  MINORITY BUSINESS ENTERPRISE LOAN86998

       All repayments from the Minority Development Financing86999
Advisory Board loan program and the Ohio Mini-Loan Guarantee87000
Program shall be deposited in the State Treasury to the credit of87001
the Minority Business Enterprise Loan Fund (Fund 4W1).87002

       All operating costs of administering the Minority Business87003
Enterprise Loan Fund shall be paid from the Minority Business87004
Enterprise Loan Fund (Fund 4WI).87005

       MINORITY BUSINESS BONDING FUND87006

       Notwithstanding Chapters 122., 169., and 175. of the Revised87007
Code and other provisions of Am. Sub. H.B. 283 of the 123rd87008
General Assembly, the Director of Development may, upon the87009
recommendation of the Minority Development Financing Advisory87010
Board, pledge up to $10,000,000 in the 2003-2005 biennium of87011
unclaimed funds administered by the Director of Commerce and87012
allocated to the Minority Business Bonding Program pursuant to87013
section 169.05 of the Revised Code. The transfer of any cash by87014
the Director of Budget and Management from the Department of87015
Commerce's Unclaimed Funds Fund (Fund 543) to the Department of87016
Development's Minority Business Bonding Fund (Fund 449) shall87017
occur, if requested by the Director of Development, only if such87018
funds are needed for payment of losses arising from the Minority87019
Business Bonding Program, and only after proceeds of the initial87020
transfer of $2,700,000 by the Controlling Board to the Minority87021
Business Bonding Program has been used for that purpose. Moneys87022
transferred by the Director of Budget and Management from the87023
Department of Commerce for this purpose may be moneys in custodial87024
funds held by the Treasurer of State. If expenditures are required 87025
for payment of losses arising from the Minority Business Bonding 87026
Program, such expenditures shall be made from appropriation item 87027
195-623, Minority Business Bonding Contingency in the Minority 87028
Business Bonding Fund, and such amounts are appropriated.87029

       MINORITY BUSINESS BONDING PROGRAM ADMINISTRATION87030

       Investment earnings of the Minority Business Bonding Fund87031
(Fund 449) shall be credited to the Minority Business Bonding87032
Program Administration Fund (Fund 450).87033

       Section 38.18. ECONOMIC DEVELOPMENT FINANCING OPERATING87034

       The foregoing appropriation item 195-625, Economic87035
Development Financing Operating, shall be used for the operating87036
expenses of financial assistance programs authorized under Chapter87037
166. of the Revised Code and under sections 122.43 and 122.45 of87038
the Revised Code.87039

       VOLUME CAP ADMINISTRATION87040

       The foregoing appropriation item 195-654, Volume Cap87041
Administration, shall be used for expenses related to the87042
administration of the Volume Cap Program. Revenues received by the 87043
Volume Cap Administration Fund (Fund 617) shall consist of87044
application fees, forfeited deposits, and interest earned from the87045
custodial account held by the Treasurer of State.87046

       UNIVERSAL SERVICE FUND87047

       The foregoing appropriation item 195-659, Universal Service,87048
shall be used to provide payments to regulated electric utility 87049
companies for low-income customers enrolled in Percentage of 87050
Income Payment Plan (PIPP) electric accounts, to fund targeted 87051
energy efficiency and customer education services to PIPP 87052
customers, and to cover the department's administrative costs87053
related to the Universal Service Fund Programs.87054

       ENERGY EFFICIENCY REVOLVING LOAN FUND87055

       The foregoing appropriation item 195-660, Energy Efficiency87056
Revolving Loan, shall be used to provide financial assistance to87057
customers for eligible energy efficiency projects for residential,87058
commercial and industrial business, local government, educational87059
institution, nonprofit, and agriculture customers, and to pay for87060
the program's administrative costs as provided in the Revised Code87061
and rules adopted by the Director of Development.87062

       GLOBAL ANALYST SETTLEMENT AGREEMENTS PAYMENTS87063

       All payments received by the state pursuant to a series of 87064
settlements with ten brokerage firms reached with the United 87065
States Securities and Exchange Commission, the National 87066
Association of Securities Dealers, the New York Stock Exchange, 87067
the New York Attorney General, and other state regulators, 87068
(henceforth referred to as the "Global Analysts Settlement 87069
Agreements") shall be deposited into the state treasury to the 87070
credit of the Economic Development Contingency Fund (Fund 5Y6), 87071
which is hereby created in the state treasury. The fund shall be 87072
used by the Director of Development to support economic 87073
development projects for which appropriations would not otherwise 87074
be available, and shall be subject to the submission of a request 87075
to the Controlling Board by the Director outlining the planned use 87076
of the funds, and the subsequent approval of the request by the 87077
Controlling Board.87078

       Section 38.19.  FACILITIES ESTABLISHMENT FUND87079

       The foregoing appropriation item 195-615, Facilities87080
Establishment (Fund 037), shall be used for the purposes of the87081
Facilities Establishment Fund under Chapter 166. of the Revised87082
Code.87083

       Notwithstanding Chapter 166. of the Revised Code, up to87084
$1,800,000 in cash per fiscal year may be transferred from the87085
Facilities Establishment Fund (Fund 037) to the Economic87086
Development Financing Operating Fund (Fund 451). The transfer is87087
subject to Controlling Board approval pursuant to division (B) of 87088
section 166.03 of the Revised Code.87089

       Notwithstanding Chapter 166. of the Revised Code, up to87090
$20,475,000 in cash may be transferred during the biennium from 87091
the Facilities Establishment Fund (Fund 037) to the Urban87092
Redevelopment Loans Fund (Fund 5D2) for the purpose of removing87093
barriers to urban core redevelopment. The Director of Development87094
shall develop program guidelines for the transfer and release of87095
funds, including, but not limited to, the completion of all87096
appropriate environmental assessments before state assistance is87097
committed to a project.87098

       Notwithstanding Chapter 166. of the Revised Code, up to87099
$5,000,000 per fiscal year in cash may be transferred from the87100
Facilities Establishment Fund (Fund 037) to the Rural Industrial87101
Park Loan Fund (Fund 4Z6). The transfer is subject to Controlling87102
Board approval pursuant to section 166.03 of the Revised Code.87103

       FAMILY FARM LOAN PROGRAM87104

       Notwithstanding Chapter 166. of the Revised Code, up to87105
$1,500,000 in each fiscal year shall be transferred from moneys in87106
the Facilities Establishment Fund (Fund 037) to the Family Farm87107
Loan Guarantee Fund (Fund 5H1) in the Department of Development. 87108
These moneys shall be used for loan guarantees. The transfer is 87109
subject to Controlling Board approval.87110

       Financial assistance from the Family Farm Loan Guarantee Fund 87111
(Fund 5H1) shall be repaid to Fund 5H1. This fund is established 87112
in accordance with sections 166.031, 901.80, 901.81, 901.82, and87113
901.83 of the Revised Code.87114

       When the Family Farm Loan Guarantee Fund (Fund 5H1) ceases to 87115
exist, all outstanding balances, all loan repayments, and any87116
other outstanding obligations shall revert to the Facilities87117
Establishment Fund (Fund 037).87118

       RURAL DEVELOPMENT INITIATIVE FUND87119

       (A)(1) The Rural Development Initiative Fund (Fund 5S8) shall87120
receive moneys from the Facilities Establishment Fund (Fund 037). 87121
The Director of Development may make grants from the Rural 87122
Development Initiative Fund as specified in division (A)(2) of 87123
this section to eligible applicants in Appalachian counties and in 87124
rural counties in the state that are designated as distressed 87125
pursuant to section 122.25 of the Revised Code. Preference shall 87126
be given to eligible applicants located in Appalachian counties 87127
designated as distressed by the federal Appalachian Regional 87128
Commission. The Rural Development Initiative Fund (Fund 5S8) shall 87129
cease to exist after June 30, 2007. All moneys remaining in the 87130
Fund after that date shall revert to the Facilities Establishment 87131
Fund (Fund 037).87132

       (2) The Director of Development shall make grants from the87133
Rural Development Initiative Fund (Fund 5S8) only to eligible 87134
applicants who also qualify for and receive funding under the 87135
Rural Industrial Park Loan Program as specified in sections 122.23 87136
to 122.27 of the Revised Code. Eligible applicants shall use the 87137
grants for the purposes specified in section 122.24 of the Revised 87138
Code. All projects supported by grants from the fund are subject 87139
to Chapter 4115. of the Revised Code as specified in division (E) 87140
of section 166.02 of the Revised Code. The Director shall develop 87141
program guidelines for the transfer and release of funds. The 87142
release of grant moneys to an eligible applicant is subject to 87143
Controlling Board approval.87144

       (B) Notwithstanding Chapter 166. of the Revised Code, the87145
Director of Budget and Management may transfer up to $5,000,00087146
per fiscal year in cash on an as needed basis at the request of87147
the Director of Development from the Facilities Establishment Fund87148
(Fund 037) to the Rural Development Initiative Fund (Fund 5S8).87149
The transfer is subject to Controlling Board approval pursuant to87150
section 166.03 of the Revised Code.87151

       CAPITAL ACCESS LOAN PROGRAM87152

       The foregoing appropriation item 195-628, Capital Access Loan87153
Program, shall be used for operating, program, and administrative87154
expenses of the program. Funds of the Capital Access Loan Program 87155
shall be used to assist participating financial institutions in 87156
making program loans to eligible businesses that face barriers in 87157
accessing working capital and obtaining fixed asset financing.87158

       Notwithstanding Chapter 166. of the Revised Code, the87159
Director of Budget and Management may transfer up to $3,000,00087160
per fiscal year in cash on an as needed basis at the request of87161
the Director of Development from the Facilities Establishment Fund87162
(Fund 037) to the Capital Access Loan Program Fund (Fund 5S9). The87163
transfer is subject to Controlling Board approval pursuant to87164
section 166.03 of the Revised Code.87165

        INNOVATION OHIO LOAN FUND87166

        The foregoing appropriation item 195-664, Innovation Ohio, 87167
shall be used to provide for innovation Ohio purposes, including 87168
loan guarantees and loans pursuant to Chapter 166. and 87169
particularly sections 166.12 to 166.16 of the Revised Code. Of the 87170
foregoing appropriation item 195-664, Innovation Ohio, the 87171
unencumbered balance of the appropriation at the end of fiscal 87172
year 2004 shall be transferred by the Director of Budget and 87173
Management to fiscal year 2005.87174

       Section 38.20. CLEAN OHIO OPERATING EXPENSES87175

       The foregoing appropriation item 195-663, Clean Ohio 87176
Operating, shall be used by the Department of Development in 87177
administering sections 122.65 to 122.658 of the Revised Code.87178

       Section 39.  OBD OHIO BOARD OF DIETETICS87179

General Services Fund Group87180

4K9 860-609 Operating Expenses $ 334,917 $ 329,687 87181
TOTAL GSF General Services Fund 87182
Group $ 334,917 $ 329,687 87183
TOTAL ALL BUDGET FUND GROUPS $ 334,917 $ 329,687 87184


       Section 40. CDR COMMISSION ON DISPUTE RESOLUTION AND CONFLICT 87186
MANAGEMENT87187

General Revenue Fund87188

GRF 145-401 Commission on Dispute Resolution/Management $ 500,000 $ 500,000 87189
TOTAL GRF General Revenue Fund $ 500,000 $ 500,000 87190

General Services Fund Group87191

4B6 145-601 Gifts and Grants $ 140,000 $ 140,000 87192
TOTAL GSF General Services Fund Group $ 140,000 $ 140,000 87193

Federal Special Revenue Fund Group87194

3S6 145-602 Dispute Resolution: Federal $ 140,000 $ 140,000 87195
TOTAL FED Federal Special Revenue Fund Group $ 140,000 $ 140,000 87196
TOTAL ALL BUDGET FUND GROUPS $ 780,000 $ 780,000 87197

       COMMISSION ON DISPUTE RESOLUTION/MANAGEMENT87198

       The foregoing appropriation item 145-401, Commission on 87199
Dispute Resolution/Management, shall be used in each fiscal year 87200
by the Commission on Dispute Resolution and Conflict Management 87201
for the purpose of providing dispute resolution and conflict 87202
management training, consultation, and materials for state and 87203
local government, communities, school districts, and courts and, 87204
in consultation with the Department of Education, for the purpose 87205
of offering competitive school conflict programs to school 87206
districts.87207

        The Commission shall assist the Department of Education in 87208
the development and dissemination of the school conflict 87209
management programs to school districts.87210

       Section 41.  EDU DEPARTMENT OF EDUCATION87211

General Revenue Fund87212

GRF 200-100 Personal Services $ 12,211,314 $ 12,211,314 87213
GRF 200-320 Maintenance and Equipment $ 5,066,249 $ 5,066,249 87214
GRF 200-408 Public Preschool $ 19,018,551 $ 19,018,551 87215
GRF 200-410 Professional Development $ 29,490,073 $ 29,765,073 87216
GRF 200-411 Family and Children First $ 3,324,750 $ 3,324,750 87217
GRF 200-420 Technical Systems Development $ 5,703,750 $ 5,703,750 87218
GRF 200-421 Alternative Education Programs $ 16,135,547 $ 16,135,547 87219
GRF 200-422 School Management Assistance $ 1,778,000 $ 1,778,000 87220
GRF 200-424 Policy Analysis $ 592,220 $ 592,220 87221
GRF 200-425 Tech Prep Consortia Support $ 2,133,213 $ 2,133,213 87222
GRF 200-426 Ohio Educational Computer Network $ 34,331,741 $ 34,331,741 87223
GRF 200-427 Academic Standards $ 9,000,592 $ 9,000,592 87224
GRF 200-431 School Improvement Initiatives $ 10,905,625 $ 10,905,625 87225
GRF 200-433 Reading/Writing/Math Improvement $ 20,488,264 $ 20,488,264 87226
GRF 200-437 Student Assessment $ 41,353,391 $ 45,953,391 87227
GRF 200-439 Accountability/Report Cards $ 4,087,500 $ 4,087,500 87228
GRF 200-441 American Sign Language $ 207,717 $ 207,717 87229
GRF 200-442 Child Care Licensing $ 1,385,633 $ 1,385,633 87230
GRF 200-445 OhioReads Admin/Volunteer Support $ 4,500,000 $ 4,500,000 87231
GRF 200-446 Education Management Information System $ 16,928,969 $ 16,928,969 87232
GRF 200-447 GED Testing/Adult High School $ 1,829,106 $ 1,829,106 87233
GRF 200-448 Educator Preparation $ 24,375 $ 24,375 87234
GRF 200-449 Head Start/Head Start Plus Start Up $ 11,000,000 $ 5,000,000 87235
GRF 200-452 Teaching Success Commission Initiatives $ 1,650,000 $ 1,650,000 87236
GRF 200-455 Community Schools $ 4,231,842 $ 4,231,842 87237
GRF 200-500 School Finance Equity $ 14,039,495 $ 7,819,443 87238
GRF 200-501 Base Cost Funding $ 4,391,033,023 $ 4,409,958,425 87239
GRF 200-502 Pupil Transportation $ 394,950,126 $ 404,245,812 87240
GRF 200-503 Bus Purchase Allowance $ 17,199,960 $ 17,199,960 87241
GRF 200-505 School Lunch Match $ 8,998,025 $ 8,998,025 87242
GRF 200-509 Adult Literacy Education $ 8,774,250 $ 8,774,250 87243
GRF 200-511 Auxiliary Services $ 127,903,356 $ 127,903,356 87244
GRF 200-513 Student Intervention Services $ 38,890,815 $ 41,090,815 87245
GRF 200-514 Postsecondary Adult Career-Technical Education $ 19,919,464 $ 19,919,464 87246
GRF 200-520 Disadvantaged Pupil Impact Aid $ 371,766,738 $ 373,266,738 87247
GRF 200-521 Gifted Pupil Program $ 48,201,031 $ 48,201,031 87248
GRF 200-525 Parity Aid $ 320,677,373 $ 426,951,154 87249
GRF 200-532 Nonpublic Administrative Cost Reimbursement $ 55,803,103 $ 55,803,103 87250
GRF 200-540 Special Education Enhancements $ 137,214,484 $ 139,536,046 87251
GRF 200-545 Career-Technical Education Enhancements $ 14,572,907 $ 14,572,907 87252
GRF 200-546 Charge-Off Supplement $ 48,478,418 $ 48,478,418 87253
GRF 200-558 Emergency Loan Interest Subsidy $ 3,022,500 $ 2,300,000 87254
GRF 200-566 OhioReads Grants $ 12,874,777 $ 12,832,272 87255
GRF 200-578 Safe and Supportive Schools $ 3,576,348 $ 3,576,348 87256
GRF 200-901 Property Tax Allocation - Education $ 783,350,000 $ 822,360,000 87257
GRF 200-906 Tangible Tax Exemption - Education $ 70,710,000 $ 67,710,000 87258
TOTAL GRF General Revenue Fund $ 7,149,334,615 $ 7,317,750,989 87259

General Services Fund Group87260

138 200-606 Computer Services $ 7,404,690 $ 7,635,949 87261
4D1 200-602 Ohio Prevention/Education Resource Center $ 347,000 $ 347,000 87262
4L2 200-681 Teacher Certification and Licensure $ 5,038,017 $ 5,236,517 87263
452 200-638 Miscellaneous Revenue $ 500,000 $ 500,000 87264
5B1 200-651 Child Nutrition Services $ 800,000 $ 800,000 87265
5H3 200-687 School District Solvency Assistance $ 18,000,000 $ 18,000,000 87266
596 200-656 Ohio Career Information System $ 516,694 $ 529,761 87267
TOTAL GSF General Services 87268
Fund Group $ 32,606,401 $ 33,049,227 87269

Federal Special Revenue Fund Group87270

3C5 200-661 Early Childhood Education $ 21,508,746 $ 21,508,746 87271
3D1 200-664 Drug Free Schools $ 13,169,757 $ 13,347,966 87272
3D2 200-667 Honors Scholarship Program $ 1,786,500 $ 1,786,500 87273
3H9 200-605 Head Start Collaboration Project $ 275,000 $ 275,000 87274
3L6 200-617 Federal School Lunch $ 185,948,186 $ 191,898,528 87275
3L7 200-618 Federal School Breakfast $ 48,227,431 $ 49,524,254 87276
3L8 200-619 Child/Adult Food Programs $ 63,577,244 $ 65,293,830 87277
3L9 200-621 Career-Technical Education Basic Grant $ 48,029,701 $ 48,029,701 87278
3M0 200-623 ESEA Title 1A $ 356,458,504 $ 384,975,184 87279
3M1 200-678 Innovative Education $ 15,041,997 $ 16,094,937 87280
3M2 200-680 Ind W/Disab Education Act $ 288,468,284 $ 331,392,575 87281
3S2 200-641 Education Technology $ 19,682,057 $ 20,469,339 87282
3T4 200-613 Public Charter Schools $ 23,287,500 $ 26,187,113 87283
3Y2 200-688 21st Century Community Learning Centers $ 17,138,239 $ 18,500,000 87284
3Y4 200-632 Reading First $ 29,881,256 $ 33,168,194 87285
3Y6 200-635 Improving Teacher Quality $ 103,686,420 $ 104,100,000 87286
3Y7 200-689 English Language Acquisition $ 4,872,334 $ 5,505,737 87287
3Z2 200-690 State Assessments $ 11,894,315 $ 12,489,031 87288
309 200-601 Educationally Disadvantaged $ 22,148,769 $ 22,899,001 87289
366 200-604 Adult Basic Education $ 21,369,906 $ 22,223,820 87290
367 200-607 School Food Services $ 10,767,759 $ 11,144,631 87291
368 200-614 Veterans' Training $ 626,630 $ 655,587 87292
369 200-616 Career-Tech Education Federal Enhancement $ 8,165,672 $ 8,165,672 87293
370 200-624 Education of Exceptional Children $ 1,933,910 $ 1,933,910 87294
374 200-647 Troops to Teachers $ 2,618,076 $ 2,622,370 87295
TOTAL FED Federal Special 87296
Revenue Fund Group $ 1,320,564,139 $ 1,414,191,626 87297

State Special Revenue Fund Group87298

4R7 200-695 Indirect Cost Recovery $ 5,002,500 $ 5,250,400 87299
4V7 200-633 Interagency Support $ 800,000 $ 800,000 87300
454 200-610 Guidance and Testing $ 956,761 $ 956,761 87301
455 200-608 Commodity Foods $ 11,308,000 $ 11,624,624 87302
5U2 200-685 National Education Statistics $ 200,000 $ 200,000 87303
5W2 200-663 Head Start Plus/Head Start $ 57,170,000 $ 108,184,000 87304
5X8 200-453 Jobs for Ohio Graduates Program $ 3,500,000 $ 3,500,000 87305
598 200-659 Auxiliary Services Reimbursement $ 1,328,910 $ 1,328,910 87306
620 200-615 Educational Grants $ 1,000,000 $ 1,000,000 87307
TOTAL SSR State Special Revenue 87308
Fund Group $ 81,266,171 $ 132,844,695 87309

Lottery Profits Education Fund Group87310

017 200-612 Base Cost Funding $ 606,123,500 $ 606,195,300 87311
017 200-682 Lease Rental Payment Reimbursement $ 31,776,500 $ 31,704,700 87312
TOTAL LPE Lottery Profits 87313
Education Fund Group $ 637,900,000 $ 637,900,000 87314

Revenue Distribution Fund Group87315

053 200-900 School District Property Tax Replacement $ 115,911,593 $ 115,911,593 87316
TOTAL RDF Revenue Distribution 87317
Fund Group $ 115,911,593 $ 115,911,593 87318
TOTAL ALL BUDGET FUND GROUPS $ 9,337,582,973 $ 9,651,648,130 87319


       Section 41.01. PERSONAL SERVICES87321

       Of the foregoing appropriation item 200-100, Personal 87322
Services, $1,630,181 in each fiscal year shall be used by the 87323
Department of Education to provide vocational administration 87324
matching funds pursuant to 20 U.S.C. 2311.87325

       MAINTENANCE AND EQUIPMENT87326

       Of the foregoing appropriation item 200-320, Maintenance and87327
Equipment, up to $25,000 may be expended in each fiscal year for87328
State Board of Education out-of-state travel.87329

       Of the foregoing appropriation item 200-320, Maintenance and 87330
Equipment, $692,014 in each fiscal year shall be used by the 87331
Department of Education to provide vocational administration 87332
matching funds pursuant to 20 U.S.C. 2311.87333

       Section 41.02. PUBLIC PRESCHOOL87334

       The Department of Education shall distribute the foregoing87335
appropriation item 200-408, Public Preschool, to pay the costs of87336
comprehensive preschool programs. As used in this section, "school 87337
district" means a city, local, exempted village, or joint87338
vocational school district, or an educational service center.87339

       (A) In each fiscal year, up to two per cent of the total87340
appropriation may be used by the department for program support 87341
and technical assistance; developing program capacity; and87342
assisting programs with facilities planning, construction, 87343
renovation, or lease agreements in conjunction with the Community 87344
Development Finance Fund (CDFF). The Department shall distribute 87345
the remainder of the appropriation in each fiscal year to serve 87346
children from families earning not more than 185 per cent of the 87347
federal poverty guidelines.87348

       (B) The department shall provide an annual report to the87349
Governor, the Speaker of the House of Representatives, the87350
President of the Senate, the State Board of Education, Head Start87351
agencies, and other interested parties regarding the Public 87352
Preschool Program and performance indicators, as outlined by the 87353
Department.87354

       (C) For purposes of this section, "eligible child" means a87355
child who is at least three years of age, is not of the age to be 87356
eligible for kindergarten, and whose family earns not more than 87357
185 per cent of the federal poverty guidelines.87358

       (D) After setting aside the amounts to make payments due from 87359
the previous fiscal year, in fiscal year 2004 and fiscal year 87360
2005, the Department shall distribute funds first to recipients of 87361
funds under the program in the previous fiscal year and the 87362
balance to new recipients. Awards under this section shall be 87363
distributed on a per-pupil basis, which the Department may adjust 87364
so that the per-pupil amount multiplied by the number of eligible 87365
children enrolled and receiving services, as defined by the 87366
Department, reported on the first day of December or the first 87367
business day following that date equals the amount allocated under 87368
division (A) of this section. The Department may increase the 87369
per-pupil amount by a reasonable percentage for inflation, to be 87370
determined by the Department.87371

       The Department may reallocate unobligated or unspent money to87372
participating school districts for purposes of program expansion,87373
improvement, or special projects to promote quality and87374
innovation.87375

       (E) Costs for developing and administering a preschool87376
program may not exceed fifteen per cent of the total approved87377
costs of the program.87378

       All recipients of funds shall maintain such fiscal control87379
and accounting procedures as may be necessary to ensure the87380
disbursement of, and accounting for, these funds. The control of87381
funds provided in this program, and title to property obtained87382
therefrom, shall be under the authority of the approved recipient87383
for purposes provided in the program unless, as described in 87384
division (J) of this section, a preschool program waives its right 87385
for funding or a program's funding is eliminated or reduced due to 87386
its inability to meet financial or program performance standards. 87387
The approved recipient shall administer and use such property and 87388
funds for the purposes specified.87389

       (F) The Department shall prescribe target levels for critical87390
performance indicators for the purpose of assessing public87391
preschool programs. On-site reviews and follow-up visits shall be87392
based on progress in meeting the prescribed target levels.87393

       (G) The Department may examine a recipient's financial and 87394
program records. If the financial practices of the program are not 87395
in accordance with standard accounting principles or do not meet 87396
financial standards outlined under division (E) of this section, 87397
or if the program fails to substantially meet the Head Start 87398
performance standards or exhibits below average performance as 87399
measured against the performance indicators outlined in division 87400
(F) of this section, the preschool program shall propose and 87401
implement a corrective action plan that has been approved by the 87402
Department. The approved corrective action plan shall be signed by 87403
the school district board of education and the appropriate grantee 87404
official. The corrective action plan shall include a schedule for 87405
monitoring by the Department. Such monitoring may include monthly 87406
reports, inspections, a timeline for correction of deficiencies, 87407
and technical assistance to be provided by the Department or 87408
obtained by the public preschool program. The Department may 87409
withhold funding pending corrective action. If a public preschool 87410
program fails to satisfactorily complete a corrective action plan, 87411
the Department may either deny expansion funding to the program or 87412
withdraw all or part of the public preschool funding from the 87413
agency and establish a new state-funded agency through a 87414
competitive bidding process established by the Department.87415

       (H) The department shall require public preschool programs to87416
document child progress, using research-based indicators as 87417
prescribed by the department, and report results annually. The 87418
department shall determine the dates for documenting and 87419
reporting.87420

       (I) Each school district shall develop a sliding fee scale87421
based on family incomes in the district and shall charge families87422
who earn more than the federal poverty guidelines for preschool.87423

       (J) If a public preschool program voluntarily waives its 87424
right for funding, or has its funding eliminated for not meeting 87425
financial standards or program performance standards, the grantee 87426
and delegate shall transfer control of title to property, 87427
equipment, and remaining supplies obtained through the program to 87428
designated grantees and return any unexpended funds to the 87429
Department along with any reports prescribed by the Department. 87430
The funding made available from a program that waives its right 87431
for funding or has its funding eliminated or reduced may be used 87432
by the Department for new grant awards or expansion grants. The 87433
Department may award new grants or expansion grants to eligible 87434
providers who apply. The eligible providers who apply must do so 87435
in accordance with the competitive bidding process established by 87436
the Department. 87437

       Section 41.03. PROFESSIONAL DEVELOPMENT87438

       Of the foregoing appropriation item 200-410, Professional87439
Development, $5,200,000 in fiscal year 2004 shall be used by the87440
Department of Education to support a statewide comprehensive87441
system of regional professional development centers that support87442
local educators' ability to foster academic achievement in the87443
students they serve. Of the foregoing appropriation item 200-410, 87444
Professional Development, $5,200,000 in fiscal year 2005 shall be 87445
used by the regional education delivery system. Before releasing 87446
these funds in fiscal year 2005, the Department of Education shall 87447
submit a spending plan to the Controlling Board. The release of 87448
the funds is contingent on Controlling Board approval of the 87449
spending plan. Both the regional professional development centers 87450
in fiscal year 2004 and the regional education delivery system in 87451
fiscal year 2005 shall include training that assists educators, 87452
school leadership, and technical assistance providers in 87453
understanding and implementing standards-based education, data 87454
analysis, and development of assessment systems for quality 87455
instruction.87456

       Of the foregoing appropriation item 200-410, Professional87457
Development, $7,079,625 in fiscal year 2004 and $7,329,625 in 87458
fiscal year 2005 shall be used by the Department of Education to 87459
provide grants to pay $2,000 of the application fee in order to 87460
assist teachers from public and chartered nonpublic schools 87461
applying for the first time to the National Board for Professional 87462
Teaching Standards for professional teaching certificates or 87463
licenses that the board offers. This set aside shall also be used 87464
to recognize and reward teachers who become certified by the 87465
National Board for Professional Teaching Standards pursuant to 87466
section 3319.55 of the Revised Code. Up to $300,000 in each fiscal 87467
year of this set aside may be used by the Department to pay for 87468
costs associated with activities to support candidates through the 87469
application and certification process.87470

       These moneys shall be used to pay up to the first 50087471
applications in fiscal year 2004 and the first 400 applications in 87472
fiscal year 2005 received by the Department.87473

       Of the foregoing appropriation item 200-410, Professional87474
Development, up to $10,442,358 in each fiscal year shall be 87475
allocated for entry year programs. These funds shall be used to 87476
support mentoring services and performance assessments of 87477
beginning teachers in school districts and chartered nonpublic 87478
schools.87479

       Of the foregoing appropriation item 200-410, Professional 87480
Development, up to $188,090 in each fiscal year shall be used to 87481
provide technical assistance and grants for districts to develop 87482
local knowledge/skills-based compensation systems. Each district 87483
receiving grants shall issue an annual report to the Department of 87484
Education detailing the use of the funds and the impact of the 87485
system developed by the district.87486

       Of the foregoing appropriation item 200-410, Professional 87487
Development, up to $670,000 in each fiscal year shall be used for 87488
training and professional development of school administrators, 87489
school treasurers, and school business officials.87490

       Of the foregoing appropriation item 200-410, Professional 87491
Development, $144,000 in each fiscal year shall be used by the 87492
Department of Education to develop a supply and demand report that 87493
describes the availability of quality educators and critical 87494
educator shortage areas in Ohio.87495

       Of the foregoing appropriation item 200-410, Professional 87496
Development, $1,056,000 in each fiscal year shall be used for 87497
educator recruitment programs targeting special need areas, 87498
including recruiting highly qualified minority candidates into 87499
teaching, recruiting prospective mathematics and science teachers, 87500
and targeting other areas of special need.87501

       Of the foregoing appropriation item 200-410, Professional 87502
Development, $60,000 in fiscal year 2004 and $70,000 in fiscal 87503
year 2005 shall be used to support the Ohio University Leadership 87504
Program.87505

       Of the foregoing appropriation item 200-410, Professional 87506
Development, $4,650,000 in each fiscal year shall be allocated by 87507
the Department of Education on a per pupil basis, to school 87508
districts in academic emergency. These funds shall be used by the 87509
districts to provide an equivalent of five days of ongoing 87510
embedded professional development for classroom teachers who 87511
provide instruction in the subject areas of reading, writing, 87512
mathematics, science, or social studies to students enrolled in 87513
the ninth or tenth grade. This professional development shall 87514
focus on developing subject competency, developing cultural 87515
competency, developing skills for analyzing test data, and 87516
developing data-based intervention strategies to prepare students 87517
below grade level to pass the Ohio Graduation Test. Districts 87518
shall submit a research-based, professional development plan for 87519
five days of embedded professional development to the Department 87520
of Education prior to receiving funds. The plan shall detail how 87521
ninth and tenth grade teachers will learn and implement classroom 87522
strategies for students to reach state standards in mathematics, 87523
reading, writing, social studies, and science.87524

       Section 41.04. TECHNICAL SYSTEMS DEVELOPMENT87525

       The foregoing appropriation item 200-420, Technical Systems87526
Development, shall be used to support the development and87527
implementation of information technology solutions designed to87528
improve the performance and customer service of the Department of87529
Education. Funds may be used for personnel, maintenance, and87530
equipment costs related to the development and implementation of87531
these technical system projects. Implementation of these systems87532
shall allow the Department to provide greater levels of assistance87533
to school districts and to provide more timely information to the87534
public, including school districts, administrators, and87535
legislators.87536

       ALTERNATIVE EDUCATION PROGRAMS87537

       There is hereby created the Alternative Education Advisory87538
Council, which shall consist of one representative from each of87539
the following agencies: the Ohio Department of Education; the87540
Department of Youth Services; the Ohio Department of Alcohol and87541
Drug Addiction Services; the Department of Mental Health; the87542
Office of the Governor or, at the Governor's discretion, the87543
Office of the Lieutenant Governor; the Office of the Attorney87544
General; and the Office of the Auditor of State.87545

       Of the foregoing appropriation item 200-421, Alternative87546
Education Programs, not less than $7,529,274 in each fiscal year87547
shall be used for the renewal of successful implementation grants87548
and for competitive matching grants to the 21 urban school87549
districts as defined in division (O) of section        Sec. 3317.02.  of the87550
Revised Code as it existed prior to July 1, 1998, and not less87551
than $7,494,820 in each fiscal year shall be used for the renewal87552
of successful implementation of grants and for competitive87553
matching grants to rural and suburban school districts for87554
alternative educational programs for existing and new at-risk and87555
delinquent youth. Programs shall be focused on youth in one or87556
more of the following categories: those who have been expelled or87557
suspended, those who have dropped out of school or who are at risk87558
of dropping out of school, those who are habitually truant or87559
disruptive, or those on probation or on parole from a Department87560
of Youth Services facility. Grants shall be awarded according to87561
the criteria established by the Alternative Education Advisory87562
Council in 1999. Grants shall be awarded only to programs where87563
the grant would not serve as the program's primary source of87564
funding. These grants shall be administered by the Department of87565
Education.87566

       The Department of Education may waive compliance with any87567
minimum education standard established under section 3301.07 of87568
the Revised Code for any alternative school that receives a grant87569
under this section on the grounds that the waiver will enable the87570
program to more effectively educate students enrolled in the87571
alternative school.87572

       Of the foregoing appropriation item 200-421, Alternative 87573
Education Programs, $75,000 in each fiscal year shall be used to 87574
support the Toledo Tech Academy.87575

       Of the foregoing appropriation item 200-421, Alternative87576
Education Programs, up to $449,235 in each fiscal year may be used87577
for program administration, monitoring, technical assistance,87578
support, research, and evaluation. Any unexpended balance may be87579
used to provide additional matching grants to urban, suburban, or87580
rural school districts as outlined above.87581

       Of the foregoing appropriation item 200-421, Alternative87582
Education Programs, $287,218 in each fiscal year shall be used to87583
contract with the Center for Learning Excellence at The Ohio State87584
University to provide technical support for the project and the87585
completion of formative and summative evaluation of the grants.87586

       Of the foregoing appropriation item 200-421, Alternative 87587
Education Programs, $300,000 in each fiscal year shall be used to 87588
support Amer-I-Can. Of this set-aside, no funds shall be disbursed 87589
without approval of the Controlling Board. Amer-I-Can programs 87590
shall submit to the Controlling Board a biennial spending plan 87591
that delineates how these funds will be spent. Amer-I-Can programs 87592
also shall demonstrate to the Controlling Board that they have 87593
hired an independent evaluator and have selected valid and 87594
reliable instruments to assess pre and post changes in student 87595
behavior.87596

       SCHOOL MANAGEMENT ASSISTANCE87597

       Of the foregoing appropriation item 200-422, School87598
Management Assistance, $351,000 in each fiscal year shall be used 87599
by the Auditor of State for expenses incurred in the Auditor of 87600
State's role relating to fiscal caution activities as defined in 87601
Chapter 3316. of the Revised Code. Expenses include duties related 87602
to the completion of performance audits for school districts that 87603
the Superintendent of Public Instruction determines are employing 87604
fiscal practices or experiencing budgetary conditions that could 87605
produce a state of fiscal watch or fiscal emergency.87606

       The remainder of foregoing appropriation item 200-422, School87607
Management Assistance, shall be used by the Department of87608
Education to provide fiscal technical assistance and inservice87609
education for school district management personnel and to87610
administer, monitor, and implement the fiscal watch and fiscal87611
emergency provisions under Chapter 3316. of the Revised Code.87612

       POLICY ANALYSIS87613

       The foregoing appropriation item 200-424, Policy Analysis,87614
shall be used by the Department of Education to support a system87615
of administrative, statistical, and legislative education87616
information to be used for policy analysis. Staff supported by87617
this appropriation shall administer the development of reports,87618
analyses, and briefings to inform education policymakers of87619
current trends in education practice, efficient and effective use87620
of resources, and evaluation of programs to improve education87621
results. The database shall be kept current at all times. These87622
research efforts shall be used to supply information and analysis87623
of data to the General Assembly and other state policymakers,87624
including the Office of Budget and Management and the Legislative87625
Service Commission.87626

       The Department of Education may use funding from this87627
appropriation item to purchase or contract for the development of87628
software systems or contract for policy studies that will assist87629
in the provision and analysis of policy-related information.87630
Funding from this appropriation item also may be used to monitor87631
and enhance quality assurance for research-based policy analysis87632
and program evaluation to enhance the effective use of education87633
information to inform education policymakers.87634

       TECH PREP CONSORTIA SUPPORT87635

       The foregoing appropriation item 200-425, Tech Prep Consortia 87636
Support, shall be used by the Department of Education to support 87637
state-level activities designed to support, promote, and expand 87638
tech prep programs. Use of these funds shall include, but not be 87639
limited to, administration of grants, program evaluation,87640
professional development, curriculum development, assessment87641
development, program promotion, communications, and statewide87642
coordination of tech prep consortia.87643

       OHIO EDUCATIONAL COMPUTER NETWORK87644

       The foregoing appropriation item 200-426, Ohio Educational87645
Computer Network, shall be used by the Department of Education to87646
maintain a system of information technology throughout Ohio and to87647
provide technical assistance for such a system in support of the87648
State Education Technology Plan pursuant to section 3301.07 of the87649
Revised Code.87650

       Of the foregoing appropriation item 200-426, Ohio Educational87651
Computer Network, up to $18,592,763 in each fiscal year shall be 87652
used by the Department of Education to support connection of all 87653
public school buildings to the state's education network, to each 87654
other, and to the Internet. In each fiscal year the Department of 87655
Education shall use these funds to assist data acquisition sites 87656
or school districts with the operational costs associated with 87657
this connectivity. The Department of Education shall develop a 87658
formula and guidelines for the distribution of these funds to the 87659
data acquisition sites or individual school districts. As used in 87660
this section, "public school building" means a school building of 87661
any city, local, exempted village, or joint vocational school 87662
district, or any community school established under Chapter 3314. 87663
of the Revised Code, or any educational service center building 87664
used for instructional purposes, or the Ohio School for the Deaf 87665
and the Ohio School for the Blind, or high schools chartered by 87666
the Ohio Department of Youth Services and high schools operated by 87667
Ohio Department of Rehabilitation and Corrections' Ohio Central 87668
School System.87669

       Of the foregoing appropriation item 200-426, Ohio Educational87670
Computer Network, up to $1,884,355 in each fiscal year shall be 87671
used for the Union Catalog and InfOhio Network.87672

       The Department of Education shall use up to $3,412,500 in 87673
each fiscal year to assist designated data acquisition sites with 87674
operational costs associated with the increased use of the state's 87675
education network by chartered nonpublic schools. The Department 87676
of Education shall use the same per building amount as used to 87677
provide connectivity subsidy funds to public school buildings.87678

       The remainder of appropriation item 200-426, Ohio Educational 87679
Computer Network, shall be used to support development, 87680
maintenance, and operation of a network of uniform and compatible 87681
computer-based information and instructional systems. The 87682
technical assistance shall include, but not be restricted to, 87683
development and maintenance of adequate computer software systems 87684
to support network activities. Program funds may be used, through 87685
a formula and guidelines devised by the department, to subsidize 87686
the activities of designated data acquisition sites, as defined by 87687
State Board of Education rules, to provide school districts and 87688
chartered nonpublic schools with computer-based student and 87689
teacher instructional and administrative information services, 87690
including approved computerized financial accounting, and to 87691
ensure the effective operation of local automated administrative 87692
and instructional systems. To broaden the scope of the use of87693
technology for education, the Department may use up to $223,762 in 87694
each fiscal year to coordinate the activities of the computer87695
network with other agencies funded by the department or the state.87696
In order to improve the efficiency of network activities, the87697
department and data acquisition sites may jointly purchase87698
equipment, materials, and services from funds provided under this87699
appropriation for use by the network and, when considered87700
practical by the department, may utilize the services of87701
appropriate state purchasing agencies.87702

       ACADEMIC STANDARDS87703

       Of the foregoing appropriation item 200-427, Academic 87704
Standards, up to $731,250 in each fiscal year shall be used to 87705
provide funds to school districts that have one or more teachers 87706
participating in the teachers-on-loan program.87707

       The remainder of appropriation item 200-427, Academic 87708
Standards, shall be used by the Department of Education to develop 87709
and communicate to school districts academic content standards and 87710
curriculum models. The Department of Education shall communicate 87711
these standards and curricula to school districts primarily 87712
through Internet website postings and electronic mail.87713

       Section 41.05.  SCHOOL IMPROVEMENT INITIATIVES87714

       Of the foregoing appropriation item 200-431, School87715
Improvement Initiatives, $10,505,625 in each fiscal year shall be87716
used to provide technical assistance to school districts that are 87717
declared to be in a state of academic watch or academic emergency 87718
under section 3302.03 of the Revised Code to provide support to 87719
districts in the development and implementation of their 87720
continuous improvement plans as required in section 3302.04 of the 87721
Revised Code and to provide technical assistance and support in 87722
accordance with Title I of the "No Child Left Behind Act of 2001," 87723
115 Stat. 1425, 20 U.S.C. 6317.87724

       Of the foregoing appropriation item 200-431, School 87725
Improvement Initiatives, up to $350,000 in each fiscal year shall 87726
be used to reduce the dropout rate by addressing the academic and 87727
social problems of inner-city students through Project GRAD.87728

       Of the foregoing appropriation item 200-431, School 87729
Improvement Initiatives, $50,000 in each fiscal year shall be used 87730
to support LEAF.87731

       READING/WRITING/MATH IMPROVEMENT87732

       Of the foregoing appropriation item 200-433, 87733
Reading/Writing/Math Improvement, up to $12,675,000 in each fiscal 87734
year shall be used for professional development in literacy for 87735
classroom teachers, administrators, and literacy specialists, and 87736
to provide intensive summer training for mathematics teachers.87737

       Of the foregoing appropriation item 200-433, 87738
Reading/Writing/Math Improvement, $250,000 in each fiscal year 87739
shall be used to continue the Waterford Early Reading Program.87740

       Of the foregoing appropriation item 200-433, 87741
Reading/Writing/Math Improvement, up to $1,000,000 in each fiscal 87742
year shall be used by the Department of Education to fund the 87743
Reading Recovery Training Network, to cover the cost of release 87744
time for the teacher trainers, and to provide grants to districts 87745
to implement other reading improvement programs on a pilot basis. 87746
Funds from this appropriation item also may be used to conduct 87747
evaluations of the impact and effectiveness of Reading Recovery 87748
and other reading improvement programs.87749

       The remainder of appropriation item 200-433, 87750
Reading/Writing/Math Improvement, shall be used to support 87751
standards-based classroom reading and writing instruction and 87752
reading intervention and the design/development of standards-based 87753
literacy curriculum materials; to support literacy professional 87754
development partnerships between the Department of Education, 87755
higher education institutions, the literacy specialists project, 87756
the Ohio principals' literacy network, regional literacy teams, 87757
literacy networks, and school districts.87758

       STUDENT ASSESSMENT87759

        Of the foregoing appropriation item 200-437, Student 87760
Assessment, $500,000 in fiscal year 2004 and $100,000 in fiscal 87761
year 2005 shall be used by the Department of Education to train 87762
school district personnel to score the practice version of the 87763
Ohio Graduation Test to be taken by students enrolled in the ninth 87764
grade in school districts in academic watch or academic emergency 87765
pursuant to sections 3301.0710 and 3301.0711 of the Revised Code.87766

       The remainder of appropriation item 200-437, Student87767
Assessment, shall be used to develop, field test, print,87768
distribute, score, report results, and support other associated 87769
costs for the tests required under sections 3301.0710 and 87770
3301.0711 of the Revised Code and for similar purposes as required 87771
by section 3301.27 of the Revised Code.87772

       ACCOUNTABILITY/REPORT CARDS87773

       The foregoing appropriation item 200-439, 87774
Accountability/Report Cards, shall be used for the development of 87775
an accountability system that includes the preparation and 87776
distribution of school report cards pursuant to section 3302.03 of 87777
the Revised Code.87778

       AMERICAN SIGN LANGUAGE87779

       Of the foregoing appropriation item 200-441, American Sign87780
Language, up to $136,943 in each fiscal year shall be used to 87781
implement pilot projects for the integration of American Sign 87782
Language deaf language into the kindergarten through twelfth-grade 87783
curriculum.87784

       The remainder of the appropriation shall be used by the87785
Department of Education to provide supervision and consultation to87786
school districts in dealing with parents of children who are deaf 87787
or hard of hearing, in integrating American Sign Language as a 87788
foreign language, and in obtaining interpreters and improving 87789
their skills.87790

       CHILD CARE LICENSING87791

       The foregoing appropriation item 200-442, Child Care87792
Licensing, shall be used by the Department of Education to license87793
and to inspect preschool and school-age child care programs in87794
accordance with sections 3301.52 to 3301.59 of the Revised Code.87795

       OHIOREADS ADMIN/VOLUNTEER SUPPORT87796

       The foregoing appropriation item 200-445, OhioReads87797
Admin/Volunteer Support, may be allocated by the OhioReads Office 87798
in the Department of Education at the direction of the OhioReads 87799
Council for volunteer coordinators in public school buildings, to87800
educational service centers for costs associated with volunteer87801
coordination, for background checks for volunteers, to evaluate87802
the OhioReads Program, and for operating expenses associated with87803
administering the program.87804

       Section 41.06.  EDUCATION MANAGEMENT INFORMATION SYSTEM87805

       The foregoing appropriation item 200-446, Education87806
Management Information System, shall be used by the Department of87807
Education to improve the Education Management Information System 87808
(EMIS).87809

       Of the foregoing appropriation item 200-446, Education87810
Management Information System, up to $1,295,857 in each fiscal 87811
year shall be distributed to designated data acquisition sites for 87812
costs relating to processing, storing, and transferring data for 87813
the effective operation of the EMIS. These costs may include, but 87814
are not limited to, personnel, hardware, software development,87815
communications connectivity, professional development, and support87816
services, and to provide services to participate in the State87817
Education Technology Plan pursuant to section 3301.07 of the87818
Revised Code.87819

       Of the foregoing appropriation item 200-446, Education87820
Management Information System, up to $8,055,189 in each fiscal 87821
year shall be distributed on a per-pupil basis to school 87822
districts, community schools established under Chapter 3314. of 87823
the Revised Code, education service centers, joint vocational 87824
school districts, and any other education entity that reports data 87825
through EMIS. From this funding, each school district or community 87826
school established under Chapter 3314. of the Revised Code with 87827
enrollment greater than 100 students and each vocational school 87828
district shall receive a minimum of $5,000 in each fiscal year. 87829
Each school district or community school established under Chapter87830
3314. of the Revised Code with enrollment between one and one87831
hundred and each education service center and each county board of87832
MR/DD that submits data through EMIS shall receive $3,000 in each 87833
fiscal year. This subsidy shall be used for costs relating to 87834
reporting, processing, storing, transferring, and exchanging data 87835
necessary to meet requirements of the Department of Education's 87836
data system.87837

       Of the foregoing appropriation item 200-446, Education 87838
Management Information System, $782,500 in each fiscal year shall 87839
be used by the Department of Education, in consultation with an 87840
advisory group of school districts, community schools, and other 87841
education-related entities, for the development and implementation 87842
of a common core of Education Management Information System data 87843
definitions and data format standards. Once these definitions and 87844
standards have been developed, they shall be approved by the 87845
Education Data Advisory Council. Once the standards are approved 87846
by the Education Data Advisory Council, any software meeting the 87847
standards shall be designated as an approved vendor and may enter 87848
into contracts with local school districts, community schools, 87849
data acquisition centers, or other educational entities for the 87850
purpose of collecting and managing data required under Ohio's 87851
education management information system (EMIS) laws. On an annual 87852
basis, the Department of Education shall convene an advisory group 87853
of school districts, community schools, and other 87854
education-related entities to review the Education Management 87855
Information System data definitions and data format standards. The 87856
advisory group shall recommend changes and enhancements based upon 87857
surveys of its members, education agencies in other states, and 87858
current industry practices, to reflect best practices, align with 87859
federal initiatives, and meet the needs of school districts.87860

       School districts and community schools shall implement a 87861
common and uniform set of data definitions and data format 87862
standards for Education Management Information System purposes by 87863
July 1, 2004. The Department of Education shall work with data 87864
acquisition sites and their member school districts and community 87865
schools to implement those uniform standards. School districts and 87866
community schools that do not adopt and implement the uniform data 87867
definitions and standards by July 1, 2004, as jointly determined 87868
by the Department of Education software development team and the 87869
advisory group shall have all EMIS funding withheld until they are 87870
in compliance.87871

       GED TESTING/ADULT HIGH SCHOOL87872

       The foregoing appropriation item 200-447, GED Testing/Adult87873
High School, shall be used to provide General Educational87874
Development (GED) testing at no cost to applicants, pursuant to87875
rules adopted by the State Board of Education. The Department of87876
Education shall reimburse school districts and community schools,87877
created in accordance with Chapter 3314. of the Revised Code, for87878
a portion of the costs incurred in providing summer instructional87879
or intervention services to students who have not graduated due to87880
their inability to pass one or more parts of the state's ninth87881
grade proficiency test. School districts shall also provide such87882
services to students who are residents of the district pursuant to87883
section 3313.64 of the Revised Code, but who are enrolled in87884
chartered, nonpublic schools. The services shall be provided in87885
the public school, in nonpublic schools, in public centers, or in87886
mobile units located on or off the nonpublic school premises. No87887
school district shall provide summer instructional or intervention87888
services to nonpublic school students as authorized by this87889
section unless such services are available to students attending87890
the public schools within the district. No school district shall87891
provide services for use in religious courses, devotional87892
exercises, religious training, or any other religious activity. 87893
Chartered, nonpublic schools shall pay for any unreimbursed costs87894
incurred by school districts for providing summer instruction or87895
intervention services to students enrolled in chartered, nonpublic87896
schools. School districts may provide these services to students87897
directly or contract with postsecondary or nonprofit87898
community-based institutions in providing instruction. The87899
appropriation also shall be used for state reimbursement to school 87900
districts for adult high school continuing education programs 87901
pursuant to section 3313.531 of the Revised Code or for costs 87902
associated with awarding adult high school diplomas under section 87903
3313.611 of the Revised Code.87904

       EDUCATOR PREPARATION87905

       The foregoing appropriation item 200-448, Educator 87906
Preparation, shall be used by the Ohio Teacher Education and 87907
Licensure Advisory Commission to carry out the responsibilities of 87908
the 21-member Ohio Teacher Education and Licensure Advisory 87909
Commission. The advisory commission is charged by the State Board 87910
of Education with considering all matters related to educator 87911
preparation and licensure, including standards for educator 87912
preparation and licensure, approval of institutions and programs, 87913
and recommending decisions to the State Board of Education.87914

       TITLE IV-A HEAD START AND TITLE IV-A HEAD START PLUS START UP87915

       The foregoing appropriation item 200-449, Head Start/Head 87916
Start Plus Start Up, shall be used to provide start up grants for 87917
Title IV-A reimbursable funding for the provision of services to 87918
children eligible for Title IV-A services. In fiscal year 2004, 87919
these grants shall be provided to Title IV-A Head Start agencies. 87920
In fiscal year 2005, these grants shall be provided to Title IV-A 87921
Head Start agencies and Title IV-A Head Start Plus agencies. The 87922
amount of each grant shall be determined by the Department of 87923
Education. Funds appropriated for this purpose shall be reimbursed 87924
to the General Revenue Fund when the Title IV-A Head Start or 87925
Title IV-A Head Start Plus programs cease or are no longer funded 87926
from Title IV-A. If one program ceases or is no longer funded with 87927
Title IV-A funds, the General Revenue Fund will be reimbursed for 87928
that program.87929

       If a Title IV-A Head Start agency or Title IV-A Head Start 87930
Plus agency chooses not to participate in the program or if the 87931
Department or Education suspends or terminates part or all of its 87932
funding, reimbursement owed to the grantee shall be held by the 87933
Department of Education up to the amount of the grant owed by the 87934
grantee. If insufficient reimbursement is available to recover the 87935
amount owed by the grantee, the grantee shall return the remaining 87936
balance within 60 days of the date of the decision not to 87937
participate, the suspension, or the termination. Funding recovered 87938
from such grantees shall be used by the Department of Education 87939
for supplying grants to new grantees for Title IV-A reimbursable 87940
funding for provision of services to children eligible for Title 87941
IV-A services. Any funding remaining when the Title IV-A Head 87942
Start and the Title IV-A Head Start Plus programs cease or are no 87943
longer funded with Title IV-A funds shall be returned to the 87944
General Revenue Fund.87945

       The Title IV-A Head Start Plus agency that is receiving funds 87946
to operate a Head Start program in accordance with section 3301.35 87947
of the Revised Code shall provide the program through contracts 87948
with child care providers licensed or certified in accordance with 87949
Chapter 5104. of the Revised Code. If a licensed or certified 87950
child care provider is not in operation or willing to participate 87951
and if eligible families are in need of full-day and full-year 87952
Head Start and child care services, the Title IV-A Head Start Plus 87953
agency may be the sole source provider.87954

        TEACHING SUCCESS COMMISSION INITIATIVES87955

        The foregoing appropriation item 200-452, Teaching Success 87956
Commission Initiatives, shall be used by the Department of 87957
Education to support initiatives recommended by the Governor's 87958
Commission on Teaching Success.87959

       COMMUNITY SCHOOLS87960

       Of the foregoing appropriation item 200-455, Community87961
Schools, up to $1,308,661 in each fiscal year may be used by the 87962
Department of Education for additional services and 87963
responsibilities under section 3314.11 of the Revised Code.87964

       Of the foregoing appropriation item 200-455, Community 87965
Schools, up to $250,000 in each fiscal year may be used by the 87966
Department of Education for developing and conducting training 87967
sessions for sponsors and prospective sponsors of community 87968
schools as prescribed in division (A)(1) of section 3314.015 of 87969
the Revised Code. In developing such training sessions, the 87970
Department shall collect and disseminate examples of best 87971
practices used by sponsors of independent charter schools in Ohio 87972
and other states.87973

       The remaining appropriation may be used by the Department of87974
Education to make grants of up to $50,000 to each proposing group 87975
with a preliminary agreement obtained under division (C)(2) of 87976
section 3314.02 of the Revised Code in order to defray planning87977
and initial start-up costs. In the first year of operation of a 87978
community school, the Department of Education may make a grant of 87979
not more than $100,000 to the governing authority of the school to 87980
partially defray additional start-up costs. The amount of the 87981
grant shall be based on a thorough examination of the needs of the 87982
community school. The Department of Education shall not utilize 87983
moneys received under this section for any other purpose other 87984
than those specified under this section.87985

       A community school awarded start-up grants from appropriation87986
item 200-613, Public Charter Schools (Fund 3T4), shall not be87987
eligible for grants under this section.87988

       Section 41.07.  SCHOOL FINANCE EQUITY87989

       The foregoing appropriation item 200-500, School Finance87990
Equity, shall be distributed to school districts based on the87991
formula specified in section 3317.0213 of the Revised Code.87992

       Section 41.08.  BASE COST FUNDING87993

       The foregoing appropriation item 200-501, Base Cost Funding,87994
includes $90,000,000 in each fiscal year for the state education87995
aid offset due to the change in public utility valuation as a87996
result of Am. Sub. S.B. 3 and Am. Sub. S.B. 287, both of the 123rd87997
General Assembly. This amount represents the total state education 87998
aid offset due to the valuation change for school districts and 87999
joint vocational school districts from all relevant appropriation88000
line item sources. If it is determined that the state education88001
aid offset is more than $90,000,000, the Controlling Board may88002
increase the appropriation for appropriation item 200-501, Base 88003
Cost Funding, by the difference amount if presented with such a 88004
request from the Department of Education. The appropriation 88005
increase, if any, is hereby appropriated. If it is determined that 88006
the state education aid offset is less than $90,000,000, the 88007
Director of Budget and Management shall then reduce the 88008
appropriation for appropriation item 200-501, Base Cost Funding, 88009
by the difference amount and notify the Controlling Board of this 88010
action. The appropriation decrease determined by the Director of 88011
Budget and Management, if any, is hereby approved, and 88012
appropriations are hereby reduced by the amount determined.88013

       Of the foregoing appropriation item 200-501, Base Cost88014
Funding, up to $425,000 shall be expended in each fiscal year for88015
court payments pursuant to section 2151.357 of the Revised Code; 88016
an amount shall be available in each fiscal year for the cost of 88017
reappraisal guarantee pursuant to section 3317.04 of the Revised 88018
Code; an amount shall be available in each fiscal year to fund up 88019
to 225 full-time equivalent approved GRADS teacher grants pursuant 88020
to division (R) of section 3317.024 of the Revised Code; an amount 88021
shall be available in each fiscal year to make payments to school88022
districts pursuant to division (A)(2) of section 3317.022 of the88023
Revised Code; an amount shall be available in each fiscal year to88024
make payments to school districts pursuant to division (F) of88025
section 3317.022 of the Revised Code; an amount shall be available88026
in each fiscal year to make payments to school districts pursuant88027
to division (C) of section 3317.0212 of the Revised Code; and up88028
to $15,000,000 in each fiscal year shall be reserved for payments 88029
pursuant to sections 3317.026, 3317.027, and 3317.028 of the 88030
Revised Code except that the Controlling Board may increase the 88031
$15,000,000 amount if presented with such a request from the88032
Department of Education. Of the foregoing appropriation item88033
200-501, Base Cost Funding, up to $15,000,000 in each fiscal year 88034
shall be used to provide additional state aid to school districts 88035
for special education students pursuant to division (C)(3) of 88036
section 3317.022 of the Revised Code; up to $2,000,000 in each 88037
fiscal year shall be reserved for Youth Services tuition payments88038
pursuant to section 3317.024 of the Revised Code; and up to 88039
$52,000,000 in each fiscal year shall be reserved to fund the 88040
state reimbursement of educational service centers pursuant to 88041
section 3317.11 of the Revised Code and the section of this act 88042
entitled "EDUCATIONAL SERVICE CENTERS FUNDING." An amount shall be 88043
available for special education weighted funding pursuant to 88044
division (C)(1) of section 3317.022 and division (D)(1) of section 88045
3317.16 of the Revised Code.88046

       Of the foregoing appropriation item 200-501, Base Cost 88047
Funding, an amount shall be available in each fiscal year to be 88048
used by the Department of Education for transitional aid for 88049
school districts. Funds shall be distributed pursuant to the 88050
section of this act entitled "TRANSITIONAL AID."88051

       Of the foregoing appropriation item 200-501, Base Cost88052
Funding, up to $1,000,000 in each fiscal year shall be used by the88053
Department of Education for a pilot program to pay for educational88054
services for youth who have been assigned by a juvenile court or88055
other authorized agency to any of the facilities described in88056
division (A) of the section titled "Private Treatment Facility88057
Pilot Project."88058

       The remaining portion of appropriation item 200-501, Base88059
Cost Funding, shall be expended for the public schools of city,88060
local, exempted village, and joint vocational school districts,88061
including base cost funding, special education speech service 88062
enhancement funding, career-technical education weight funding, 88063
career-technical education associated service funding, guarantee 88064
funding, and teacher training and experience funding pursuant to 88065
sections 3317.022, 3317.023, 3317.0212, and 3317.16 of the Revised 88066
Code.88067

       Appropriation items 200-500, School Finance Equity, 200-501,88068
Base Cost Funding, 200-502, Pupil Transportation, 200-520,88069
Disadvantaged Pupil Impact Aid, 200-521, Gifted Pupil Program,88070
200-525, Parity Aid, and 200-546, Charge-Off Supplement, other88071
than specific set-asides, are collectively used in each fiscal 88072
year to pay state formula aid obligations for school districts and 88073
joint vocational school districts pursuant to Chapter 3317. of the 88074
Revised Code. The first priority of these appropriation items, 88075
with the exception of specific set-asides, is to fund state 88076
formula aid obligations under Chapter 3317. of the Revised Code. 88077
It may be necessary to reallocate funds among these appropriation 88078
items in order to meet state formula aid obligations. If it is 88079
determined that it is necessary to transfer funds among these 88080
appropriation items to meet state formula aid obligations, the 88081
Department of Education shall seek approval from the Controlling 88082
Board to transfer funds among these appropriation items.88083

       Section 41.09.  PUPIL TRANSPORTATION88084

       Of the foregoing appropriation item 200-502, Pupil88085
Transportation, up to $822,400 in each fiscal year may be used by 88086
the Department of Education for training prospective and 88087
experienced school bus drivers in accordance with training 88088
programs prescribed by the Department. Up to $56,975,910 in each 88089
fiscal year may be used by the Department of Education for special 88090
education transportation reimbursements to school districts and 88091
county MR/DD boards for transportation operating costs as provided 88092
in division (M) of section 3317.024 of the Revised Code. The 88093
remainder of appropriation item 200-502, Pupil Transportation, 88094
shall be used for the state reimbursement of public school 88095
districts' costs in transporting pupils to and from the school 88096
they attend in accordance with the district's policy, State Board 88097
of Education standards, and the Revised Code.88098

       BUS PURCHASE ALLOWANCE88099

       The foregoing appropriation item 200-503, Bus Purchase88100
Allowance, shall be distributed to school districts, educational 88101
service centers, and county MR/DD boards pursuant to rules adopted 88102
under section 3317.07 of the Revised Code. Up to 28 per cent of 88103
the amount appropriated may be used to reimburse school districts 88104
and educational service centers for the purchase of buses to88105
transport handicapped and nonpublic school students and to county 88106
MR/DD boards, the Ohio School for the Deaf, and the Ohio School 88107
for the Blind for the purchase of buses to transport handicapped 88108
students.88109

       SCHOOL LUNCH MATCH88110

       The foregoing appropriation item 200-505, School Lunch Match,88111
shall be used to provide matching funds to obtain federal funds88112
for the school lunch program.88113

       Section 41.10.  ADULT LITERACY EDUCATION88114

       The foregoing appropriation item 200-509, Adult Literacy88115
Education, shall be used to support adult basic and literacy88116
education instructional programs and the State Literacy Resource88117
Center Program.88118

       Of the foregoing appropriation item 200-509, Adult Literacy88119
Education, up to $519,188 in each fiscal year shall be used for 88120
the support and operation of the State Literacy Resource Center.88121

       Of the foregoing appropriation item 200-509, Adult Literacy 88122
Education, $146,250 in each fiscal year shall be used to support 88123
initiatives for English as a second language programs in 88124
combination with citizenship. Funding shall be provided to 88125
organizations that received such funds during fiscal year 2003 88126
from appropriation item 200-570, School Improvement Incentive 88127
Grants.88128

       The remainder of the appropriation shall be used to continue 88129
to satisfy the state match and maintenance of effort requirements 88130
for the support and operation of the Department of 88131
Education-administered instructional grant program for adult basic 88132
and literacy education in accordance with the department's state 88133
plan for adult basic and literacy education as approved by the 88134
State Board of Education and the Secretary of the United States 88135
Department of Education.88136

       AUXILIARY SERVICES88137

       The foregoing appropriation item 200-511, Auxiliary Services,88138
shall be used by the Department of Education for the purpose of88139
implementing section 3317.06 of the Revised Code. Of the88140
appropriation, up to $1,462,500 in each fiscal year may be used 88141
for payment of the Post-Secondary Enrollment Options Program for 88142
nonpublic students pursuant to section 3365.10 of the Revised 88143
Code.88144

       STUDENT INTERVENTION SERVICES88145

       Of the foregoing appropriation item 200-513, Student 88146
Intervention Services, $3,700,000 in fiscal year 2004 and 88147
$5,900,000 in fiscal year 2005 shall be allocated by the 88148
Department of Education, on a per pupil basis, to school districts 88149
in academic emergency. Districts shall use these funds for 88150
salaries, materials, and training to provide after-school, 88151
in-school, Saturday school, summer school, or other related 88152
intervention programs to students as specified in division (D)(2) 88153
of section 3301.0711 of the Revised Code. In fiscal year 2004 88154
these programs shall be provided to students enrolled in the ninth 88155
grade. In fiscal year 2005, these programs shall be provided to 88156
students enrolled in the ninth and tenth grades. At the end of 88157
each fiscal year, the school districts receiving these funds shall 88158
report to the Department of Education the number of students who 88159
were offered intervention, the number of students who 88160
participated, and the number of students who completed the 88161
intervention program, and shall provide an evaluation of the 88162
impact of the intervention on students.88163

       Of the foregoing appropriation item 200-513, Student 88164
Intervention Services, $150,000 in each fiscal year shall be used 88165
for Read Baby Read.88166

       The remainder of appropriation item 200-513, Student88167
Intervention Services, shall be used to assist districts providing88168
the intervention services specified in section 3313.608 of the88169
Revised Code. The Department of Education shall establish88170
guidelines for the use and distribution of these moneys. School88171
districts receiving funds from this appropriation shall report to88172
the Department of Education on how funds were used.88173

       POSTSECONDARY ADULT CAREER-TECHNICAL EDUCATION88174

       Of the foregoing appropriation item 200-514, Postsecondary 88175
Adult Career-Technical Education, $40,000 in each fiscal year 88176
shall be used for the statewide coordination of the activities of 88177
the Ohio Young Farmers.88178

       The remainder of appropriation item 200-514, Postsecondary 88179
Adult Career-Technical Education, shall be used by the State Board 88180
of Education to provide postsecondary adult career-technical 88181
education under sections 3313.52 and 3313.53 of the Revised Code.88182

       DISADVANTAGED PUPIL IMPACT AID88183

       Notwithstanding the distribution formula outlined in section88184
3317.029 of the Revised Code, each school district shall receive 88185
an additional two per cent in Disadvantaged Pupil Impact Aid 88186
(DPIA) funding in fiscal year 2004 over what was received in 88187
fiscal year 2003 unless the district receives DPIA funding from 88188
the DPIA guarantee provision pursuant to division (B) of section 88189
3317.029 of the Revised Code in fiscal year 2003. For such a 88190
district, its DPIA funding in fiscal year 2004 shall equal the 88191
amount of DPIA funding the district received in fiscal year 2003.88192

       Notwithstanding the distribution formula outlined in section 88193
3317.029 of the Revised Code, each school district shall receive 88194
an additional two per cent in DPIA funding in fiscal year 2005 88195
over what was received in fiscal year 2004 unless the district 88196
receives DPIA funding from the DPIA guarantee provision pursuant 88197
to division (B) of section 3317.029 of the Revised Code in fiscal 88198
year 2003. For such a district, its DPIA funding in fiscal year 88199
2005 shall equal the amount of DPIA funding the district received 88200
in fiscal year 2004.88201

        School districts must continue to comply with all expenditure 88202
guidelines and restrictions outlined in divisions (F), (G), (I), 88203
and (K) of section 3317.029 of the Revised Code by assuming a two 88204
per cent increase in funds for each program outlined in divisions 88205
(C), (D), and (E) of section 3317.029 of the Revised Code and by 88206
assuming a DPIA index equivalent to the index calculated in fiscal 88207
year 2003.88208

       The Department of Education shall pay all-day, everyday88209
kindergarten funding to all school districts in each fiscal year 88210
that qualified for and provided the service in fiscal year 2003 88211
pursuant to section 3317.029 of the Revised Code. School districts 88212
and community schools that did not have a DPIA allocation in 88213
fiscal year 2003 shall not receive an allocation in fiscal year 88214
2004 or fiscal year 2005.88215

       Of the foregoing appropriation item 200-520, Disadvantaged88216
Pupil Impact Aid, up to $3,800,000 in each fiscal year shall be 88217
used for school breakfast programs. Of this amount, up to88218
$1,000,000 shall be used in each fiscal year by the Department of 88219
Education for the purpose of increasing participation in child 88220
nutrition programs, particularly school breakfast and summer 88221
meals. The Department shall collaborate with the Children's Hunger 88222
Alliance in the outreach effort. The remainder of the 88223
appropriation shall be used to partially reimburse school 88224
buildings within school districts that are required to have a88225
school breakfast program pursuant to section 3313.813 of the88226
Revised Code, at a rate decided by the Department.88227

       Of the foregoing appropriation item 200-520, Disadvantaged 88228
Pupil Impact Aid, $4,500,000 in fiscal year 2004 and $6,000,000 in 88229
fiscal year 2005 shall be used to operate the school choice 88230
program in the Cleveland Municipal School District pursuant to 88231
sections 3313.974 to 3313.979 of the Revised Code.88232

       Of the portion of the funds distributed to the Cleveland 88233
Municipal School District under this section, up to $11,901,887 in 88234
each fiscal year shall be used to operate the school choice 88235
program in the Cleveland Municipal School District pursuant to 88236
sections 3313.974 to 3313.979 of the Revised Code.88237

       Section 41.11.  GIFTED PUPIL PROGRAM88238

       The foregoing appropriation item 200-521, Gifted Pupil88239
Program, shall be used for gifted education units not to exceed 88240
1,110 in each fiscal year pursuant to division (P) of section 88241
3317.024 and division (F) of section 3317.05 of the Revised Code.88242

       Of the foregoing appropriation item 200-521, Gifted Pupil88243
Program, up to $5,000,000 each in fiscal year may be used as an 88244
additional supplement for identifying gifted students pursuant to 88245
Chapter 3324. of the Revised Code.88246

       Of the foregoing appropriation item 200-521, Gifted Pupil88247
Program, the Department of Education may expend up to $1,000,00088248
in each fiscal year for the Summer Honors Institute for gifted 88249
freshman and sophomore high school students. Up to $600,000 in 88250
each fiscal year shall be used for research and demonstration 88251
projects. The Department of Education shall research and evaluate 88252
the effectiveness of gifted education programs in Ohio. Up to88253
$70,000 in each fiscal year shall be used for the Ohio Summer 88254
School for the Gifted (Martin Essex Program).88255

       Section 41.12. PARITY AID88256

       The foregoing appropriation item 200-525, Parity Aid, shall88257
be distributed to school districts based on the formulas specified88258
in section 3317.0217 of the Revised Code.88259

       NONPUBLIC ADMINISTRATIVE COST REIMBURSEMENT88260

       The foregoing appropriation item 200-532, Nonpublic88261
Administrative Cost Reimbursement, shall be used by the Department 88262
of Education for the purpose of implementing section 3317.063 of 88263
the Revised Code.88264

       Section 41.13. SPECIAL EDUCATION ENHANCEMENTS88265

       Of the foregoing appropriation item 200-540, Special88266
Education Enhancements, up to $44,204,000 in fiscal year 2004 and 88267
up to $45,441,712 in fiscal year 2005 shall be used to fund88268
special education and related services at county boards of mental88269
retardation and developmental disabilities for eligible students88270
under section 3317.20 of the Revised Code. Up to $2,452,125 shall88271
be used in each fiscal year to fund special education classroom 88272
and related services units at institutions.88273

       Of the foregoing appropriation item 200-540, Special88274
Education Enhancements, up to $2,906,875 in each fiscal year shall 88275
be used for home instruction for children with disabilities; up to88276
$1,462,500 in each fiscal year shall be used for parent mentoring 88277
programs; and up to $2,783,396 in each fiscal year may be used for 88278
school psychology interns.88279

       Of the foregoing appropriation item 200-540, Special88280
Education Enhancements, $3,406,090 in each fiscal year shall be 88281
used by the Department of Education to assist school districts in 88282
funding aides pursuant to paragraph (A)(3)(c)(i)(b) of rule88283
3301-51-04 of the Administrative Code.88284

       Of the foregoing appropriation item 200-540, Special88285
Education Enhancements, $78,384,498 in each fiscal year shall be88286
distributed by the Department of Education to county boards of88287
mental retardation and developmental disabilities, educational88288
service centers, and school districts for preschool special88289
education units and preschool supervisory units in accordance with88290
section 3317.161 of the Revised Code. The department may reimburse 88291
county boards of mental retardation and developmental88292
disabilities, educational service centers, and school districts88293
for related services as defined in rule 3301-31-05 of the88294
Administrative Code, for preschool occupational and physical88295
therapy services provided by a physical therapy assistant and88296
certified occupational therapy assistant, and for an instructional88297
assistant. To the greatest extent possible, the Department of88298
Education shall allocate these units to school districts and88299
educational service centers. The Controlling Board may approve the 88300
transfer of unallocated funds from appropriation item 200-501,88301
Base Cost Funding, to appropriation item 200-540, Special88302
Education Enhancements, to fully fund existing units as necessary88303
or to fully fund additional units. The Controlling Board may88304
approve the transfer of unallocated funds from appropriation item88305
200-540, Special Education Enhancements, to appropriation item88306
200-501, Base Cost Funding, to fully fund the special education88307
weight cost funding.88308

       The Department of Education shall require school districts,88309
educational service centers, and county MR/DD boards serving88310
preschool children with disabilities to document child progress88311
using research-based indicators prescribed by the Department and 88312
report results annually. The reporting dates and methodology shall 88313
be determined by the Department.88314

       Of the foregoing appropriation item 200-540, Special 88315
Education Enhancements, $315,000 in each fiscal year shall be 88316
expended to conduct a demonstration project involving language and 88317
literacy intervention teams supporting student acquisition of 88318
language and literacy skills. The demonstration project shall 88319
demonstrate improvement of language and literacy skills of at-risk 88320
learners under the instruction of certified speech pathologists 88321
and educators. Baseline data shall be collected and comparison 88322
data for fiscal year 2004 and fiscal year 2005 shall be collected 88323
and reported to the Governor, Ohio Reads Council, Department of 88324
Education, and the General Assembly.88325

       Of the foregoing appropriation item 200-540, Special 88326
Education Enhancements, up to $500,000 in each fiscal year shall 88327
be used for the Research-Based Reading Mentoring Program.88328

       Of the foregoing appropriation item 200-540, Special 88329
Education Enhancements, $600,000 in each fiscal year shall be used 88330
to support the Bellefaire Jewish Children's Bureau.88331

       Section 41.14.  CAREER-TECHNICAL EDUCATION ENHANCEMENTS88332

       Of the foregoing appropriation item 200-545, Career-Technical88333
Education Enhancements, up to $2,576,107 in each fiscal year shall88334
be used to fund career-technical education units at institutions.88335

       Of the foregoing appropriation item 200-545, Career-Technical88336
Education Enhancements, up to $2,925,000 in each fiscal year shall 88337
be used by the Department of Education to fund competitive grants 88338
to tech prep consortia that expand the number of students enrolled 88339
in tech prep programs. These grant funds shall be used to directly88340
support expanded tech prep programs, including equipment, provided88341
to students enrolled in school districts, including joint88342
vocational school districts, and affiliated higher education88343
institutions.88344

       Of the foregoing appropriation item 200-545, Career-Technical88345
Education Enhancements, $2,225,000 in each fiscal year shall be88346
used to provide an amount to each eligible school district for the88347
replacement or updating of equipment essential for the instruction88348
of students in job skills taught as part of a career-technical88349
program or programs approved for such instruction by the State88350
Board of Education. School districts replacing or updating88351
career-technical education equipment may purchase or lease such88352
equipment. The Department of Education shall review and approve88353
all equipment requests and may allot appropriated funds to88354
eligible school districts on the basis of the number of full-time88355
equivalent workforce development teachers in all eligible88356
districts making application for funds.88357

        The State Board of Education may adopt standards of need for88358
equipment allocation. Pursuant to the adoption of any such88359
standards of need by the State Board of Education, appropriated88360
funds may be allotted to eligible districts according to such88361
standards. Equipment funds allotted under either process shall be88362
provided to a school district at 30, 40, or 50 per cent of cost on 88363
the basis of a rating developed by the Department of Education 88364
using the state share percentage as provided in division (B)(2) of 88365
section 3317.022 of the Revised Code.88366

       Of the foregoing appropriation item 200-545, Career-Technical88367
Education Enhancements, up to $3,650,000 in each fiscal year shall88368
be used by the Department of Education to support existing High 88369
Schools That Work (HSTW) sites, develop and support new sites,88370
fund technical assistance, and support regional centers and middle88371
school programs. The purpose of HSTW is to combine challenging88372
academic courses and modern career-technical studies to raise the 88373
academic achievement of students. It provides intensive technical 88374
assistance, focused staff development, targeted assessment 88375
services, and ongoing communications and networking opportunities.88376

       Of the foregoing appropriation item 200-545, Career-Technical88377
Education Enhancements, $2,400,000 in each fiscal year shall be 88378
used for K-12 career development.88379

       Of the foregoing appropriation item 200-545, Career-Technical 88380
Education Enhancements, up to $496,800 in each fiscal year shall 88381
be allocated for the Ohio Career Information System (OCIS) and 88382
used for the dissemination of career information data to public 88383
schools, libraries, rehabilitation centers, two- and four-year 88384
colleges and universities, and other governmental units.88385

       Of the foregoing appropriation item 200-545, Career-Technical88386
Educational Enhancements, $300,000 in each fiscal year shall be88387
used by the Department of Education to enable students in88388
agricultural programs to enroll in a fifth quarter of instruction 88389
based on the agricultural education model of delivering work-based88390
learning through supervised agricultural experience. The88391
Department of Education shall determine eligibility criteria and 88392
the reporting process for the Agriculture 5th Quarter Project and 88393
shall fund as many programs as possible given the $300,000 set 88394
aside.88395

       Section 41.15.  CHARGE-OFF SUPPLEMENT88396

       The foregoing appropriation item 200-546, Charge-Off88397
Supplement, shall be used by the Department of Education to make88398
payments pursuant to section 3317.0216 of the Revised Code.88399

       EMERGENCY LOAN INTEREST SUBSIDY88400

       The foregoing appropriation item 200-558, Emergency Loan88401
Interest Subsidy, shall be used to provide a subsidy to school88402
districts receiving emergency school loans pursuant to section88403
3313.484 of the Revised Code. The subsidy shall be used to pay88404
these districts the difference between the amount of interest the88405
district is paying on an emergency loan, and the interest that the88406
district would have paid if the interest rate on the loan had been88407
two per cent.88408

       Section 41.16.  OHIOREADS GRANTS88409

       Of the foregoing appropriation item 200-566, OhioReads 88410
Grants, the OhioReads Office in the Department of Education shall 88411
use $2,125,223 in fiscal year 2004 and $2,167,728 in fiscal year 88412
2005 to fund the STARS program.88413

       The remainder of the foregoing appropriation item 200-566, 88414
OhioReads Grants, shall be disbursed by the OhioReads Office in 88415
the Department of Education at the direction of the OhioReads 88416
Council to provide grants to public schools in city, local, and88417
exempted village school districts; community schools; and88418
educational service centers serving kindergarten through fourth88419
grade students to support local reading literacy initiatives 88420
including reading programs, materials, professional development, 88421
tutoring, tutor recruitment and training, and parental 88422
involvement.88423

       Grants awarded by the OhioReads Council are intended to88424
improve reading outcomes, especially on reading proficiency tests.88425

       SAFE AND SUPPORTIVE SCHOOLS88426

       Of the foregoing appropriation item 200-578, Safe and 88427
Supportive Schools, up to $224,250 in each fiscal year shall be 88428
used to fund a safe school center to provide resources for parents 88429
and for school and law enforcement personnel.88430

        Of the foregoing appropriation item 200-578, Safe and 88431
Supportive Schools, up to $20,000 in each fiscal year may be used 88432
by schools for the Eddie Eagle Gun Safety Pilot Program. School 88433
districts wishing to participate in the pilot program shall apply 88434
to the Department of Education under guidelines established by the 88435
Superintendent of Public Instruction.88436

       Of the foregoing appropriation item 200-578, Safe and 88437
Supportive Schools, up to $1,800,000 in each fiscal year shall be 88438
used for a safe school help line.88439

       The remainder of the appropriation shall be distributed based 88440
on guidelines developed by the Department of Education to enhance 88441
school safety. The guidelines shall provide a list of 88442
research-based best practices and programs from which local 88443
grantees shall select based on local needs. These practices shall 88444
include, but not be limited to, school resource officers and safe 88445
and drug free school coordinators and social-emotional development 88446
programs. 88447

       Section 41.17. PROPERTY TAX ALLOCATION - EDUCATION88448

       The Superintendent of Public Instruction shall not request,88449
and the Controlling Board shall not approve, the transfer of funds88450
from appropriation item 200-901, Property Tax Allocation - 88451
Education, to any other appropriation item.88452

       The appropriation item 200-901, Property Tax Allocation -88453
Education, is appropriated to pay for the state's costs incurred88454
due to the homestead exemption and the property tax rollback. In88455
cooperation with the Department of Taxation, the Department of88456
Education shall distribute these funds directly to the appropriate88457
school districts of the state, notwithstanding sections 321.24 and88458
323.156 of the Revised Code, which provide for payment of the88459
homestead exemption and property tax rollback by the Tax88460
Commissioner to the appropriate county treasurer and the88461
subsequent redistribution of these funds to the appropriate local88462
taxing districts by the county auditor.88463

       Appropriation item 200-906, Tangible Tax Exemption -88464
Education, is appropriated to pay for the state's costs incurred88465
due to the tangible personal property tax exemption required by88466
division (C)(3) of section 5709.01 of the Revised Code. In88467
cooperation with the Department of Taxation, the Department of88468
Education shall distribute to each county treasurer the total88469
amount appearing in the notification from the county treasurer88470
pursuant to division (G) of section 321.24 of the Revised Code, 88471
for all school districts located in the county, notwithstanding 88472
the provision in section 321.24 of the Revised Code which provides88473
for payment of the $10,000 tangible personal property tax88474
exemption by the Tax Commissioner to the appropriate county88475
treasurer for all local taxing districts located in the county.88476
Pursuant to division (G) of section 321.24 of the Revised Code,88477
the county auditor shall distribute the amount paid by the88478
Department of Education among the appropriate school districts.88479

       Upon receipt of these amounts, each school district shall88480
distribute the amount among the proper funds as if it had been88481
paid as real or tangible personal property taxes. Payments for the 88482
costs of administration shall continue to be paid to the county 88483
treasurer and county auditor as provided for in sections 319.54, 88484
321.26, and 323.156 of the Revised Code.88485

       Any sums, in addition to the amounts specifically88486
appropriated in appropriation items 200-901, Property Tax88487
Allocation - Education, for the homestead exemption and the88488
property tax rollback payments, and 200-906, Tangible Tax88489
Exemption - Education, for the $10,000 tangible personal property88490
tax exemption payments, which are determined to be necessary for88491
these purposes, are hereby appropriated.88492

       Section 41.18.  TEACHER CERTIFICATION AND LICENSURE88493

       The foregoing appropriation item 200-681, Teacher88494
Certification and Licensure, shall be used by the Department of88495
Education in each year of the biennium to administer teacher88496
certification and licensure functions pursuant to sections88497
3301.071, 3301.074, 3301.50, 3301.51, 3319.088, 3319.22, 3319.2488498
to 3319.28, 3319.281, 3319.282, 3319.29, 3319.301, 3319.31, and88499
3319.51 of the Revised Code.88500

       SCHOOL DISTRICT SOLVENCY ASSISTANCE88501

       Of the foregoing appropriation item 200-687, School District88502
Solvency Assistance, $9,000,000 in each fiscal year shall be88503
allocated to the School District Shared Resource Account and88504
$9,000,000 in each fiscal year shall be allocated to the88505
Catastrophic Expenditures Account. These funds shall be used to88506
provide assistance and grants to school districts to enable them88507
to remain solvent pursuant to section 3316.20 of the Revised Code.88508
Assistance and grants shall be subject to approval by the88509
Controlling Board. Any required reimbursements from school88510
districts for solvency assistance shall be made to the appropriate88511
account in the School District Solvency Assistance Fund (Fund 88512
5H3).88513

       Section 41.19. HEAD START PLUS/HEAD START88514

       There is hereby established the Title IV-A Head Start Program 88515
to be administered by the Department of Education in accordance 88516
with an interagency agreement entered into with the Department of 88517
Job and Family Services under division (A)(2) of section 5101.801 88518
of the Revised Code. The program shall provide benefits and 88519
services to TANF eligible individuals pursuant to the requirements 88520
of section 5101.801 of the Revised Code. Upon approval by the 88521
Department of Job and Family Services, the Department of Education 88522
shall adopt policies and procedures establishing program 88523
requirements for eligibility, services, fiscal accountability, and 88524
other criteria necessary to comply with the provisions of Title 88525
IV-A of the "Social Security Act," 49 Stat. 620 (1935), 42 U.S.C. 88526
301, as amended.88527

       The foregoing appropriation item 200-663, Head Start 88528
Plus/Head Start, shall be used to reimburse Title IV-A Head Start 88529
Plus and Title IV-A Head Start programs for services to children. 88530
The Department of Education shall administer the Title IV-A Head 88531
Start Plus and Title IV-A Head Start programs in accordance with 88532
an interagency agreement between the Departments of Education and 88533
Job and Family Services. Title IV-A Head Start Plus and Title IV-A 88534
Head Start providers shall meet all requirements as outlined in 88535
section 3301.311 of the Revised Code. The Department of Education 88536
shall adopt policies and procedures to establish a procedure for 88537
approving Title IV-A Head Start Plus and Title IV-A Head Start 88538
agencies.88539

        Of the foregoing appropriation item 200-663, Head Start 88540
Plus/Head Start, up to $57,170,000 in fiscal year 2004 shall be 88541
used to support the Title IV-A Head Start program. Up to two 88542
percent of this amount may be used by the Department of Education 88543
to provide associated program support and technical assistance.88544

       Of the foregoing appropriation item 200-663, Head Start 88545
Plus/Head Start, up to $83,457,126 in fiscal year 2005 shall be 88546
used to support the Title IV-A Head Start Plus initiative. Title 88547
IV-A Head Start Plus shall provide up to 10,000 slots of full-day, 88548
full-year programming for children at least three years of age and 88549
not kindergarten age eligible. The program shall meet the child 88550
care needs of low-income families who meet eligibility 88551
requirements established in rules and administrative orders 88552
adopted by the Ohio Department of Job and Family Services and 88553
provide early education and comprehensive services as provided 88554
through the Head Start program before the enactment of this act.88555

        Of the foregoing appropriation item 200-663, Head Start 88556
Plus/Head Start, up to $22,763,177 in fiscal year 2005 shall be 88557
used to support the Title IV-A Head Start program. This funding 88558
shall be used to support up to 4,000 slots of traditional half-day 88559
center-based, home-based, combination, or locally-designed option, 88560
Title IV-A Head Start services.88561

       Of the foregoing appropriation line item 200-663, Head Start 88562
Plus/Head Start, up to $1,963,697 in fiscal year 2005 may be used 88563
by the Department of Education to provide associated program 88564
support and technical assistance.88565

       For purposes of this section, "eligible child" means a child 88566
who is at least three years of age, has not entered kindergarten, 88567
and is not of compulsory school age whose family earns not more 88568
than 100 per cent of the federal poverty level, except as 88569
otherwise provided in the following paragraph.88570

       The Department of Education, in consultation with Title IV-A 88571
Head Start agencies and, beginning in July 1, 2004, Title IV-A 88572
Head Start Plus agencies, shall establish criteria under which 88573
these agencies may apply to the Department for a waiver to include 88574
as "eligible children" those children from families earning up to 88575
the level of eligibility established for child care subsidy by the 88576
Department of Job and Family Services who otherwise qualify as 88577
"eligible children" under the preceding paragraph.88578

       In fiscal year 2004, in order to serve children whose 88579
families receive child care subsidy and whose incomes do not 88580
exceed the income eligibility requirement for child care subsidy, 88581
Title IV-A Head Start agencies may enroll children whose families 88582
receive this child care subsidy from the Ohio Department of Job 88583
and Family Services, if they partner with child care centers or 88584
family day care homes, where appropriate. This provision is to 88585
meet the child care needs of low-income families who are working, 88586
in training or education programs, or participating in Ohio Works 88587
First approved activities.88588

       The Department of Education shall conduct a head count of the 88589
number of children served by Head Start agencies under this 88590
program in December 2003 and in December 2004. Any funding 88591
appropriated to this program in fiscal year 2005, which the 88592
Department of Education projects is not necessary to provide 88593
services to children enrolled as of the head count taken in 88594
December 2004 shall be returned to the Department of Job and 88595
Family Services for use as child care assistance.88596

       The Department of Education shall provide an annual report to 88597
the Governor, the Speaker of the House of Representatives, the 88598
President of the Senate, the State Board of Education, Title IV-A 88599
Head Start Plus and Title IV-A Head Start providers, and other 88600
interested parties regarding the Title IV-A Head Start Plus and 88601
Title IV-A Head Start program and performance indicators as 88602
outlined by the Department of Education.88603

       JOBS FOR OHIO GRADUATES PROGRAM88604

       Pursuant to an interagency agreement entered into between the 88605
Department of Job and Family Services and the Department of 88606
Education, $3,500,000 from Workforce Investment Act funds (Fund 88607
3V0), reserved for statewide workforce investment activities, in 88608
fiscal year 2004 and fiscal year 2005, shall be used to support 88609
the Jobs for Ohio Graduates programs administered by the 88610
Department of Education.88611

       AUXILIARY SERVICES REIMBURSEMENT88612

       Notwithstanding section 3317.064 of the Revised Code, if the88613
unobligated cash balance is sufficient, the Treasurer of State88614
shall transfer $1,500,000 in fiscal year 2004 within thirty days88615
after the effective date of this section and $1,500,000 in fiscal88616
year 2005 by August 1, 2004, from the Auxiliary Services Personnel88617
Unemployment Compensation Fund to the Department of Education's88618
Auxiliary Services Reimbursement Fund (Fund 598).88619

       Section 41.20.  LOTTERY PROFITS EDUCATION FUND88620

       Appropriation item 200-612, Base Cost Funding (Fund 017),88621
shall be used in conjunction with appropriation item 200-501, Base88622
Cost Funding (GRF), to provide payments to school districts88623
pursuant to Chapter 3317. of the Revised Code.88624

       The Department of Education, with the approval of the88625
Director of Budget and Management, shall determine the monthly88626
distribution schedules of appropriation item 200-501, Base Cost88627
Funding (GRF), and appropriation item 200-612, Base Cost Funding88628
(Fund 017). If adjustments to the monthly distribution schedule88629
are necessary, the Department of Education shall make such88630
adjustments with the approval of the Director of Budget and88631
Management.88632

       The Director of Budget and Management shall transfer via88633
intrastate transfer voucher the amount appropriated under the88634
Lottery Profits Education Fund for appropriation item 200-682,88635
Lease Rental Payment Reimbursement, to the General Revenue Fund on88636
a schedule determined by the director. These funds shall support88637
the appropriation item 230-428, Lease Rental Payments (GRF), of88638
the School Facilities Commission.88639

       * LOTTERY PROFITS TRANSFERS88640

       On or before the first day of May of each fiscal year, the 88641
Director of Budget and Management shall determine if lottery 88642
profits transfers will meet the appropriation amounts from the 88643
Lottery Profits Education Fund.88644

       Section 41.21.  LOTTERY PROFITS EDUCATION RESERVE FUND88645

       (A) There is hereby created the Lottery Profits Education88646
Reserve Fund (Fund 018) in the State Treasury. At no time shall88647
the amount to the credit of the fund exceed $75,000,000.88648
Investment earnings of the Lottery Profits Education Reserve Fund88649
shall be credited to the fund. Notwithstanding any provisions of88650
law to the contrary, for fiscal years 2004 and 2005, there is88651
appropriated to the Department of Education, from the Lottery88652
Profits Education Reserve Fund, an amount necessary to make loans88653
authorized by sections 3317.0210, 3317.0211, and 3317.62 of the88654
Revised Code. All loan repayments from loans made in fiscal years88655
1992, 1993, 1994, 1995, 1996, 1997, 1998, or 1999 shall be88656
deposited into the credit of the Lottery Profits Education Reserve88657
Fund.88658

       (B)(1) On or before July 15, 2003, the Director of Budget and88659
Management shall determine the amount by which lottery profit88660
transfers received by the Lottery Profits Education Fund for88661
fiscal year 2003 exceed $637,722,600. The amount so certified88662
shall be distributed in fiscal year 2004 pursuant to division (C)88663
of this section.88664

       (2) On or before July 15, 2004, the Director of Budget and88665
Management shall determine the amount by which lottery profit88666
transfers received by the Lottery Profits Education Fund for88667
fiscal year 2004 exceed $637,900,000. The amount so determined88668
shall be distributed in fiscal year 2005 pursuant to division (D) 88669
of this section.88670

       The Director of Budget and Management shall annually certify88671
the amounts determined pursuant to this section to the Speaker of88672
the House of Representatives and the President of the Senate.88673

       (C) In fiscal year 2004, if there is a balance in the Lottery 88674
Profits Education Fund, the moneys shall be allocated as provided 88675
in this division. Any amounts so allocated are appropriated.88676

       An amount equal to five per cent of the estimated lottery88677
profits of $637,722,600 in fiscal year 2003 or the amount88678
remaining in the fund, whichever is the lesser amount, shall be88679
transferred to the Lottery Profits Education Reserve Fund within88680
the limitations specified in division (A) of this section and be88681
reserved and shall not be available for allocation or distribution88682
during fiscal year 2004. Any amounts exceeding $75,000,000 shall88683
be distributed pursuant to division (E) of this section.88684

       (D) In fiscal year 2005, if there is a balance in the Lottery 88685
Profits Education Fund, the moneys shall be allocated as provided 88686
in this division. Any amounts so allocated are appropriated.88687

       An amount equal to five per cent of the estimated lottery88688
profits transfers of $637,900,000 in fiscal year 2004 or the88689
amount remaining in the fund, whichever is the lesser amount,88690
shall be transferred to the Lottery Profits Education Reserve Fund88691
within the limitations specified in division (A) of this section88692
and be reserved and shall not be available for allocation or88693
distribution during fiscal year 2005. Any amounts exceeding88694
$75,000,000 shall be distributed pursuant to division (E) of this88695
section.88696

       (E) In the appropriate fiscal year, any remaining amounts88697
after the operations required by division (C) or (D) of this88698
section, respectively, shall be transferred to the Public School88699
Building Fund (Fund 021) and such amount is appropriated to88700
appropriation item CAP-622, Public School Buildings, in the School88701
Facilities Commission.88702

       Section 41.22. SCHOOL DISTRICT PROPERTY TAX REPLACEMENT88703

       The foregoing appropriation item 200-900, School District88704
Property Tax Replacement, shall be used by the Department of88705
Education, in consultation with the Department of Taxation, to88706
make payments to school districts and joint vocational school88707
districts pursuant to section 5727.85 of the Revised Code.88708

       Section 41.23. * DISTRIBUTION FORMULAS88709

       The Department of Education shall report the following to the88710
Director of Budget and Management, the Legislative Office of88711
Education Oversight, and the Legislative Service Commission:88712

       (A) Changes in formulas for distributing state88713
appropriations, including administratively defined formula88714
factors;88715

       (B) Discretionary changes in formulas for distributing88716
federal appropriations;88717

       (C) Federally mandated changes in formulas for distributing88718
federal appropriations.88719

       Any such changes shall be reported two weeks prior to the88720
effective date of the change.88721

       Section 41.24.  DISTRIBUTION - SCHOOL DISTRICT SUBSIDY88722
PAYMENTS88723

       This section shall not take effect unless the Director of88724
Budget and Management adopts an order putting it into effect and88725
certifies a copy of the order to the Superintendent of Public88726
Instruction and the Controlling Board.88727

       Notwithstanding any other provision of the Revised Code, the88728
monthly distribution of payments made to school districts and88729
educational service centers pursuant to section 3317.01 of the88730
Revised Code for the first six months of each fiscal year shall88731
equal, as nearly as possible, six and two-thirds per cent of the88732
estimate of the amounts payable for each fiscal year. The monthly88733
distribution of payments for the last six months of each fiscal88734
year shall equal, as nearly as possible, ten per cent of the final88735
calculation of the amounts payable to each school district for88736
that fiscal year.88737

       The treasurer of each school district or educational service88738
center may accrue, in addition to the payments defined in this88739
section, to the accounts of the calendar years that end during88740
each fiscal year, the difference between the sum of the first six88741
months' payments in each fiscal year and the amounts the district88742
would have received had the payments been made in, as nearly as88743
possible in each fiscal year, twelve equal monthly payments.88744

       Notwithstanding the limitations on the amount of borrowing88745
and time of payment provided for in section 133.10 of the Revised88746
Code but subject to sections 133.26 and 133.30 of the Revised88747
Code, a board of education of a school district may at any time88748
between July 1, 2003, and December 31, 2003, or at any time88749
between July 1, 2004, and December 31, 2004, borrow money to pay88750
any necessary and actual expenses of the school district during88751
the last six months of calendar years 2003 and 2004 and in88752
anticipation of the receipt of any portion of the payments to be88753
received by that district in the first six months of calendar88754
years 2004 and 2005 representing the respective amounts accrued88755
pursuant to the preceding paragraph, and issue notes to evidence88756
that borrowing to mature not later than the thirtieth day of June88757
of the calendar year following the calendar year in which such88758
amount was borrowed. The principal amount borrowed in the last six 88759
months of calendar years 2003 or 2004 under this paragraph may not 88760
exceed the entire amount accrued or to be accrued by the district 88761
treasurer in those calendar years pursuant to the preceding 88762
paragraph. The proceeds of the notes shall be used only for the 88763
purposes for which the anticipated receipts are lawfully88764
appropriated by the board of education. No board of education88765
shall be required to use the authority granted by this paragraph.88766
The receipts so anticipated, and additional amounts from88767
distributions to the districts in the first six months of calendar88768
years 2004 and 2005 pursuant to Chapter 3317. of the Revised Code88769
needed to pay the interest on the notes, shall be deemed88770
appropriated by the board of education to the extent necessary for88771
the payment of the principal of and interest on the notes at88772
maturity, and the amounts necessary to make those monthly88773
distributions are appropriated from the General Revenue Fund. For88774
the purpose of better ensuring the prompt payment of principal of88775
and interest on the notes when due, the resolution of the board of88776
education authorizing the notes may direct that the amount of the88777
receipts anticipated, together with those additional amounts88778
needed to pay the interest on the borrowed amounts, shall be88779
deposited and segregated, in trust or otherwise, to the extent, at88780
the time or times, and in the manner provided in that resolution.88781
The borrowing authorized by this section does not constitute debt88782
for purposes of section 133.04 of the Revised Code. School88783
districts shall be reimbursed by the state for all necessary and88784
actual costs to districts arising from this provision, including,88785
without limitation, the interest paid on the notes while the notes88786
are outstanding. The Department of Education shall adopt rules88787
that are not inconsistent with this section for school district88788
eligibility and application for reimbursement of such costs.88789
Payments of these costs shall be made out of any anticipated88790
balances in appropriation items distributed under Chapter 3317. of88791
the Revised Code. The department shall submit all requests for88792
reimbursement under these provisions to the Controlling Board for88793
approval.88794

       During the last six months of each calendar year, instead of88795
deducting the amount the Superintendent of Public Instruction88796
would otherwise deduct from a school district's or educational88797
service center's state aid payments in accordance with the88798
certifications made for such year pursuant to sections 3307.56 and88799
3309.51 of the Revised Code, the superintendent shall deduct an88800
amount equal to forty per cent of the amount so certified. The88801
secretaries of the retirement systems shall compute the88802
certifications for the ensuing year under such sections as if the88803
entire amounts certified as due in the calendar year ending the88804
current fiscal year, but not deducted pursuant to this paragraph,88805
had been deducted and paid in that calendar year. During the first 88806
six months of the ensuing calendar year, in addition to deducting 88807
the amounts the Superintendent of Public Instruction is required 88808
to deduct under such sections during such period, the88809
superintendent shall deduct from a district's or educational88810
service center's state aid payments an additional amount equal to88811
the amount that was certified as due from the district for the88812
calendar year that ends during the fiscal year, but that was not88813
deducted because of this paragraph. The superintendent's88814
certifications to the Director of Budget and Management during the88815
first six months of the calendar year shall reflect such88816
additional deduction.88817

       Section 41.25.  EDUCATIONAL SERVICE CENTERS FUNDING88818

       (A) As used in this section:88819

       (1) "Internet- or computer-based community school" has the 88820
same meaning as in section 3314.02 of the Revised Code.88821

       (2) "Service center ADM" has the same meaning as in section 88822
3317.11 of the Revised Code.88823

        (B) Notwithstanding division (F) of section 3317.11 of the88824
Revised Code, no funds shall be provided under that division to an 88825
educational service center in either fiscal year for any pupils of 88826
a city or exempted village school district unless an agreement to 88827
provide services under section 3313.843 of the Revised Code was 88828
entered into by January 1, 1997, except that funds shall be 88829
provided to an educational service center for any pupils of a city 88830
school district if the agreement to provide services was entered 88831
into within one year of the date upon which such district changed 88832
from a local school district to a city school district. 88833

       (C) Notwithstanding any provision of the Revised Code to the 88834
contrary, an educational service center that sponsors a community 88835
school under Chapter 3314. of the Revised Code in either fiscal 88836
year may include the students of that community school in its 88837
service center ADM for purposes of state funding under division 88838
(F) of section 3317.11 of the Revised Code, unless the community 88839
school is an Internet- or computer-based community school. A 88840
service center shall include the community school students in its 88841
service center ADM only to the extent that the students are not 88842
already so included, and only in accordance with guidelines issued 88843
by the Department of Education. If the students of a community 88844
school sponsored by an educational service center are included in 88845
the service center ADM of another educational service center, 88846
those students shall be removed from the service center ADM of the 88847
other educational service center and added to the service center 88848
ADM of the community school's sponsoring service center. The 88849
General Assembly authorizes this procedure as an incentive for 88850
educational service centers to take over sponsorship of community 88851
schools from the State Board of Education as the State Board's 88852
sponsorship is phased out in accordance with Sub. H.B. 364 of the 88853
124th General Assembly. No student of an Internet- or 88854
computer-based community school shall be counted in the service 88855
center ADM of any educational service center. The Department shall 88856
pay educational service centers under division (F) of section 88857
3317.11 of the Revised Code for community school students included 88858
in their service center ADMs under this division only if 88859
sufficient funds earmarked within appropriation item 200-501, Base 88860
Cost Funding, for payments under that division remain after first 88861
paying for students attributable to their local and client school 88862
districts, in accordance with divisions (B) and (D) of this 88863
section.88864

       (D) If insufficient funds are earmarked within appropriation 88865
item 200-501, Base Cost Funding, for payments under division (F) 88866
of section 3317.11 of the Revised Code and division (C) of this 88867
section in fiscal year 2004 or fiscal year 2005, the Department 88868
shall prioritize the distribution of the earmarked funds as 88869
follows:88870

       (1) The Department shall first distribute to each educational 88871
service center the per-student amount specified in division (F) of 88872
section 3317.11 of the Revised Code for each student in its88873
service center ADM attributable to the local school districts 88874
within the service center's territory.88875

       (2) The Department shall distribute the remaining funds in 88876
each fiscal year to each educational service center for the 88877
students in its service center ADM attributable to each city and88878
exempted village school district that had entered into an88879
agreement with an educational service center for that fiscal year88880
under section 3313.843 of the Revised Code by January 1, 1997, up 88881
to the per-student amount specified in division (F) of section 88882
3317.11 of the Revised Code. If insufficient funds remain to pay 88883
each service center the full amount specified in division (F) of 88884
that section for each such student, the Department shall 88885
distribute the remaining funds to each service center 88886
proportionally, on a per-student basis for each such student, 88887
unless that proportional per-student amount exceeds the amount 88888
specified in division (F)(1) of that section. In that case, the 88889
Department shall distribute the per-student amount specified in 88890
division (F)(1) of that section to each service center for each 88891
such student and shall distribute the remainder proportionally, on 88892
a per-student basis for each such student, to the multi-county 88893
service centers described in division (F)(2) of that section.88894

       (3) If the Department has paid each service center under 88895
divisions (D)(1) and (2) of this section, the full amount 88896
specified in division (F) of section 3317.11 of the Revised Code 88897
for each student attributable to its local school districts and 88898
its client school districts described in division (D)(2) of this 88899
section the Department shall distribute any remaining funds 88900
proportionally, on a per-student basis, to each service center 88901
that sponsors a community school, other than an Internet- or 88902
computer-based community school, for the students included in the 88903
service center ADM under division (C) of this section. These 88904
payments shall not exceed per student the amount specified in 88905
division (F) of section 3317.11 of the Revised Code.88906

       Section 41.26. * For the school year commencing July 1, 2003,88907
or the school year commencing July 1, 2004, or both, the88908
Superintendent of Public Instruction may waive for the board of88909
education of any school district the ratio of teachers to pupils88910
in kindergarten through fourth grade required under paragraph88911
(A)(3) of rule 3301-35-05 of the Administrative Code if the88912
following conditions apply:88913

       (A) The board of education requests the waiver.88914

       (B) After the Department of Education conducts an on-site88915
evaluation of the district related to meeting the required ratio,88916
the board of education demonstrates to the satisfaction of the88917
Superintendent of Public Instruction that providing the facilities88918
necessary to meet the required ratio during the district's regular88919
school hours with pupils in attendance would impose an extreme88920
hardship on the district.88921

       (C) The board of education provides assurances that are88922
satisfactory to the Superintendent of Public Instruction that the88923
board will act in good faith to meet the required ratio as soon as88924
possible.88925

       Section 41.27.  PRIVATE TREATMENT FACILITY PILOT PROJECT88926

       (A) As used in this section:88927

       (1) The following are "participating residential treatment88928
centers":88929

       (a) Private residential treatment facilities that have88930
entered into a contract with the Department of Youth Services to88931
provide services to children placed at the facility by the88932
Department and which, in fiscal year 2004 or fiscal year 2005 or 88933
both, the Department pays through appropriation item 470-401, Care 88934
and Custody;88935

       (b) Abraxas, in Shelby;88936

       (c) Paint Creek, in Bainbridge;88937

       (d) Act One, in Akron;88938

       (e) Friars Club, in Cincinnati.88939

       (2) "Education program" means an elementary or secondary88940
education program or a special education program and related88941
services.88942

       (3) "Served child" means any child receiving an education88943
program pursuant to division (B) of this section.88944

       (4) "School district responsible for tuition" means a city,88945
exempted village, or local school district that, if tuition88946
payment for a child by a school district is required under law88947
that existed in fiscal year 1998, is the school district required88948
to pay that tuition.88949

       (5) "Residential child" means a child who resides in a88950
participating residential treatment center and who is receiving an88951
educational program under division (B) of this section.88952

       (B) A youth who is a resident of the state and has been88953
assigned by a juvenile court or other authorized agency to a88954
residential treatment facility specified in division (A) of this88955
section shall be enrolled in an approved educational program88956
located in or near the facility. Approval of the educational88957
program shall be contingent upon compliance with the criteria88958
established for such programs by the Department of Education. The88959
educational program shall be provided by a school district or88960
educational service center, or by the residential facility itself.88961
Maximum flexibility shall be given to the residential treatment88962
facility to determine the provider. In the event that a voluntary88963
agreement cannot be reached and the residential facility does not88964
choose to provide the educational program, the educational service88965
center in the county in which the facility is located shall88966
provide the educational program at the treatment center to88967
children under twenty-two years of age residing in the treatment88968
center.88969

       (C) Any school district responsible for tuition for a88970
residential child shall, notwithstanding any conflicting provision88971
of the Revised Code regarding tuition payment, pay tuition for the88972
child for fiscal year 2004 and fiscal year 2005 to the education 88973
program provider and in the amount specified in this division. If 88974
there is no school district responsible for tuition for a 88975
residential child and if the participating residential treatment 88976
center to which the child is assigned is located in the city, 88977
exempted village, or local school district that, if the child were 88978
not a resident of that treatment center, would be the school 88979
district where the child is entitled to attend school under 88980
sections 3313.64 and 3313.65 of the Revised Code, that school 88981
district, notwithstanding any conflicting provision of the Revised88982
Code, shall pay tuition for the child for fiscal year 2004 and 88983
fiscal year 2005 under this division unless that school district 88984
is providing the educational program to the child under division 88985
(B) of this section.88986

       A tuition payment under this division shall be made to the88987
school district, educational service center, or residential88988
treatment facility providing the educational program to the child.88989

       The amount of tuition paid shall be:88990

       (1) The amount of tuition determined for the district under88991
division (A) of section 3317.08 of the Revised Code;88992

       (2) In addition, for any student receiving special education88993
pursuant to an individualized education program as defined in88994
section 3323.01 of the Revised Code, a payment for excess costs.88995
This payment shall equal the actual cost to the school district,88996
educational service center, or residential treatment facility of88997
providing special education and related services to the student88998
pursuant to the student's individualized education program, minus88999
the tuition paid for the child under division (C)(1) of this89000
section.89001

       A school district paying tuition under this division shall89002
not include the child for whom tuition is paid in the district's89003
average daily membership certified under division (A) of section89004
3317.03 of the Revised Code.89005

       (D) In each of fiscal years 2004 and 2005, the Department of89006
Education shall reimburse, from appropriations made for the89007
purpose, a school district, educational service center, or89008
residential treatment facility, whichever is providing the89009
service, that has demonstrated that it is in compliance with the89010
funding criteria for each served child for whom a school district89011
must pay tuition under division (C) of this section. The amount of89012
the reimbursement shall be the formula amount specified in section89013
3317.022 of the Revised Code, except that the department shall89014
proportionately reduce this reimbursement if sufficient funds are 89015
not available to pay this amount to all qualified providers.89016

       (E) Funds provided to a school district, educational service89017
center, or residential treatment facility under this section shall89018
be used to supplement, not supplant, funds from other public89019
sources for which the school district, service center, or89020
residential treatment facility is entitled or eligible.89021

       (F) The Department of Education shall track the utilization89022
of funds provided to school districts, educational service89023
centers, and residential treatment facilities under this section89024
and monitor the effect of the funding on the educational programs89025
they provide in participating residential treatment facilities.89026
The department shall monitor the programs for educational89027
accountability.89028

       Section 41.28.  SCHOOL DISTRICT PARTICIPATION IN NATIONAL89029
ASSESSMENT OF EDUCATION PROGRESS89030

       The General Assembly intends for the Superintendent of Public89031
Instruction to provide for school district participation in the89032
administration of the National Assessment of Education Progress in 89033
accordance with section 3301.27 of the Revised Code. Each school 89034
and school district selected for participation by the 89035
Superintendent of Public Instruction shall participate.89036

       Section 41.29.  Notwithstanding division (C)(1) of section89037
3313.975 of the Revised Code, in addition to students in89038
kindergarten through third grade, initial scholarships may be89039
awarded to fourth, fifth, sixth, seventh, and eighth grade89040
students in fiscal year 2004 and in fiscal year 2005.89041

       Section 41.30. STATEMENT OF STATE SHARE PERCENTAGE FOR BASE89042
COST AND PARITY AID FUNDING89043

       Pursuant to division (D)(3) of section 3317.012 of the89044
Revised Code, and based on the most recent data available prior to89045
the enactment of this act, the General Assembly has determined89046
that the state share percentage of base cost and parity aid89047
funding for the update year (fiscal year 2002) is 49.0%. This is89048
the target percentage for fiscal year 2004 and fiscal year 2005 89049
that the General Assembly shall use to fulfill its obligation 89050
under division (D)(4) of section 3317.012 of the Revised Code.89051

       Pursuant to division (D)(4) of section 3317.012 of the89052
Revised Code, and based on the most recent data available prior to89053
the enactment of this act, the General Assembly has determined89054
that the state share percentage of base cost and parity aid89055
funding for fiscal year 2004 is 48.5% and for fiscal year 2005 is 89056
47.9%. This determination fulfills the General Assembly's 89057
obligation under that division for fiscal year 2004 and fiscal 89058
year 2005.89059

       Section 41.31. DEPARTMENT OF EDUCATION APPROPRIATION 89060
TRANSFERS FOR STUDENT ASSESSMENT89061

       In fiscal year 2004 and fiscal year 2005, if the 89062
Superintendent of Public Instruction determines that additional 89063
funds are needed to fully fund the requirements of Am. Sub. S.B. 1 89064
of the 124th General Assembly for assessments of student 89065
performance, the Superintendent of Public Instruction may 89066
recommend the reallocation of unspent and unencumbered 89067
appropriations within the Department of Education to the General 89068
Revenue Fund appropriation item 200-437, Student Assessment, to 89069
the Director of Budget and Management. If the Director of Budget 89070
and Management determines that such a reallocation is required, 89071
the Director of Budget and Management may transfer unspent and 89072
unencumbered funds within the Department of Education as necessary 89073
to appropriation item 200-437, Student Assessment.89074

       Section 41.32. (A) As used in this section:89075

       (1) "IEP" has the same meaning as in section 3314.08 of the 89076
Revised Code.89077

       (2) "SBH student" means a student receiving special education89078
and related services for severe behavior handicap conditions89079
pursuant to an IEP.89080

       (B) This section applies only to a community school89081
established under Chapter 3314. of the Revised Code that in each 89082
of fiscal years 2004 and 2005 enrolls a number of SBH students 89083
equal to at least fifty per cent of the total number of students 89084
enrolled in the school in the applicable fiscal year.89085

       (C) In addition to any payments made under section 3314.08 of89086
the Revised Code, in each of fiscal years 2004 and 2005 the89087
Department of Education shall pay to a community school a subsidy89088
equal to the difference between the aggregate amount calculated 89089
and paid in that fiscal year to the community school for special 89090
education and related services additional weighted costs for the 89091
SBH students enrolled in the school and the aggregate amount that 89092
would have been calculated for the school for special education 89093
and related services additional weighted costs for those same 89094
students in fiscal year 2001. If the difference is a negative 89095
number, the amount of the subsidy shall be zero.89096

       (D) The amount of any subsidy paid to a community school89097
under this section shall not be deducted from any moneys89098
calculated under Chapter 3317. of the Revised Code for payment to89099
a school district in which any of its students are entitled to89100
attend school under section 3313.64 or 3313.65 of the Revised89101
Code.89102

       The amount of any subsidy paid to a community school under 89103
this section shall be paid from the amount appropriated to the 89104
Department of Education in appropriation item 200-501, Base Cost 89105
Funding.89106

       Section 41.33. (A) As used in this section:89107

       (1) "Entitled to attend school" means entitled to attend 89108
school in a school district under section 3313.64 and 3313.65 of 89109
the Revised Code. 89110

       (2) "Formula ADM" and "category six special education ADM" 89111
have the same meanings as in section 3317.02 of the Revised Code.89112

       (3) "Individualized education program" has the same meaning 89113
as in section 3323.01 of the Revised Code.89114

       (4) "Parent" has the same meaning as in section 3313.64 of 89115
the Revised Code.89116

       (5) "Qualified special education child" is a child for whom 89117
all of the following conditions apply:89118

       (a) The school district in which the child is entitled to 89119
attend school has identified the child as autistic;89120

       (b) The school district in which the child is entitled to 89121
attend school has developed an individualized education program 89122
under Chapter 3323. of the Revised Code for the child;89123

       (c) The child either:89124

       (i) Was enrolled in the school district in which the child is 89125
entitled to attend school in any grade from preschool through 89126
twelve in the school year prior to the year in which a scholarship 89127
under this section is first sought for the child;89128

       (ii) Is eligible to enter school in any grade preschool 89129
through twelve in the school district in which the child is 89130
entitled to attend school in the school year in which a 89131
scholarship under this section is first sought for the child.89132

       (6) "Registered private provider" means a nonpublic school or 89133
other nonpublic entity that has been approved by the Department of 89134
Education to participate in the program established under this 89135
section.89136

       (B) There is hereby established the Pilot Project Special 89137
Education Scholarship Program. Under the program, in fiscal years 89138
2004 and 2005, the Department of Education shall pay a scholarship 89139
to the parent of each qualified special education child upon 89140
application of that parent pursuant to procedures and deadlines 89141
established by rule of the State Board of Education. Each 89142
scholarship shall be used only to pay tuition for the child on 89143
whose behalf the scholarship is awarded to attend a special 89144
education program that implements the child's individualized 89145
education program and that is operated by a school district other 89146
than the school district in which the child is entitled to attend 89147
school or by another public entity, to either of which under law 89148
the parent is required to pay tuition on behalf of the child, or 89149
by a registered private provider. Each scholarship shall be in an 89150
amount not to exceed the lesser of the tuition charged for the 89151
child by the special education program or fifteen thousand 89152
dollars. The purpose of the scholarship is to permit the parent of 89153
a qualified special education child the choice to send the child 89154
to a special education program, instead of, or in addition to, the 89155
one operated by or for the school district in which the child is 89156
entitled to attend school, to receive the services prescribed in 89157
the child's individualized education program once the 89158
individualized education program is finalized. A scholarship under 89159
this section shall not be awarded to the parent of a child while 89160
the child's individualized education program is being developed by 89161
the school district in which the child is entitled to attend 89162
school, or while any administrative or judicial mediation or 89163
proceedings with respect to the content of the child's 89164
individualized education program are pending. A scholarship under 89165
this section shall not be awarded to the parent of a child who 89166
attends a public special education program under a contract, 89167
compact, or other bilateral agreement between the school district 89168
in which the child is entitled to attend school and another school 89169
district or other public provider or to the parent of a child who 89170
attends a community school established under Chapter 3314. of the 89171
Revised Code. A child attending a special education program with a 89172
scholarship under this section shall continue to be entitled to 89173
transportation to and from that program in the manner prescribed 89174
by law.89175

       (C)(1) Notwithstanding anything to the contrary in the 89176
Revised Code, a child for whom a scholarship is awarded under this 89177
section shall be counted in the formula ADM and the category six 89178
special education ADM of the district in which the child is 89179
entitled to attend school and not in the formula ADM and the 89180
category six special education ADM of any other school district.89181

       (2) In each fiscal year, the Department shall deduct from the 89182
amounts paid to each school district under Chapter 3317. of the 89183
Revised Code, and, if necessary, sections 321.24 and 323.156 of 89184
the Revised Code, the aggregate amount of scholarships awarded 89185
under this section for qualified special education children 89186
included in the formula ADM and category six special education ADM 89187
of that school district as provided in division (C)(1) of this 89188
section. The scholarships deducted shall be considered as an 89189
approved special education and related services expense for the 89190
purpose of the school district's compliance with division (C)(5) 89191
of section 3317.022 of the Revised Code.89192

       (3) From time to time, the Department shall make a payment to 89193
the parent of each qualified special education child for whom a 89194
scholarship has been awarded under this section. The scholarship 89195
amount shall be proportionately reduced in the case of any such 89196
child who is not enrolled in the special education program for 89197
which a scholarship was awarded under this section for the entire 89198
school year. The Department shall make no payments to the parent 89199
of a child while any administrative or judicial mediation or 89200
proceedings with respect to the content of the child's 89201
individualized education program are pending.89202

       (D) A scholarship shall not be paid to a parent for payment 89203
of tuition owed to a nonpublic entity unless that entity is a 89204
registered private provider. The Department shall approve entities 89205
that meet the standards established by rule of the State Board for 89206
the program established under this section.89207

        (E) The State Board shall adopt rules in accordance with 89208
Chapter 119. of the Revised Code prescribing procedures necessary 89209
to implement this section, including, but not limited to, 89210
procedures and deadlines for parents to apply for scholarships, 89211
standards for registered private providers, and procedures for 89212
approval of entities as registered private providers. The Board 89213
shall adopt the rules so that the program established under this 89214
section is operational by January 1, 2004.89215

       (F) The Legislative Office of Education Oversight shall 89216
conduct a formative evaluation of the program established under 89217
this section and shall report its findings to the General Assembly 89218
not later than March 1, 2005. In conducting the evaluation, the 89219
Office shall to the extent possible gather comments from parents 89220
who have been awarded scholarships under the program, school 89221
district officials, representatives of registered private 89222
providers, educators, and representatives of educational 89223
organizations for inclusion in the report required under this 89224
section.89225

       Section 41.34. (A) Not later than March 31, 2004, the 89226
department of education shall recommend to the general assembly, 89227
in consultation with stakeholders, plans for an Ohio Regional 89228
Education Delivery System to provide minimum core services and 89229
technical assistance to school districts. The recommendations 89230
shall address how the system should provide the state-funded core 89231
services currently provided by educational service centers, 89232
regional professional development centers, special education 89233
regional resource centers, area media centers, school improvement 89234
facilitators, Ohio SchoolNet regional services, data acquisition 89235
sites, educational technology centers, and other regional service 89236
providers. The department shall also recommend that the system 89237
provide minimum core services and technical assistance to 89238
chartered nonpublic schools to assist these schools in meeting 89239
Ohio's statutory and administrative code provisions applicable to 89240
such schools. However, the recommendations shall specify that in 89241
providing services to chartered nonpublic schools, the system is 89242
not required to create additional services or technical assistance 89243
beyond those provided to school districts.89244

       (B)(1) The number of regional service centers recommended 89245
under the Ohio Regional Education Delivery System shall not exceed 89246
nineteen and shall be distributed geographically throughout the 89247
state.89248

       (2) The plans shall recommend that each region established 89249
under the Ohio Regional Education Delivery System be served by a 89250
fiscal agent in the form of a regional educational service agency. 89251
Each service agency shall be selected by a majority vote of the 89252
school districts in the region based upon the agency's 89253
satisfactory audit record, demonstrated fiscal capacity, and 89254
demonstrated staff and resource capacity. The selection of each 89255
service agency shall be subject to final approval by the State 89256
Board of Education.89257

       (C) The department, in consultation with stakeholders, shall 89258
recommend an accountability system for the Ohio Regional Education 89259
Delivery System or any part thereof as deemed necessary. The 89260
recommended accountability system shall include minimum standards 89261
for operation and the provision of minimum core services. It shall 89262
also include benchmarks against performance measures based on each 89263
of the following:89264

       (1) Student achievement;89265

       (2) The effectiveness and efficiency of service delivery;89266

       (3) The quality of implementation of state initiatives;89267

       (4) Satisfaction expressed by school districts and other 89268
entities that use the Ohio Regional Education Delivery System with 89269
the quality of the system.89270

       (D) The Department, in consultation with stakeholders, shall 89271
recommend rules regarding each of the following:89272

       (1) Procedures for changing the boundaries of regions 89273
established under the system;89274

       (2) Procedures for changing the configuration of the system;89275

       (3) A requirement that each regional service center, prior to 89276
receiving state funds, submit to the Department an annual 89277
strategic plan and budget that is aligned with the state's 89278
strategic plan and demonstrates how the regional service center 89279
provides and coordinates services and technical assistance to 89280
client service providers, school districts, and school buildings;89281

       (4) A governance structure for the system that includes a 89282
Regional Education Delivery Center Board and functional area 89283
advisory boards.89284

       (E) The Department shall recommend a methodology to provide 89285
funding to the regional service centers, and all parts thereof, in 89286
order to support state education initiatives.89287

       Section 41.35. (A) There is hereby created the Head Start 89288
Partnership Study Council consisting of the following twenty-two 89289
members:89290

       (1) Four representatives appointed by the Director of Job and 89291
Family Services, two of whom are employees of the Department of 89292
Job and Family Services;89293

        (2) Four representatives appointed by the Superintendent of 89294
Public Instruction, two of whom are employees of the Department of 89295
Education;89296

        (3) Three members of the House of Representatives, not more 89297
than two of whom are members of the same political party, 89298
appointed by the Speaker of the House of Representatives;89299

        (4) Three members of the Senate, not more two of whom are 89300
members of the same political party, appointed by the President of 89301
the Senate;89302

        (5) Three representatives of Head Start agencies, two of whom 89303
are appointed by the Ohio Head Start Association, and one of whom 89304
is appointed by the Ohio Association of Community Action Agencies;89305

        (6) Two representatives of child care providers appointed by 89306
the Ohio Association of Child Care Providers;89307

        (7) One representative appointed by the Ohio Day Care 89308
Advisory Council;89309

        (8) One representative appointed by the County Commissioner's 89310
Association of Ohio;89311

        (9) One representative appointed by the Association of 89312
Directors of County Departments of Job and Family Services.89313

        Initial appointments of members shall be made not later than 89314
September 1, 2003. Vacancies in any of those appointments shall be 89315
filled in the same manner as original appointments.89316

        The Speaker of the House of Representatives and the President 89317
of the Senate jointly shall appoint the chairperson of the 89318
Council.89319

        Members of the Council shall serve without compensation.89320

        (B) In fiscal year 2004, the Council shall advise the 89321
Departments of Education and Job and Family Services in the design 89322
and implementation of the Title IV-A Head Start Plus Program as 89323
established under sections 3301.33 and 3301.35 of the Revised Code 89324
and shall report to the General Assembly on the plans for that 89325
program by December 31, 2003.89326

        (C) In fiscal year 2005, the Council shall monitor the 89327
implementation of the Title IV-A Head Start Plus Program as 89328
established under sections 3301.33 and 3301.35 of the Revised Code 89329
and provide advice to the Departments of Education and Job and 89330
Family Services in that implementation.89331

        (D) Unless reauthorized by the General Assembly, the Council 89332
shall cease to exist on July 1, 2005.89333

       Section 41.36. (A) In the 2004-2005 and 2005-2006 school 89334
years, within three months after a student identified with 89335
disabilities begins receiving services for the first time under an 89336
individualized education program, as defined in section 3323.01 of 89337
the Revised Code, the school district in which that student is 89338
enrolled shall require the student to undergo a comprehensive eye 89339
examination performed either by an optometrist licensed under 89340
Chapter 4725. of the Revised Code or by a physician authorized 89341
under Chapter 4731. of the Revised Code to practice medicine and 89342
surgery or osteopathic medicine and surgery who is comprehensively 89343
trained and educated in the treatment of the human eye, eye 89344
disease, or comprehensive vision services, unless the student 89345
underwent such an examination within the nine-month period 89346
immediately prior to being identified with disabilities.89347

       However, no student who has not undergone the eye examination 89348
required under this section shall be prohibited from initiating, 89349
receiving, or continuing to receive services prescribed in the 89350
student's individualized education program.89351

       (B) The superintendent of each school district or the 89352
superintendent's designee may determine fulfillment of the 89353
requirement prescribed in division (A) of this section based on 89354
any special circumstances of the student, the student's parent, 89355
guardian, or family that may prevent the student from undergoing 89356
the eye examination prior to beginning special education services.89357

       (C) Except for a student who may be entitled to a 89358
comprehensive eye examination in the identification of the 89359
student's disabilities, in the development of the student's 89360
individualized education program, or as a related service under 89361
the student's individualized education program, neither the state 89362
nor any school district shall be responsible for paying for the 89363
eye examination required by this section.89364

       Section 41.37. TRANSITIONAL AID89365

       The Department of Education shall distribute earmarked funds 89366
within appropriation item 200-501, Base Cost Funding, for 89367
transitional aid in each fiscal year to each city, local, and 89368
exempted village school district that experiences a decrease in 89369
its SF-3 funding plus charge-off supplement for the current fiscal 89370
year in excess of five per cent of its SF-3 funding plus 89371
charge-off supplement for the previous fiscal year. The Department 89372
shall distribute to each such district an amount to reduce the 89373
decrease to five per cent of the district's SF-3 funding plus 89374
charge-off supplement for the previous fiscal year. For this 89375
purpose, "SF-3 funding plus charge-off supplement" equals the sum 89376
of the following:89377

       (A) Base cost funding under division (A) of section 3317.022 89378
of the Revised Code;89379

       (B) Special education and related services additional 89380
weighted funding under division (C)(1) of section 3317.022 of the 89381
Revised Code;89382

       (C) Speech services funding under division (C)(4) of section 89383
3317.022 of the Revised Code;89384

       (D) Vocational education additional weighted funding under 89385
division (E) of section 3317.022 of the Revised Code;89386

       (E) GRADS funding under division (R) of section 3317.024 of 89387
the Revised Code;89388

       (F) Adjustments for classroom teachers and educational 89389
service personnel under divisions (B), (C), and (D) of section 89390
3317.023 of the Revised Code;89391

       (G) Disadvantaged Pupil Impact Aid under section 3317.029 of 89392
the Revised Code;89393

       (H) Gifted education units under division (F) of section 89394
3317.05 of the Revised Code;89395

       (I) Equity aid under section 3317.0213 of the Revised Code;89396

       (J) Transportation under division (D) of section 3317.022 of 89397
the Revised Code;89398

       (K) The state aid guarantee under section 3317.0212 of the 89399
Revised Code;89400

       (L) The excess cost supplement under division (F) of section 89401
3317.022 of the Revised Code;89402

       (M) Parity aid under section 3317.0217 of the Revised Code;89403

       (N) The reappraisal guarantee under division (C) of section 89404
3317.04 of the Revised Code;89405

       (O) The charge-off supplement under section 3317.0216 of the 89406
Revised Code.89407

       The SF-3 funding plus charge-off supplement for fiscal year 89408
2003 for each district is the sum of those amounts less the 89409
general revenue fund spending reductions ordered by the Governor 89410
under Executive Order 2003-03T, March 5, 2003.89411

       Section 41.38. By January 1, 2004, the Department of 89412
Education shall provide to the General Assembly a feasible 89413
standard for measuring school district attendance rates.89414

       Section 41.39. EARMARK ACCOUNTABILITY89415

       At the request of the Superintendent of Public Instruction, 89416
any entity that receives a budget earmark under the Department of 89417
Education shall submit annually to the chairpersons of the 89418
committees of the House of Representatives and the Senate 89419
primarily concerned with education and to the Department of 89420
Education a report that includes a description of the services 89421
supported by the funds, a description of the results achieved by 89422
those services, an analysis of the effectiveness of the program, 89423
and an opinion as to the program's applicability to other school 89424
districts. For an earmarked entity that received state funds from 89425
an earmark in the prior fiscal year, no funds shall be provided by 89426
the Department of Education to an earmarked entity for a fiscal 89427
year until its report for the prior fiscal year has been 89428
submitted.89429

       Section 42.  OEB OHIO EDUCATIONAL TELECOMMUNICATIONS NETWORK89430
COMMISSION89431

General Revenue Fund89432

GRF 374-100 Personal Services $ 1,300,000 $ 1,300,000 89433
GRF 374-200 Maintenance $ 800,000 $ 800,000 89434
GRF 374-300 Equipment $ 97,500 $ 97,500 89435
GRF 374-401 Statehouse News Bureau $ 260,000 $ 260,000 89436
GRF 374-402 Ohio Government Telecommunications Studio $ 762,146 $ 762,146 89437
GRF 374-403 Ohio SONET $ 2,000,000 $ 2,000,000 89438
GRF 374-404 Telecommunications Operating Subsidy $ 3,962,199 $ 3,864,269 89439
TOTAL GRF General Revenue Fund $ 9,181,845 $ 9,083,915 89440

General Services Fund Group89441

4F3 374-603 Affiliate Services $ 3,067,447 $ 3,067,447 89442
4T2 374-605 Government Television/Telecommunications Operating $ 150,000 $ 150,000 89443
TOTAL GSF General Services 89444
Fund Group $ 3,217,447 $ 3,217,447 89445

TOTAL ALL BUDGET FUND GROUPS $ 12,399,292 $ 12,301,362 89446

       STATEHOUSE NEWS BUREAU89447

       The foregoing appropriation item 374-401, Statehouse News89448
Bureau, shall be used solely to support the operations of the Ohio89449
Statehouse News Bureau.89450

       OHIO GOVERNMENT TELECOMMUNICATIONS STUDIO89451

       The foregoing appropriation item 374-402, Ohio Government89452
Telecommunications Studio, shall be used solely to support the89453
operations of the Ohio Government Telecommunications Studio.89454

       OHIO SONET89455

       The foregoing appropriation item 374-403, Ohio SONET, shall89456
be used by the Ohio Educational Telecommunications Network89457
Commission to pay monthly operating expenses and maintenance of89458
the television and radio transmission infrastructure.89459

       TELECOMMUNICATIONS OPERATING SUBSIDY89460

       Of the foregoing appropriation item 374-404, 89461
Telecommunications Operating Subsidy, $45,000 in each fiscal year 89462
shall be used for a competitive grant for dial-up newspaper 89463
reading services for the blind and physically handicapped. The 89464
Ohio Educational Telecommunications Network shall not disburse 89465
these funds without prior approval of the Controlling Board.89466

       The remainder of appropriation item 374-404, 89467
Telecommunications Operating Subsidy, shall be distributed by the 89468
Ohio Educational Telecommunications Network Commission to Ohio's 89469
qualified public educational television stations, radio reading 89470
services, and educational radio stations to support their89471
operations. The funds shall be distributed pursuant to an 89472
allocation developed by the Ohio Educational Telecommunications 89473
Network Commission.89474

       Section 43.  ELC OHIO ELECTIONS COMMISSION89475

General Revenue Fund89476

GRF 051-321 Operating Expenses $ 294,857 $ 294,857 89477
TOTAL GRF General Revenue Fund $ 294,857 $ 294,857 89478

State Special Revenue Fund Group89479

4P2 051-601 Ohio Elections 89480
Commission Fund $ 312,716 $ 321,766 89481
TOTAL SSR State Special 89482
Revenue Fund Group $ 312,716 $ 321,766 89483
TOTAL ALL BUDGET FUND GROUPS $ 607,573 $ 616,623 89484


       Section 44.  FUN STATE BOARD OF EMBALMERS AND FUNERAL89486
DIRECTORS89487

General Services Fund Group89488

4K9 881-609 Operating Expenses $ 563,639 $ 594,870 89489
TOTAL GSF General Services 89490
Fund Group $ 563,639 $ 594,870 89491
TOTAL ALL BUDGET FUND GROUPS $ 563,639 $ 594,870 89492


       Section 45.  ERB STATE EMPLOYMENT RELATIONS BOARD89494

General Revenue Fund89495

GRF 125-321 Operating Expenses $ 3,268,338 $ 3,268,338 89496
TOTAL GRF General Revenue Fund $ 3,268,338 $ 3,268,338 89497

General Services Fund Group89498

572 125-603 Training and Publications $ 75,541 $ 75,541 89499
TOTAL GSF General Services 89500
Fund Group $ 75,541 $ 75,541 89501
TOTAL ALL BUDGET FUND GROUPS $ 3,343,879 $ 3,343,879 89502


       Section 46.  ENG STATE BOARD OF ENGINEERS AND SURVEYORS89504

General Services Fund Group89505

4K9 892-609 Operating Expenses $ 999,150 $ 1,041,369 89506
TOTAL GSF General Services 89507
Fund Group $ 999,150 $ 1,041,369 89508
TOTAL ALL BUDGET FUND GROUPS $ 999,150 $ 1,041,369 89509


       Section 47.  EPA ENVIRONMENTAL PROTECTION AGENCY89511

General Revenue Fund89512

GRF 715-403 Clean Ohio $ 788,985 $ 788,985 89513
GRF 715-501 Local Air Pollution Control $ 1,119,878 $ 1,091,882 89514
GRF 717-321 Surface Water $ 9,333,376 $ 9,358,950 89515
GRF 718-321 Groundwater $ 1,195,001 $ 1,163,554 89516
GRF 719-321 Air Pollution Control $ 2,543,260 $ 2,543,260 89517
GRF 721-321 Drinking Water $ 2,713,032 $ 2,713,032 89518
GRF 723-321 Hazardous Waste $ 110,184 $ 107,284 89519
GRF 724-321 Pollution Prevention $ 765,137 $ 745,002 89520
GRF 725-321 Laboratory $ 1,290,237 $ 1,293,971 89521
GRF 726-321 Corrective Actions $ 1,253,593 $ 1,255,080 89522
TOTAL GRF General Revenue Fund $ 21,112,683 $ 21,061,000 89523

General Services Fund Group89524

199 715-602 Laboratory Services $ 1,042,081 $ 1,045,654 89525
219 715-604 Central Support Indirect $ 15,239,297 $ 15,544,407 89526
4A1 715-640 Operating Expenses $ 3,308,758 $ 3,369,731 89527
TOTAL GSF General Services 89528
Fund Group $ 19,590,136 $ 19,959,792 89529

Federal Special Revenue Fund Group89530

3F2 715-630 Revolving Loan Fund - Operating $ 80,000 $ 80,000 89531
3F3 715-632 Fed Supported Cleanup and Response $ 2,792,648 $ 2,326,434 89532
3F4 715-633 Water Quality Management $ 737,850 $ 712,850 89533
3F5 715-641 Nonpoint Source Pollution Management $ 7,090,002 $ 7,155,000 89534
3J1 715-620 Urban Stormwater $ 850,000 $ 956,001 89535
3K2 715-628 Clean Water Act 106 $ 4,125,992 $ 4,125,992 89536
3K4 715-634 DOD Monitoring and Oversight $ 1,462,173 $ 1,450,333 89537
3K6 715-639 Remedial Action Plan $ 416,000 $ 385,001 89538
3N1 715-655 Pollution Prevention Grants $ 10,172 $ 0 89539
3N4 715-657 DOE Monitoring and Oversight $ 3,362,932 $ 3,427,442 89540
3V7 715-606 Agencywide Grants $ 100,268 $ 0 89541
352 715-611 Wastewater Pollution $ 252,000 $ 265,002 89542
353 715-612 Public Water Supply $ 2,909,865 $ 2,916,174 89543
354 715-614 Hazardous Waste Management - Federal $ 4,195,192 $ 4,203,891 89544
357 715-619 Air Pollution Control - Federal $ 5,447,334 $ 5,599,501 89545
362 715-605 Underground Injection Control - Federal $ 101,874 $ 101,874 89546
TOTAL FED Federal Special Revenue 89547
Fund Group $ 33,934,302 $ 33,705,495 89548

State Special Revenue Fund Group89549

3T3 715-669 Drinking Water SRF $ 3,631,132 $ 3,716,777 89550
4J0 715-638 Underground Injection Control $ 379,488 $ 394,385 89551
4K2 715-648 Clean Air - Non Title V $ 3,092,801 $ 3,370,002 89552
4K3 715-649 Solid Waste $ 14,286,500 $ 14,698,987 89553
4K4 715-650 Surface Water Protection $ 9,380,180 $ 9,380,181 89554
4K5 715-651 Drinking Water Protection $ 6,294,334 $ 6,255,946 89555
4P5 715-654 Cozart Landfill $ 146,792 $ 149,728 89556
4R5 715-656 Scrap Tire Management $ 5,800,000 $ 6,000,000 89557
4R9 715-658 Voluntary Action Program $ 603,435 $ 795,671 89558
4T3 715-659 Clean Air - Title V Permit Program $ 16,950,003 $ 16,650,001 89559
4U7 715-660 Construction & Demolition Debris $ 220,000 $ 220,000 89560
5H4 715-664 Groundwater Support $ 1,768,661 $ 1,797,036 89561
5N2 715-613 Dredge and Fill $ 30,000 $ 30,000 89562
5S1 715-607 Clean Ohio - Operating $ 206,735 $ 208,174 89563
500 715-608 Immediate Removal Special Account $ 475,024 $ 482,000 89564
503 715-621 Hazardous Waste Facility Management $ 11,051,591 $ 11,465,671 89565
503 715-662 Hazardous Waste Facility Board $ 566,350 $ 576,619 89566
505 715-623 Hazardous Waste Cleanup $ 10,862,544 $ 11,557,987 89567
505 715-674 Clean Ohio Environmental Review $ 999,896 $ 1,179,249 89568
541 715-670 Site Specific Cleanup $ 344,448 $ 345,075 89569
542 715-671 Risk Management Reporting $ 142,087 $ 146,188 89570
6A1 715-645 Environmental Education $ 1,500,000 $ 1,500,000 89571
602 715-626 Motor Vehicle Inspection and Maintenance $ 1,444,464 $ 1,437,398 89572
644 715-631 ER Radiological Safety $ 281,424 $ 286,114 89573
660 715-629 Infectious Waste Management $ 160,000 $ 160,000 89574
676 715-642 Water Pollution Control Loan Administration $ 4,858,798 $ 4,964,625 89575
678 715-635 Air Toxic Release $ 314,081 $ 210,662 89576
679 715-636 Emergency Planning $ 2,798,648 $ 2,828,647 89577
696 715-643 Air Pollution Control Administration $ 750,002 $ 750,000 89578
699 715-644 Water Pollution Control Administration $ 625,000 $ 625,000 89579
TOTAL SSR State Special Revenue Fund Group $ 99,964,418 $ 102,182,123 89580
TOTAL ALL BUDGET FUND GROUPS $ 174,601,539 $ 176,908,410 89581

       CENTRAL SUPPORT INDIRECT89582

       Notwithstanding any other provision of law to the contrary, 89583
the Director of Environmental Protection, with the approval of the 89584
Director of Budget and Management, shall utilize a methodology for 89585
determining each division's payments into the Central Support 89586
Indirect Fund (Fund 219). The methodology used shall contain the 89587
characteristics of administrative ease and uniform application. 89588
Payments to the Central Support Indirect Fund (Fund 219) shall be 89589
made using an intrastate transfer voucher.89590

       CLEAN OHIO - OPERATING89591

       The foregoing appropriation item 715-607, Clean Ohio - 89592
Operating, shall be used by the Ohio Environmental Protection 89593
Agency in administering sections 122.65 to 122.658 of the Revised 89594
Code.89595

       Section 48.  EBR ENVIRONMENTAL REVIEW APPEALS COMMISSION89596

General Revenue Fund89597

GRF 172-321 Operating Expenses $ 437,131 $ 439,109 89598
TOTAL GRF General Revenue Fund $ 437,131 $ 439,109 89599
TOTAL ALL BUDGET FUND GROUPS $ 437,131 $ 439,109 89600


       Section 49.  ETH OHIO ETHICS COMMISSION89602

General Revenue Fund89603

GRF 146-321 Operating Expenses $ 1,286,869 $ 1,351,213 89604
TOTAL GRF General Revenue Fund $ 1,286,869 $ 1,351,213 89605

General Services Fund Group89606

4M6 146-601 Operating Expenses $ 409,543 $ 383,543 89607
TOTAL GSF General Services 89608
Fund Group $ 409,543 $ 383,543 89609
TOTAL ALL BUDGET FUND GROUPS $ 1,696,412 $ 1,734,756 89610


       Section 50.  EXP OHIO EXPOSITIONS COMMISSION89612

General Revenue Fund89613

GRF 723-403 Junior Fair Subsidy $ 465,412 $ 465,412 89614
TOTAL GRF General Revenue Fund $ 465,412 $ 465,412 89615

State Special Revenue Fund Group89616

4N2 723-602 Ohio State Fair Harness Racing $ 520,000 $ 520,000 89617
506 723-601 Operating Expenses $ 13,211,481 $ 13,643,315 89618
640 723-603 State Fair Reserve $ 125,000 $ 0 89619
TOTAL SSR State Special Revenue 89620
Fund Group $ 13,856,481 $ 14,163,315 89621
TOTAL ALL BUDGET FUND GROUPS $ 14,321,893 $ 14,628,727 89622

       STATE FAIR RESERVE89623

       The foregoing appropriation item 723-603, State Fair Reserve,89624
shall serve as a budget reserve fund for the Ohio Expositions89625
Commission in the event of a significant decline in attendance due89626
to inclement weather or extraordinary circumstances during the89627
Ohio State Fair resulting in a loss of revenue. The State Fair89628
Reserve may be used by the Ohio Expositions Commission to pay89629
bills resulting from the Ohio State Fair only if all the following89630
criteria are met:89631

       (A) Admission revenues for the 2003 Ohio State Fair are less89632
than $2,542,500 or admission revenues for the 2004 Ohio State Fair89633
are less than $2,619,000 due to inclement weather or extraordinary89634
circumstances. These amounts are ninety per cent of the projected89635
admission revenues for each year.89636

       (B) The Ohio Expositions Commission declares a state of89637
fiscal exigency and requests release of funds by the Director of89638
Budget and Management.89639

       (C) The Director of Budget and Management releases the funds. 89640
The Director of Budget and Management may approve or disapprove 89641
the request for release of funds, may increase or decrease the 89642
amount of release, and may place such conditions as the director 89643
considers necessary on the use of the released funds. The Director 89644
of Budget and Management may transfer appropriation authority from 89645
fiscal year 2004 to fiscal year 2005 as needed.89646

       In the event that the Ohio Expositions Commission faces a89647
temporary cash shortage that will preclude it from meeting current 89648
obligations, the Commission may request the Director of Budget and 89649
Management to approve use of the State Fair Reserve to meet those 89650
obligations. The request shall include a plan describing how the 89651
Commission will eliminate the cash shortage. If the Director of 89652
Budget and Management approves the expenditures, the Commission 89653
shall reimburse Fund 640 by the thirtieth day of June of that same 89654
fiscal year through an intrastate transfer voucher. The amount 89655
reimbursed is hereby appropriated.89656

       Of the foregoing appropriation item 723-603, State Fair 89657
Reserve, up to $125,000 shall be transferred in fiscal year 2004 89658
to appropriation item 723-403, Junior Fair Subsidy.89659

       Section 51.  GOV OFFICE OF THE GOVERNOR89660

General Revenue Fund89661

GRF 040-321 Operating Expenses $ 4,112,358 $ 4,235,726 89662
GRF 040-403 Federal Relations $ 510,000 $ 510,000 89663
GRF 040-408 Office of Veterans' Affairs $ 276,723 $ 285,025 89664
TOTAL GRF General Revenue Fund $ 4,899,081 $ 5,030,751 89665

General Services Fund Group89666

412 040-607 Federal Relations $ 500,000 $ 500,000 89667
TOTAL GSF General Services Fund Group $ 500,000 $ 500,000 89668

TOTAL ALL BUDGET FUND GROUPS $ 5,399,081 $ 5,530,751 89669

       APPOINTMENT OF LEGAL COUNSEL FOR THE GOVERNOR89670

       The Governor may expend a portion of the foregoing89671
appropriation item 040-321, Operating Expenses, to hire or appoint89672
legal counsel to be used in proceedings involving the Governor in89673
the Governor's official capacity or the Governor's office only,89674
without the approval of the Attorney General, notwithstanding89675
sections 109.02 and 109.07 of the Revised Code.89676

       FEDERAL RELATIONS89677

       A portion of the foregoing appropriation items 040-403, 89678
Federal Relations, and 040-607, Federal Relations, may be used to 89679
support Ohio's membership in national or regional associations.89680

       The Office of the Governor may charge any state agency of the 89681
executive branch using an intrastate transfer voucher such amounts 89682
necessary to defray the costs incurred for the conduct of federal 89683
relations associated with issues that can be attributed to the 89684
agency. Amounts collected shall be deposited to the Office of the 89685
Governor Federal Relations Fund (Fund 412).89686

       Section 52.  DOH DEPARTMENT OF HEALTH89687

General Revenue Fund89688

GRF 440-407 Animal Borne Disease and Prevention $ 2,690,101 $ 2,690,101 89689
GRF 440-412 Cancer Incidence Surveillance System $ 1,038,815 $ 1,066,616 89690
GRF 440-413 Healthy Communities $ 4,139,009 $ 4,139,009 89691
GRF 440-416 Child and Family Health Services $ 9,034,972 $ 9,034,972 89692
GRF 440-418 Immunizations $ 8,431,975 $ 8,600,615 89693
GRF 440-419 Sexual Assault Prevention $ 35,899 $ 35,899 89694
GRF 440-444 AIDS Prevention and Treatment $ 7,589,816 $ 7,589,816 89695
GRF 440-446 Infectious Disease Prevention $ 439,330 $ 439,330 89696
GRF 440-451 Lab and Public Health Prevention Programs $ 6,085,250 $ 6,085,250 89697
GRF 440-452 Child and Family Health Services Match $ 1,024,017 $ 1,024,017 89698
GRF 440-453 Health Care Quality Assurance $ 10,453,728 $ 10,453,728 89699
GRF 440-454 Local Environmental Health $ 1,047,654 $ 1,047,654 89700
GRF 440-459 Help Me Grow $ 9,861,089 $ 9,861,089 89701
GRF 440-461 Center for Vital and Health Stats $ 4,079,790 $ 4,079,790 89702
GRF 440-504 Poison Control Network $ 388,000 $ 388,000 89703
GRF 440-505 Medically Handicapped Children $ 6,462,257 $ 6,462,738 89704
GRF 440-507 Targeted Health Care Services Over 21 $ 731,023 $ 731,023 89705
GRF 440-508 Migrant Health $ 91,301 $ 91,301 89706
TOTAL GRF General Revenue Fund $ 73,624,026 $ 73,820,948 89707

General Services Fund Group89708

142 440-618 General Operations - General Services Fund $ 3,372,444 $ 3,461,915 89709
211 440-613 Central Support Indirect Costs $ 26,578,343 $ 26,584,707 89710
473 440-622 Lab Operating Expenses $ 4,154,045 $ 4,154,045 89711
683 440-633 Employee Assistance Program $ 1,192,234 $ 1,192,214 89712
698 440-634 Nurse Aide Training $ 170,000 $ 170,000 89713
TOTAL GSF General Services 89714
Fund Group $ 35,467,066 $ 35,562,881 89715

Federal Special Revenue Fund Group89716

320 440-601 Maternal Child Health Block Grant $ 34,451,205 $ 35,136,169 89717
387 440-602 Preventive Health Block Grant $ 8,200,000 $ 8,200,000 89718
389 440-604 Women, Infants, and Children $ 210,000,000 $ 220,000,000 89719
391 440-606 Medicaid/Medicare $ 26,294,274 $ 26,820,159 89720
392 440-618 General Operations - Federal Fund $ 114,474,764 $ 115,319,323 89721
TOTAL FED Federal Special Revenue 89722
Fund Group $ 393,420,243 $ 405,475,651 89723

State Special Revenue Fund Group89724

4D6 440-608 Genetics Services $ 2,300,000 $ 2,300,000 89725
4F9 440-610 Sickle Cell Disease Control $ 1,035,344 $ 1,035,344 89726
4G0 440-636 Heirloom Birth Certificate $ 5,000 $ 5,000 89727
4G0 440-637 Birth Certificate Surcharge $ 5,000 $ 5,000 89728
4L3 440-609 Miscellaneous Expenses $ 256,082 $ 144,119 89729
4T4 440-603 Child Highway Safety $ 233,894 $ 233,894 89730
4V6 440-641 Save Our Sight $ 1,733,327 $ 1,767,994 89731
470 440-618 General Operations - State Special Revenue $ 14,525,443 $ 16,025,194 89732
471 440-619 Certificate of Need $ 475,000 $ 483,572 89733
477 440-627 Medically Handicapped Children Audit $ 4,640,498 $ 4,733,008 89734
5B5 440-616 Quality, Monitoring, and Inspection $ 838,479 $ 838,479 89735
5C0 440-615 Alcohol Testing and Permit $ 1,455,405 $ 1,455,405 89736
5D6 440-620 Second Chance Trust $ 887,018 $ 825,951 89737
5G4 440-639 Adoption Services $ 20,000 $ 20,000 89738
5E1 440-624 Health Services $ 688,321 $ 0 89739
5L1 440-623 Nursing Facility Technical Assistance Program $ 586,153 $ 617,517 89740
610 440-626 Radiation Emergency Response $ 923,315 $ 923,315 89741
666 440-607 Medically Handicapped Children - County Assessments $ 14,320,687 $ 14,320,687 89742
TOTAL SSR State Special Revenue 89743
Fund Group $ 44,928,966 $ 45,734,479 89744

Holding Account Redistribution Fund Group89745

R14 440-631 Vital Statistics $ 70,000 $ 70,000 89746
R48 440-625 Refunds, Grants Reconciliation, and Audit Settlements $ 20,400 $ 20,400 89747
TOTAL 090 Holding Account 89748
Redistribution Fund Group $ 90,400 $ 90,400 89749
TOTAL ALL BUDGET FUND GROUPS $ 547,530,701 $ 560,684,359 89750


       Section 52.01. CANCER REGISTRY SYSTEM89752

       Of the foregoing appropriation item 440-412, Cancer Incidence89753
Surveillance System, not more than $50,000 in each fiscal year 89754
shall be provided to Health Comp, Inc.89755

       The remaining moneys in appropriation item 440-412, Cancer89756
Incidence Surveillance System, shall be used to maintain and89757
operate the Ohio Cancer Incidence Surveillance System pursuant to89758
sections 3701.261 to 3701.263 of the Revised Code.89759

       Section 52.02. CHILD AND FAMILY HEALTH SERVICES89760

       Of the foregoing appropriation item 440-416, Child and Family89761
Health Services, $1,700,000 in each fiscal year shall be used for89762
women's health services.89763

       Of the foregoing appropriation item 440-416, Child and Family89764
Health Services, not more than $270,000 shall be used in each 89765
fiscal year for the OPTIONS dental care access program.89766

       Of the foregoing appropriation item 440-416, Child and Family89767
Health Services, not more than $900,000 in each fiscal year shall 89768
be used by federally qualified health centers and federally 89769
designated look-alikes to provide services to uninsured low-income 89770
persons.89771

       Of the foregoing appropriation item 440-416, Child and Family 89772
Health Services, $500,000 in each fiscal year shall be used for 89773
abstinence-only education. The Director of Health shall develop 89774
guidelines for the establishment of abstinence programs for 89775
teenagers with the purpose of decreasing unplanned pregnancies and 89776
abortion. The guidelines shall be developed pursuant to Title V of 89777
the "Social Security Act," 42 U.S.C. 510, and shall include, but 89778
are not limited to, advertising campaigns and direct training in 89779
schools and other locations.89780

       Of the foregoing appropriation item 440-416, Child and Family 89781
Health Services, $30,000 in each fiscal year shall be allocated to 89782
the Jewish Family Service of Cleveland, $10,000 in each fiscal 89783
year shall be allocated to the Jewish Family Service of 89784
Cincinnati, and $10,000 in each fiscal year shall be allocated to 89785
the Jewish Family Services of Columbus for interpreters for health 89786
care.89787

       Of the foregoing appropriation item 440-416, Child and Family 89788
Health Services, $25,000 in each fiscal year shall be allocated to 89789
Clermont County's Comprehensive Community Suicide Prevention 89790
Program.89791

       Of the foregoing appropriation item 440-416, Child and Family 89792
Health Services, $25,000 in each fiscal year shall be allocated to 89793
the Health Education Center in Cincinnati.89794

        Of the foregoing appropriation item 440-416, Child and Family 89795
Health Services, $62,500 in each fiscal year shall be allocated to 89796
the Cincinnati YWCA Hippy.89797

       Of the foregoing appropriation item 440-416, Child and Family 89798
Health Services, $25,000 in each fiscal year shall be allocated to 89799
the Helping Hearts Program.89800

       Of the foregoing appropriation item 440-416, Child and Family 89801
Health Services, $25,000 in each fiscal year shall be allocated to 89802
the Tree of Knowledge Learning Center.89803

       Of the foregoing appropriation item 440-416, Child and Family 89804
Health Services, $50,000 in each fiscal year shall be allocated to 89805
the Mayerson Foundation.89806

       Of the foregoing appropriation item 440-416, Child and Family 89807
Health Services, $50,000 in each fiscal year shall be allocated to 89808
the Columbus Yassenoff Jewish Community Center to fund nutrition 89809
and exercise education for children ages eight to thirteen.89810

       Section 52.03.  WOMEN'S HEALTH SERVICES UNTIL JANUARY 1, 200489811

       None of the funds received for women's health services 89812
through a family planning grant from the foregoing appropriation 89813
item 440-416, Child and Family Health Services, shall be used to 89814
provide abortion services. None of the funds received through 89815
these family planning grants shall be used for counseling for or 89816
referrals for abortion, except in the case of a medical emergency. 89817
These funds shall be distributed on the basis of the relative need 89818
in the community served by the Director of Health to family 89819
planning programs, which shall include family planning programs 89820
funded under Title V of the "Social Security Act," 49 Stat. 620 89821
(1935), 42 U.S.C. 301, as amended, and Title X of the "Public 89822
Health Services Act," 58 Stat. 682 (1946), 42 U.S.C. 201, as 89823
amended, as well as to other family planning programs that the 89824
Department of Health also determines will provide services that 89825
are physically and financially separate from abortion-providing 89826
and abortion-promoting activities, and that do not include 89827
counseling for or referrals for abortion, other than in the case 89828
of medical emergency, with state moneys, but that otherwise 89829
substantially comply with the quality standards for such programs 89830
under Title V and Title X.89831

       The Director of Health, by rule, shall provide reasonable 89832
methods by which a grantee wishing to be eligible for federal 89833
funding may comply with these requirements for state funding 89834
without losing its eligibility for federal funding, while ensuring 89835
that a family planning program receiving a family planning grant 89836
must be organized so that it is physically and financially 89837
separate from the provision of abortion services and from 89838
activities promoting abortion as a method of family planning.89839

       This section expires January 1, 2004.89840

       Section 52.04.  WOMEN'S SERVICES STARTING JANUARY 1, 200489841

       None of the funds received through grants for women's health 89842
services under this section from the foregoing appropriation item 89843
440-416, Child and Family Health Services, shall be used to 89844
provide abortion services. None of the funds received through 89845
these grants shall be used for counseling for or referrals for89846
abortion, except in the case of a medical emergency. These funds89847
shall be distributed by the Director of Health to programs that 89848
the Department of Health determines will provide services that are89849
physically and financially separate from abortion-providing and89850
abortion-promoting activities, and that do not include counseling89851
for or referrals for abortion, other than in the case of medical89852
emergency.89853

       These women's health services include and are limited to the 89854
following: pelvic exams and lab testing; breast exams and patient 89855
education on breast cancer; screening for cervical cancer; 89856
screening and treatment for Sexually Transmitted Diseases (STDs) 89857
and HIV screening; voluntary choice of contraception, including 89858
abstinence and natural family planning; patient education and 89859
pre-pregnancy counseling on the dangers of smoking, alcohol, and 89860
drug use during pregnancy; education on sexual coercion and 89861
violence in relationships; and prenatal care or referral for 89862
prenatal care. These health care services shall be provided by 89863
licensed doctors, licensed nurses, licensed medical assistants, 89864
licensed counselors, and licensed social workers in a medical 89865
clinic setting.89866

       The Director of Health shall adopt rules in accordance with 89867
Chapter 119. of the Revised Code specifying reasonable eligibility 89868
standards that must be met to receive the state funding and89869
provide reasonable methods by which a grantee wishing to be 89870
eligible for federal funding may comply with these requirements 89871
for state funding without losing its eligibility for federal 89872
funding.89873

       Each applicant for these funds shall provide sufficient 89874
assurance to the Director of Health of all of the following:89875

        (A) The program shall not discriminate in the provision of 89876
services based on an individual's religion, race, national origin, 89877
handicapping condition, age, sex, number of pregnancies, or 89878
marital status;89879

        (B) The program shall provide services without subjecting 89880
individuals to any coercion to accept services or to employ any 89881
particular methods of family planning;89882

        (C) Acceptance of services shall be solely on a voluntary 89883
basis and may not be made a prerequisite to eligibility for, or 89884
receipt of, any other service, assistance from, or participation 89885
in, any other program of the service provider;89886

        (D) The costs for services provided by the program, if any 89887
are charged, shall be based on the patient's ability to pay and 89888
priority in the provision of services shall be given to persons 89889
from low-income families.89890

       In distributing these grant funds, the Director of Health 89891
shall give priority to grant requests from local departments of 89892
health for women's health services to be provided directly by 89893
personnel of the local department of health. Prior to the 89894
effective date of this section, the Director of Health shall issue 89895
a single request for proposals for all grants under this 89896
set-aside. The Director of Health shall send a notification of 89897
this request for proposals to every local department of health in 89898
this state and shall place a notification on the department's web 89899
site. The Director shall allow at least 30 days after issuing this 89900
notification before closing the period to receive applications.89901

        After the closing date for receiving grant applications, the 89902
Director of Health shall first consider grant applications from 89903
local departments of health that apply for grants for women's 89904
health services to be provided directly by personnel of the local 89905
department of health. Local departments of health that apply for 89906
grants for women's health services to be provided directly by 89907
personnel of the local department of health need not provide all 89908
the listed women's health services in order to qualify for a 89909
grant. However, in prioritizing awards among local departments of 89910
health that qualify for funding under this paragraph, the Director 89911
of Health may consider, among other reasonable factors, the 89912
comprehensiveness of the women's health services to be offered, 89913
provided that no local department of health shall be discriminated 89914
against in the process of awarding these grant funds because the 89915
applicant does not provide contraception.89916

       If funds remain after awarding grants to all local 89917
departments of health that qualify for the priority, the Director 89918
of Health may make grants to other applicants. Awards to other 89919
applicants may be made to those applicants that will offer all 89920
eight of the listed women's health services or that will offer all 89921
of the services except contraception. No applicant shall be 89922
discriminated against in the process of awarding these grant funds 89923
because the applicant does not provide contraception.89924

       This section takes effect January 1, 2004.89925

       Section 52.05. SEXUAL ASSAULT PREVENTION AND INTERVENTION89926

       The foregoing appropriation item 440-419, Sexual Assault89927
Prevention and Intervention, shall be used for the following89928
purposes:89929

       (A) Funding of new services in counties with no services for89930
sexual assault;89931

       (B) Expansion of services provided in currently funded89932
projects so that comprehensive crisis intervention and prevention89933
services are offered;89934

       (C) Start-up funding for Sexual Assault Nurse Examiner (SANE)89935
projects;89936

       (D) Statewide expansion of local outreach and public89937
awareness efforts.89938

       HIV/AIDS PREVENTION/TREATMENT89939

       Of the foregoing appropriation item 440-444, AIDS Prevention89940
and Treatment, up to $6.4 million in fiscal year 2004 and up to 89941
$6.7 million in fiscal year 2005 shall be used to assist persons 89942
with HIV/AIDS in acquiring HIV-related medications.89943

       INFECTIOUS DISEASE PREVENTION89944

       Of the foregoing appropriation item 440-446, Infectious 89945
Disease Prevention, not more than $200,000 in each fiscal year 89946
shall be used to reimburse boards of county commissioners pursuant 89947
to division (A) of section 339.77 of the Revised Code.89948

       Of the foregoing appropriation item 440-446, Infectious 89949
Disease Prevention, not more than $60,000 shall be used by the 89950
Director of Health to reimburse Boards of County Commissioners for 89951
the cost of detaining indigent persons with tuberculosis. Any 89952
portion of the $60,000 allocated for detainment not used for that 89953
purpose shall be used to make payments to counties pursuant to89954
section 339.77 of the Revised Code.89955

       Of the foregoing appropriation item 440-446, Infectious89956
Disease Prevention, not more than $250,000 in each fiscal year 89957
shall be used for the purchase of drugs for sexually transmitted 89958
diseases.89959

       HELP ME GROW89960

       The foregoing appropriation item 440-459, Help Me Grow, shall89961
be used by the Department of Health to distribute subsidies to89962
counties to implement the Help Me Grow program. Appropriation item 89963
440-459 may be used in conjunction with Temporary Assistance for 89964
Needy Families from the Department of Job and Family Services,89965
Early Intervention funding from the Department of Mental 89966
Retardation and Developmental Disabilities, and in conjunction89967
with other early childhood funds and services to promote the89968
optimal development of young children. Local contracts shall be89969
developed between local departments of job and family services and89970
family and children first councils for the administration of TANF89971
funding for the Help Me Grow Program. The Department of Health89972
shall enter into an interagency agreement with the Department of89973
Education, Department of Mental Retardation and Developmental 89974
Disabilities, Department of Job and Family Services, and 89975
Department of Mental Health to ensure that all early childhood 89976
programs and initiatives are coordinated and school linked.89977

       POISON CONTROL NETWORK89978

       The foregoing appropriation item 440-504, Poison Control89979
Network, shall be used in each fiscal year by the Department of89980
Health for grants to the consolidated Ohio Poison Control Center89981
to provide poison control services to Ohio citizens.89982

       Notwithstanding section 3701.83 of the Revised Code, not 89983
later than the fifteenth day of July of each fiscal year or as 89984
soon as possible thereafter, the Director of Budget and Management 89985
shall transfer cash in the amount of $127,287 from appropriation 89986
item 440-618, General Operations – General Services Fund, (Fund 89987
142) to the General Revenue Fund.89988

       TARGETED HEALTH CARE SERVICES OVER 2189989

       In each fiscal year, appropriation item 440-507, Targeted 89990
Health Care Services Over 21, shall be used to administer the 89991
cystic fibrosis program and implement the Hemophilia Insurance 89992
Premium Payment program.89993

       EXTENSION OF HEMOPHILIA HEALTH INSURANCE PREMIUM PAYMENTS89994

        The Director of Health shall continue to provide, through 89995
contracts with or grants to hemophilia treatment centers, for 89996
health insurance premiums to be paid for individuals who are at 89997
least twenty-one years of age, diagnosed with hemophilia or a 89998
related bleeding disorder, and receive such assistance on the day 89999
prior to the effective date of this section under the program for 90000
care and treatment of persons suffering from hemophilia 90001
established under former section 3701.144 of the Revised Code 90002
until the effective date of the initial rules adopted under 90003
division (A)(12) of section 3701.021 of the Revised Code for the 90004
hemophilia program established under section 3701.029 of the 90005
Revised Code. The Public Health Council shall adopt those rules 90006
not later than twelve months after the effective date of this 90007
section.90008

       MATERNAL CHILD HEALTH BLOCK GRANT90009

       Of the foregoing appropriation item 440-601, Maternal Child90010
Health Block Grant (Fund 320), $2,091,299 shall be used in each90011
fiscal year for the purposes of abstinence-only education. The90012
Director of Health shall develop guidelines for the establishment90013
of abstinence programs for teenagers with the purpose of90014
decreasing unplanned pregnancies and abortion. Such guidelines90015
shall be pursuant to Title V of the "Social Security Act," 4290016
U.S.C. 510, and shall include, but are not limited to, advertising90017
campaigns and direct training in schools and other locations.90018

       GENETICS SERVICES90019

       The foregoing appropriation item 440-608, Genetics Services90020
(Fund 4D6), shall be used by the Department of Health to90021
administer programs authorized by sections 3701.501 and 3701.50290022
of the Revised Code. None of these funds shall be used to counsel90023
or refer for abortion, except in the case of a medical emergency.90024

       SAFETY AND QUALITY OF CARE STANDARDS90025

       The Department of Health may use Fund 471, Certificate of90026
Need, for administering sections 3702.11 to 3702.20 and 3702.30 of90027
the Revised Code in each fiscal year.90028

       MEDICALLY HANDICAPPED CHILDREN AUDIT90029

       The Medically Handicapped Children Audit Fund (Fund 477)90030
shall receive revenue from audits of hospitals and recoveries from90031
third-party payers. Moneys may be expended for payment of audit90032
settlements and for costs directly related to obtaining recoveries90033
from third-party payers and for encouraging Medically Handicapped90034
Children's Program recipients to apply for third-party benefits.90035
Moneys also may be expended for payments for diagnostic and90036
treatment services on behalf of medically handicapped children, as90037
defined in division (A) of section 3701.022 of the Revised Code,90038
and Ohio residents who are twenty-one or more years of age and who90039
are suffering from cystic fibrosis or hemophilia. Moneys may also 90040
be expended for administrative expenses incurred in operating the 90041
Medically Handicapped Children's Program.90042

       CASH TRANSFER FROM LIQUOR CONTROL FUND TO ALCOHOL TESTING AND90043
PERMIT FUND90044

       The Director of Budget and Management, pursuant to a plan90045
submitted by the Department of Health, or as otherwise determined90046
by the Director of Budget and Management, shall set a schedule to90047
transfer cash from the Liquor Control Fund (Fund 043) to the90048
Alcohol Testing and Permit Fund (Fund 5C0) to meet the operating90049
needs of the Alcohol Testing and Permit program.90050

       The Director of Budget and Management shall transfer to the90051
Alcohol Testing and Permit Fund (Fund 5C0) from the Liquor Control90052
Fund (Fund 043) established in section 4301.12 of the Revised Code90053
such amounts at such times as determined by the transfer schedule.90054

       MEDICALLY HANDICAPPED CHILDREN - COUNTY ASSESSMENTS90055

       The foregoing appropriation item 440-607, Medically90056
Handicapped Children - County Assessments (Fund 666), shall be90057
used to make payments pursuant to division (E) of section 3701.02390058
of the Revised Code.90059

       NURSING FACILITY TECHNICAL ASSISTANCE PROGRAM90060

       The Director of Budget and Management shall transfer, by 90061
intrastate transfer voucher, each fiscal year, cash from Fund 4E3, 90062
Resident Protection Fund, in the Ohio Department of Job and Family 90063
Services, to Fund 5L1, Nursing Facility Technical Assistance Fund, 90064
in the Ohio Department of Health, to be used in accordance with 90065
section 3721.026 of the Revised Code. The transfers shall equal 90066
the amount appropriated per fiscal year in Fund 5L1, Nursing 90067
Facility Technical Assistance Fund.90068

       Section 53.  HEF HIGHER EDUCATIONAL FACILITY COMMISSION90069

Agency Fund Group90070

461 372-601 Operating Expenses $ 15,290 $ 16,819 90071
TOTAL AGY Agency Fund Group $ 15,290 $ 16,819 90072
TOTAL ALL BUDGET FUND GROUPS $ 15,290 $ 16,819 90073


       Section 54.  SPA COMMISSION ON HISPANIC/LATINO AFFAIRS90075

General Revenue Fund90076

GRF 148-100 Personal Services $ 127,419 $ 127,419 90077
GRF 148-200 Maintenance $ 35,901 $ 35,901 90078
TOTAL GRF General Revenue Fund $ 163,320 $ 163,320 90079

General Services Fund Group90080

601 148-602 Gifts and Miscellaneous $ 8,485 $ 8,485 90081
TOTAL GSF General Services 90082
Fund Group $ 8,485 $ 8,485 90083
TOTAL ALL BUDGET FUND GROUPS $ 171,805 $ 171,805 90084


       Section 55.  OHS OHIO HISTORICAL SOCIETY90086

General Revenue Fund90087

GRF 360-403 Adena - Worthington Home $ 200,000 $ 150,000 90088
GRF 360-501 Operating Subsidy $ 3,389,973 $ 3,389,973 90089
GRF 360-502 Site Operations $ 8,240,438 $ 8,240,438 90090
GRF 360-503 Ohio Bicentennial Commission $ 1,847,239 $ 58,164 90091
GRF 360-504 Ohio Preservation Office $ 289,733 $ 289,733 90092
GRF 360-505 Afro-American Museum $ 778,231 $ 778,231 90093
GRF 360-506 Hayes Presidential Center $ 524,981 $ 524,981 90094
GRF 360-508 Historical Grants $ 2,200,000 $ 1,550,000 90095
TOTAL GRF General Revenue Fund $ 17,470,595 $ 14,981,520 90096
TOTAL ALL BUDGET FUND GROUPS $ 17,470,595 $ 14,981,520 90097

       SUBSIDY APPROPRIATION90098

       Upon approval by the Director of Budget and Management, the90099
foregoing appropriation items shall be released to the Ohio90100
Historical Society in quarterly amounts that in total do not90101
exceed the annual appropriations. The funds and fiscal records of90102
the society for fiscal years 2004 and 2005 shall be examined by90103
independent certified public accountants approved by the Auditor90104
of State, and a copy of the audited financial statements shall be90105
filed with the Office of Budget and Management. The society shall90106
prepare and submit to the Office of Budget and Management the90107
following:90108

       (A) An estimated operating budget for each fiscal year of the 90109
biennium. The operating budget shall be submitted at or near the 90110
beginning of each year.90111

       (B) Financial reports, indicating actual receipts and90112
expenditures for the fiscal year to date. These reports shall be90113
filed at least semiannually during the fiscal biennium.90114

       The foregoing appropriations shall be considered to be the90115
contractual consideration provided by the state to support the90116
state's offer to contract with the Ohio Historical Society under90117
section 149.30 of the Revised Code. If the Ohio Historical Society 90118
accepts this contractual offer, the society may not, during fiscal 90119
year 2004 or 2005, close any of the sites operated by the society 90120
as of the effective date of this section.90121

        Not later than May 15, 2004, the Ohio Historical Society 90122
shall submit to the Controlling Board a plan for the 90123
implementation of the recommendations of the Select Committee to 90124
Study the Effectiveness of Ohio's Historical Programs and 90125
Partnerships. No appropriations to the society for fiscal year 90126
2005 may be expended without prior approval of the implementation 90127
plan by the Controlling Board.90128

       HAYES PRESIDENTIAL CENTER90129

       If a United States government agency, including, but not90130
limited to, the National Park Service, chooses to take over the90131
operations or maintenance of the Hayes Presidential Center, in90132
whole or in part, the Ohio Historical Society shall make90133
arrangements with the National Park Service or other United States90134
government agency for the efficient transfer of operations or90135
maintenance.90136

       HISTORICAL GRANTS90137

       Of the foregoing appropriation item 360-508, Historical 90138
Grants, $91,667 in fiscal year 2004 and $88,571 in fiscal year 90139
2005 shall be distributed to the Hebrew Union College in 90140
Cincinnati for the Center for Holocaust and Humanity Education, 90141
$137,500 in fiscal year 2004 shall be distributed to the National 90142
Underground Railroad Freedom Center in Cincinnati, $229,167 in 90143
fiscal year 2004 and $221,430 in fiscal year 2005 shall be 90144
distributed to the Great Lakes Historical Society in Vermilion, 90145
$733,333 in fiscal year 2004 and $708,571 in fiscal year 2005 90146
shall be distributed to the Western Reserve Historical Society in 90147
Cleveland, $458,333 in fiscal year 2004 shall be distributed to 90148
the Village of Dennison for the Historical Center Street District, 90149
$91,667 in fiscal year 2004 and $88,571 in fiscal year 2005 shall 90150
be distributed to the Harbor Heritage Society Steamship Mather in 90151
Cleveland, and $458,333 in fiscal year 2004 and $442,857 in fiscal 90152
year 2005 shall be distributed to the Cincinnati Museum Center.90153

       OHIO BICENTENNIAL COMMISSION ROYALTIES90154

       Notwithstanding any previous arrangement to the contrary, the 90155
Ohio Bicentennial Commission shall keep the first $100,000 in 90156
earned royalties associated with the Ohio Bicentennial logo during 90157
the 2004-2005 biennium. This $100,000 shall be used to cover the 90158
operating expenses of the Ohio Bicentennial Commission in fiscal 90159
year 2005. The remaining moneys collected from royalties 90160
associated with the Ohio Bicentennial logo shall be deposited into 90161
the General Revenue Fund, of which $350,000 shall be distributed 90162
to the Ohio Historical Society for use in appropriation item 90163
360-403, Adena - Worthington Home.90164

       Section 56.  REP OHIO HOUSE OF REPRESENTATIVES90165

General Revenue Fund90166

GRF 025-321 Operating Expenses $ 19,018,547 $ 19,969,473 90167
TOTAL GRF General Revenue Fund $ 19,018,547 $ 19,969,473 90168

General Services Fund Group90169

103 025-601 House Reimbursement $ 1,351,875 $ 1,419,469 90170
4A4 025-602 Miscellaneous Sales $ 35,690 $ 37,474 90171
TOTAL GSF General Services 90172
Fund Group $ 1,387,565 $ 1,456,943 90173
TOTAL ALL BUDGET FUND GROUPS $ 20,406,112 $ 21,426,416 90174


       Section 57.  IGO OFFICE OF THE INSPECTOR GENERAL90176

General Revenue Fund90177

GRF 965-321 Operating Expenses $ 812,000 $ 812,000 90178
TOTAL GRF General Revenue Fund $ 812,000 $ 812,000 90179

State Special Revenue Fund Group90180

4Z3 965-602 Special Investigations $ 100,000 $ 100,000 90181
TOTAL SSR State Special Revenue Fund Group $ 100,000 $ 100,000 90182
TOTAL ALL BUDGET FUND GROUPS $ 912,000 $ 912,000 90183

       SPECIAL INVESTIGATIONS90184

       Of the foregoing appropriation item 965-602, Special90185
Investigations, up to $100,000 in each fiscal year may be used for90186
investigative costs, pursuant to section 121.481 of the Revised90187
Code.90188

       Section 58.  INS DEPARTMENT OF INSURANCE90189

Federal Special Revenue Fund Group90190

3U5 820-602 OSHIIP Operating Grant $ 560,559 $ 560,559 90191
TOTAL FED Federal Special 90192
Revenue Fund Group $ 560,559 $ 560,559 90193

State Special Revenue Fund Group90194

554 820-601 Operating Expenses - OSHIIP $ 506,515 $ 561,411 90195
554 820-606 Operating Expenses $ 21,815,431 $ 22,357,575 90196
555 820-605 Examination $ 7,433,751 $ 7,639,581 90197
TOTAL SSR State Special Revenue 90198
Fund Group $ 29,755,697 $ 30,558,567 90199
TOTAL ALL BUDGET FUND GROUPS $ 30,316,256 $ 31,119,126 90200

       MARKET CONDUCT EXAMINATION90201

       When conducting a market conduct examination of any insurer90202
doing business in this state, the Superintendent of Insurance may90203
assess the costs of the examination against the insurer. The90204
superintendent may enter into consent agreements to impose90205
administrative assessments or fines for conduct discovered that90206
may be violations of statutes or regulations administered by the90207
superintendent. All costs, assessments, or fines collected shall90208
be deposited to the credit of the Department of Insurance90209
Operating Fund (Fund 554).90210

       EXAMINATIONS OF DOMESTIC FRATERNAL BENEFIT SOCIETIES90211

       The Superintendent of Insurance may transfer funds from the90212
Department of Insurance Operating Fund (Fund 554), established by90213
section 3901.021 of the Revised Code, to the Superintendent's90214
Examination Fund (Fund 555), established by section 3901.071 of90215
the Revised Code, only for the expenses incurred in examining90216
domestic fraternal benefit societies as required by section90217
3921.28 of the Revised Code.90218

       On July 1, 2003, or as soon as possible thereafter, the 90219
Director of Budget and Management shall transfer $1,000,000 from 90220
the Department of Insurance Operating Fund (Fund 554) to the 90221
General Revenue Fund.90222

       Section 59.  JFS DEPARTMENT OF JOB AND FAMILY SERVICES90223

General Revenue Fund90224

GRF 600-321 Support Services 90225
State $ 62,361,047 $ 58,611,047 90226
Federal $ 7,176,249 $ 7,125,883 90227
Support Services Total $ 69,537,296 $ 65,736,930 90228
GRF 600-410 TANF State $ 272,619,061 $ 272,619,061 90229
GRF 600-413 Child Care Match/Maintenance of Effort $ 84,120,596 $ 84,120,596 90230
GRF 600-416 Computer Projects 90231
State $ 120,000,000 $ 120,000,000 90232
Federal $ 31,095,442 $ 31,400,454 90233
Computer Projects Total $ 151,095,442 $ 151,400,454 90234
GRF 600-420 Child Support Administration $ 5,091,446 $ 5,091,446 90235
GRF 600-421 Office of Family Stability $ 4,864,932 $ 4,864,932 90236
GRF 600-422 Local Operations $ 2,305,232 $ 2,305,232 90237
GRF 600-423 Office of Children and Families $ 5,000,000 $ 5,000,000 90238
GRF 600-424 Office of Workforce Development $ 877,971 $ 877,971 90239
GRF 600-425 Office of Ohio Health Plans 90240
State $ 21,944,901 $ 22,603,740 90241
Federal $ 21,848,555 $ 22,495,502 90242
Office of Ohio Health Plans Total $ 43,793,456 $ 45,099,242 90243
GRF 600-435 Unemployment Compensation Review Commission $ 3,188,473 $ 3,188,473 90244
GRF 600-439 Commission to Reform Medicaid $ 125,000 $ 125,000 90245
GRF 600-502 Child Support Match $ 16,814,103 $ 16,814,103 90246
GRF 600-511 Disability Financial Assistance $ 22,839,371 $ 22,839,371 90247
GRF 600-521 Family Stability Subsidy $ 55,206,401 $ 55,206,401 90248
GRF 600-523 Children and Families Subsidy $ 69,846,563 $ 69,846,563 90249
GRF 600-525 Health Care/Medicaid 90250
State $ 3,651,294,321 $ 3,842,465,911 90251
Federal $ 5,188,691,539 $ 5,463,149,039 90252
Health Care Total $ 8,839,985,860 $ 9,305,614,950 90253
GRF 600-528 Adoption Services 90254
State $ 33,395,955 $ 36,017,981 90255
Federal $ 37,368,248 $ 41,115,000 90256
Adoption Services Total $ 70,764,203 $ 77,132,981 90257
TOTAL GRF General Revenue Fund 90258
State $ 4,428,706,900 $ 4,619,409,355 90259
Federal $ 5,286,180,033 $ 5,565,285,878 90260
GRF Total $ 9,718,075,406 $ 10,187,883,706 90261

General Services Fund Group90262

4A8 600-658 Child Support Collections $ 27,255,646 $ 26,680,794 90263
4R4 600-665 BCII Services/Fees $ 136,974 $ 136,974 90264
5C9 600-671 Medicaid Program Support $ 54,686,270 $ 55,137,078 90265
5N1 600-677 County Technologies $ 5,000,000 $ 5,000,000 90266
613 600-645 Training Activities $ 135,000 $ 135,000 90267
TOTAL GSF General Services 90268
Fund Group $ 87,213,890 $ 87,089,846 90269

Federal Special Revenue Fund Group90270

3A2 600-641 Emergency Food Distribution $ 2,083,500 $ 2,187,675 90271
3D3 600-648 Children's Trust Fund Federal $ 2,040,524 $ 2,040,524 90272
3F0 600-623 Health Care Federal $ 391,658,105 $ 394,221,409 90273
3F0 600-650 Hospital Care Assurance Match $ 298,128,308 $ 305,879,644 90274
3G5 600-655 Interagency Reimbursement $ 1,180,523,642 $ 1,245,244,536 90275
3H7 600-617 Child Care Federal $ 224,539,425 $ 235,045,596 90276
3N0 600-628 IV-E Foster Care Maintenance $ 173,963,142 $ 173,963,142 90277
3S5 600-622 Child Support Projects $ 534,050 $ 534,050 90278
3V0 600-662 WIA Ohio Option #7 $ 87,407,014 $ 89,352,850 90279
3V0 600-688 Workforce Investment Act $ 93,636,390 $ 94,932,750 90280
3V4 600-678 Federal Unemployment Programs $ 153,690,682 $ 154,111,608 90281
3V4 600-679 Unemployment Compensation Review Commission - Federal $ 3,097,320 $ 2,860,297 90282
3V6 600-689 TANF Block Grant $ 786,095,609 $ 845,909,688 90283
3W3 600-659 TANF/Title XX $ 88,994,049 $ 93,498,158 90284
316 600-602 State and Local Training $ 11,212,594 $ 11,249,282 90285
327 600-606 Child Welfare $ 29,119,408 $ 28,665,728 90286
331 600-686 Federal Operating $ 48,237,185 $ 47,340,081 90287
365 600-681 JOB Training Program $ 5,000,000 $ 0 90288
384 600-610 Food Stamps and State Administration $ 134,560,572 $ 135,141,694 90289
385 600-614 Refugee Services $ 5,793,656 $ 5,841,407 90290
395 600-616 Special Activities/Child and Family Services $ 3,975,821 $ 3,975,821 90291
396 600-620 Social Services Block Grant $ 74,969,767 $ 74,986,134 90292
397 600-626 Child Support $ 304,157,939 $ 307,468,576 90293
398 600-627 Adoption Maintenance/ Administration $ 339,957,978 $ 340,104,370 90294
TOTAL FED Federal Special Revenue 90295
Fund Group $ 4,443,376,680 $ 4,594,555,020 90296

State Special Revenue Fund Group90297

198 600-647 Children's Trust Fund $ 4,336,109 $ 4,336,109 90298
4A9 600-607 Unemployment Compensation Admin Fund $ 8,001,000 $ 8,001,000 90299
4E3 600-605 Nursing Home Assessments $ 4,759,913 $ 4,759,914 90300
4E7 600-604 Child and Family Services Collections $ 300,000 $ 300,000 90301
4F1 600-609 Foundation Grants/Child and Family Services $ 119,310 $ 119,310 90302
4J5 600-613 Nursing Facility Bed Assessments $ 35,060,013 $ 35,064,238 90303
4J5 600-618 Residential State Supplement Payments $ 15,700,000 $ 15,700,000 90304
4K1 600-621 ICF/MR Bed Assessments $ 20,467,050 $ 20,428,726 90305
4R3 600-687 Banking Fees $ 892,000 $ 892,000 90306
4Z1 600-625 HealthCare Compliance $ 10,000,000 $ 10,000,000 90307
5A5 600-685 Unemployment Benefit Automation $ 14,000,000 $ 0 90308
5P5 600-692 Health Care Services $ 492,932,514 $ 515,947,439 90309
5Q9 600-619 Supplemental Inpatient Hospital Payments $ 30,797,539 $ 30,797,539 90310
5R2 600-608 Medicaid-Nursing Facilities $ 113,754,184 $ 113,754,184 90311
5S3 600-629 MR/DD Medicaid Administration and Oversight $ 1,620,960 $ 1,620,960 90312
5T2 600-652 Child Support Special Payment $ 1,500,000 $ 750,000 90313
5U3 600-654 Health Care Services Administration $ 7,576,322 $ 6,119,127 90314
5U6 600-663 Children and Family Support $ 4,929,718 $ 4,929,718 90315
651 600-649 Hospital Care Assurance Program Fund $ 208,634,072 $ 214,058,558 90316
TOTAL SSR State Special Revenue 90317
Fund Group $ 975,380,704 $ 987,578,822 90318

Agency Fund Group90319

192 600-646 Support Intercept - Federal $ 136,500,000 $ 136,500,000 90320
5B6 600-601 Food Stamp Intercept $ 5,000,000 $ 5,000,000 90321
583 600-642 Support Intercept - State $ 20,565,582 $ 20,565,582 90322
TOTAL AGY Agency Fund Group $ 162,065,582 $ 162,065,582 90323

Holding Account Redistribution Fund Group90324

R12 600-643 Refunds and Audit Settlements $ 5,343,906 $ 5,343,906 90325
R13 600-644 Forgery Collections 700,000 700,000 90326
TOTAL 090 Holding Account Redistribution Fund Group $ 6,043,906 $ 6,043,906 90327
TOTAL ALL BUDGET FUND GROUPS $ 15,392,156,168 $ 16,025,216,882 90328


       Section 59.01. OHIO COMMISSION TO REFORM MEDICAID90330

       The foregoing appropriation item 600-439, Commission to 90331
Reform Medicaid, shall be used to fund the Ohio Commission to 90332
Reform Medicaid.90333

       HEALTH CARE/MEDICAID90334

       The foregoing appropriation item 600-525, Health90335
Care/Medicaid, shall not be limited by the provisions of section90336
131.33 of the Revised Code.90337

       Section 59.02. CHILD SUPPORT COLLECTIONS/TANF MOE90338

       The foregoing appropriation item 600-658, Child Support90339
Collections, shall be used by the Department of Job and Family90340
Services to meet the TANF maintenance of effort requirements of90341
Pub. L. No. 104-193. After the state has met the maintenance of90342
effort requirement, the Department of Job and Family Services may90343
use funds from appropriation item 600-658 to support public90344
assistance activities.90345

       Section 59.03. MEDICAID PROGRAM SUPPORT FUND - STATE90346

       The foregoing appropriation item 600-671, Medicaid Program90347
Support, shall be used by the Department of Job and Family90348
Services to pay for Medicaid services and contracts. The 90349
Department may also deposit to Fund 5C9 revenues received from 90350
other state agencies for Medicaid services under the terms of 90351
interagency agreements between the Department and other state 90352
agencies.90353

       Section 59.04. HEALTH CARE SERVICES ADMINISTRATION90354

       The foregoing appropriation item 600-654, Health Care90355
Services Administration, shall be used by the Department of Job90356
and Family Services for costs associated with the administration90357
of the Medicaid program.90358

       Section 59.05. HEALTH CARE SERVICES ADMINISTRATION FUND90359

       Of the amount received by the Department of Job and Family90360
Services during fiscal year 2004 and fiscal year 2005 from the 90361
first installment of assessments paid under section 5112.06 of the 90362
Revised Code and intergovernmental transfers made under section 90363
5112.07 of the Revised Code, the Director of Job and Family 90364
Services shall deposit $350,000 in each fiscal year into the state 90365
treasury to the credit of the Health Care Services Administration 90366
Fund (Fund 5U3).90367

        HOSPITAL CARE ASSURANCE MATCH FUND90368

       Appropriation item 600-650, Hospital Care Assurance Match,90369
shall be used by the Department of Job and Family Services in90370
accordance with division (B) of section 5112.18 of the Revised90371
Code.90372

       Section 59.06. TANF FEDERAL BLOCK GRANT FUNDS AND TRANSFERS90373

       Upon the request of the Department of Job and Family90374
Services, the Director of Budget and Management may seek90375
Controlling Board approval to increase appropriations in90376
appropriation item 600-689, TANF Block Grant, provided sufficient90377
funds exist to do so without any corresponding decrease in other 90378
appropriation items. The Department of Job and Family Services 90379
shall provide the Director of Budget and Management and the 90380
Controlling Board with documentation to support the need for the90381
increased appropriation.90382

       All transfers of moneys from or charges against TANF Federal90383
Block Grant awards for use in the Social Services Block Grant or90384
the Child Care and Development Block Grant shall be done after the 90385
Department of Job and Family Services gives written notice to the 90386
Director of Budget and Management. The Department of Job and90387
Family Services shall first provide the Director of Budget and90388
Management with documentation to support the need for such90389
transfers or charges for use in the Social Services Block Grant or90390
in the Child Care and Development Block Grant.90391

       Before the thirtieth day of September of each fiscal year,90392
the Department of Job and Family Services shall file claims with90393
the United States Department of Health and Human Services for90394
reimbursement for all allowable expenditures for services provided90395
by the Department of Job and Family Services, or other agencies90396
that may qualify for Social Services Block Grant funding pursuant90397
to Title XX of the Social Security Act.90398

       On July 31, 2003, or as soon as possible thereafter, the 90399
Director of Budget and Management shall transfer the cash balance 90400
remaining in Fund 3G0, Jobs Administration, to Fund 3V6, TANF 90401
Block Grant. Fund 3G0 shall be abolished once this transfer has 90402
been completed.90403

       Section 59.07a. GOVERNOR'S OFFICE OF FAITH-BASED AND 90404
COMMUNITY INITIATIVES90405

       Of the foregoing appropriation item 600-659, TANF/Title XX, 90406
$625,000 in the fiscal year 2004-2005 biennium shall be used to 90407
support the activities of the Governor's Office of Faith-Based and 90408
Community Inititatives.90409

       OHIO ASSOCIATION OF SECOND HARVEST FOOD BANKS90410

       Of the foregoing appropriation item 600-659, TANF/Title XX 90411
(Fund 3W3), up to $4,500,000 in each fiscal year shall be used by 90412
the Department of Job and Family Services to support expenditures 90413
to the Ohio Association of Second Harvest Food Banks according to 90414
the following criteria.90415

       As used in this section, "federal poverty guidelines" has the 90416
same meaning as in section 5101.46 of the Revised Code.90417

       The Department of Job and Family Services shall provide an 90418
annual grant of $4,500,000 in each of the fiscal years 2004 and 90419
2005 to the Ohio Association of Second Harvest Food Banks. In each 90420
fiscal year, the Ohio Association of Second Harvest Food Banks 90421
shall use $2,500,000 for the purchase of food products for the 90422
Ohio Food Program, of which up to $105,000 may be used for food 90423
storage and transport, and shall use $2,000,000 for the 90424
Agricultural Surplus Production Alliance Project. Funds provided 90425
for the Ohio Food Program shall be used to purchase food products 90426
and to distribute those food products to agencies participating in 90427
the emergency food distribution program. No funds provided through 90428
this grant may be used for administrative expenses other than 90429
funds provided for food storage and transport. As soon as possible 90430
after entering into a grant agreement at the beginning of each 90431
fiscal year, the Department of Job and Family Services shall 90432
distribute the grant funds in one single payment. The Ohio 90433
Association of Second Harvest Food Banks shall develop a plan for 90434
the distribution of the food products to local food distribution 90435
agencies. Agencies receiving these food products shall ensure that 90436
individuals and families who receive any of the food products 90437
purchased with these funds have an income at or below 150 per cent 90438
of the federal poverty guidelines. The Department of Job and 90439
Family Services and the Ohio Association of Second Harvest Food 90440
Banks shall agree on reporting requirements to be incorporated 90441
into the grant agreement.90442

       The Ohio Association of Second Harvest Food Banks shall 90443
return any fiscal year 2004 funds from this grant remaining 90444
unspent on June 30, 2004, to the Department of Job and Family 90445
Services not later than November 1, 2004. The Ohio Association of 90446
Second Harvest Food Banks shall return any fiscal year 2005 funds 90447
from the grant remaining unspent on June 30, 2005, to the 90448
Department of Job and Family Services no later than November 1, 90449
2005.90450

       Section 59.08.A.1. OHIO ALLIANCE OF BOYS AND GIRLS CLUBS90451

       Of the foregoing appropriation item 600-659, TANF/Title XX 90452
(Fund 3W3), the Department of Job and Family Services shall use up 90453
to $600,000 in each fiscal year to support expenditures of the 90454
Ohio Alliance of Boys and Girls Clubs to provide nutritional 90455
meals, snacks, and educational and enrichment services to children 90456
participating in programs and activities operated by eligible Boys 90457
and Girls Clubs.90458

       The Department of Job and Family Services shall provide an 90459
annual grant of $600,000 in each fiscal year to the Ohio Alliance 90460
of Boys and Girls Clubs. As soon as possible after entering into a 90461
grant agreement at the beginning of each fiscal year, the 90462
Department of Job and Family Services shall distribute the grant 90463
funds in one single payment. The Department of Job and Family 90464
Services and the Ohio Alliance of Boys and Girls Clubs shall agree 90465
on reporting requirements to be incorporated into the grant 90466
agreement.90467

       The Ohio Alliance of Boys and Girls Clubs shall return any 90468
fiscal year 2004 funds from the grant remaining unspent on June 90469
30, 2004, to the Ohio Department of Job and Family Services not 90470
later than November 1, 2004. The Ohio Alliance of Boys and Girls 90471
Clubs shall return any fiscal year 2005 funds from this grant 90472
remaining unspent on June 30, 2005, to the Ohio Department of Job 90473
and Family Services not later than November 1, 2005.90474

       Section 59.09b. ADULT PROTECTIVE SERVICES90475

       Of the foregoing appropriation item 600-659, TANF/Title XX 90476
(Fund 3W3), up to $2,700,000 in each fiscal year shall be used by 90477
the Department of Job and Family Services to reimburse county 90478
departments of job and family services for all or part of the 90479
costs they incur in providing adult protective services pursuant 90480
to sections 5101.60 to 5101.71 of the Revised Code.90481

       Section 59.10. In order to assure that the Maintenance of 90482
Effort funding for the TANF block grant is sufficient, the 90483
Director of Job and Family Services may request that the Director 90484
of Budget and Management transfer cash from Fund 5T2, Child 90485
Support Special Payment, to Fund 4A8, Child Support Collections, 90486
as needed. This additional funding is hereby appropriated.90487

       Section 59.11. PRESCRIPTION DRUG REBATE FUND90488

       The foregoing appropriation item 600-692, Health Care90489
Services, shall be used by the Department of Job and Family90490
Services in accordance with section 5111.081 of the Revised Code. 90491
Moneys recovered by the Department pursuant to the Department's 90492
rights of recovery under section 5101.58 of the Revised Code, that 90493
are not directed to the Health Care Services Administration Fund 90494
(Fund 5U3) pursuant to section 5111.94 of the Revised Code shall 90495
also be deposited into Fund 5P5.90496

       Section 59.12. ODJFS FUNDS90497

       AGENCY FUND GROUP90498

       The Agency Fund Group shall be used to hold revenues until90499
the appropriate fund is determined or until they are directed to90500
the appropriate governmental agency other than the Department of90501
Job and Family Services. If it is determined that additional90502
appropriation authority is necessary, such amounts are hereby90503
appropriated.90504

       HOLDING ACCOUNT REDISTRIBUTION GROUP90505

       The foregoing appropriation items 600-643, Refunds and Audit90506
Settlements, and 600-644, Forgery Collections, Holding Account90507
Redistribution Fund Group, shall be used to hold revenues until90508
they are directed to the appropriate accounts or until they are90509
refunded. If it is determined that additional appropriation90510
authority is necessary, such amounts are hereby appropriated.90511

       Section 59.13. CONSOLIDATED FUNDING ALLOCATION FOR COUNTY 90512
DEPARTMENTS OF JOB AND FAMILY SERVICES90513

       Using the foregoing appropriation items 600-521, Family 90514
Stability Subsidy; 600-659, TANF/Title XX; 600-610, Food Stamps 90515
and State Administration; 600-410, TANF State; 600-689, TANF Block90516
Grant; 600-620, Social Services Block Grant; 600-523, Children and 90517
Families Subsidy; 600-413, Child Care Match/Maintenance of Effort;90518
600-617, Child Care Federal; 600-623, Health Care Federal; and 90519
600-614, Refugees Services, the Department of Job and Family90520
Services may establish a consolidated allocation for county 90521
departments of job and family services to the extent authorized by 90522
Sections 5101.21 and 5101.211 of the Revised Code and rules 90523
adopted under Section 5101.21 of the Revised Code. The county 90524
department is not required to use all the money from one or more 90525
of the appropriation items listed in this paragraph for the90526
purpose for which the specific appropriation item is made so long 90527
as the county department uses the money for a purpose for which at 90528
least one of the other of those appropriation items is made. The90529
county department may not use the money in the consolidated 90530
allocation for a purpose other than a purpose any of those90531
appropriation items are made. The county department shall use the 90532
money in the consolidated allocation in accordance with section 90533
5101.21 of the Revised Code and rules adopted under that section.90534

       If the spending estimates used in establishing the single90535
allocation are not realized and the county department uses money90536
in one or more of those appropriation items in a manner for which90537
federal financial participation is not available, the department90538
shall use state funds available in one or more of those90539
appropriation items to ensure that the county department receives90540
the full amount of its allocation and complete a reconciliation at 90541
the end of the fiscal year to appropriately align cash draws with 90542
expenditures related to state and federal claims.90543

        To facilitate this reconciliation, before the thirty-first 90544
day of May of the current fiscal year and after the conclusion of 90545
the county reconciliation process for the previous fiscal year, 90546
the Director of Job and Family Services may request that the 90547
Director of Budget and Management transfer cash between the funds 90548
that make-up the consolidated allocation to the county departments 90549
of job and family services. The consolidated allocation is the 90550
mazimum amount the county department shall recieve from those 90551
appropriation items.90552

       A county department not receiving a consolidated allocation 90553
shall comply with section 5101.213 of the Revised Code and the 90554
rules adopted under that section.90555

       Section 59.14. TRANSFER OF FUNDS90556

       The Department of Job and Family Services shall transfer,90557
through intrastate transfer vouchers, cash from State Special90558
Revenue Fund 4K1, ICF/MR Bed Assessments, to fund 4K8, Home and90559
Community-Based Services, in the Ohio Department of Mental90560
Retardation and Developmental Disabilities. The sum of the90561
transfers shall equal $12,000,000 in fiscal year 2004 and90562
$12,000,000 in fiscal year 2005. The transfer may occur on a90563
quarterly basis or on a schedule developed and agreed to by both90564
departments.90565

       The Department of Job and Family Services shall transfer,90566
through intrastate transfer vouchers, cash from the State Special90567
Revenue Fund 4J5, Home and Community-Based Services for the Aged,90568
to Fund 4J4, PASSPORT, in the Department of Aging. The sum of the90569
transfers shall be $33,268,052 in fiscal year 2004 and $33,263,984 90570
in fiscal year 2005. The transfer may occur on a quarterly basis 90571
or on a schedule developed and agreed to by both departments.90572

       TRANSFERS OF IMD/DSH CASH90573

       The Department of Job and Family Services shall transfer,90574
through intrastate transfer voucher, cash from fund 5C9, Medicaid90575
Program Support, to the Department of Mental Health's Fund 4X5,90576
OhioCare, in accordance with an interagency agreement which90577
delegates authority from the Department of Job and Family Services90578
to the Department of Mental Health to administer specified90579
Medicaid services.90580

       Section 59.15. EMPLOYER SURCHARGE90581

       The surcharge and the interest on the surcharge amounts due90582
for calendar years 1988, 1989, and 1990 as required by Am. Sub.90583
H.B. 171 of the 117th General Assembly, Am. Sub. H.B. 111 of the90584
118th General Assembly, and section 4141.251 of the Revised Code90585
as it existed prior to Sub. H.B. 478 of the 122nd General90586
Assembly, again shall be assessed and collected by, accounted for,90587
and made available to the Department of Job and Family Services in90588
the same manner as set forth in section 4141.251 of the Revised90589
Code as it existed prior to Sub. H.B. 478 of the 122nd General90590
Assembly, notwithstanding the repeal of the surcharge for calendar90591
years after 1990, pursuant to Sub. H.B. 478 of the 122nd General90592
Assembly, except that amounts received by the Director on or after90593
July 1, 2001, shall be deposited into the special administrative90594
fund established pursuant to section 4141.11 of the Revised Code.90595

       Section 59.16. FUNDING FOR HABILITATIVE SERVICES90596

       Notwithstanding any limitations contained in sections 5112.3190597
and 5112.37 of the Revised Code, in each fiscal year, cash from90598
State Special Revenue Fund 4K1, ICF/MR Bed Assessments, in excess90599
of the amounts needed for transfers to Fund 4K8 may be used by the90600
Department of Job and Family Services to cover costs of care90601
provided to participants in a waiver with an ICF/MR level of care 90602
requirement administered by the Department of Job and Family90603
Services.90604

       Section 59.17. FUNDING FOR INSTITUTIONAL FACILITY AUDITS AND90605
THE OHIO ACCESS SUCCESS PROJECT90606

       Notwithstanding any limitations in sections 3721.51 and90607
3721.56 of the Revised Code, in each fiscal year, cash from the90608
State Special Revenue Fund 4J5, Home and Community-Based Services90609
for the Aged, in excess of the amounts needed for the transfers90610
may be used by the Department of Job and Family Services for the90611
following purposes: (A) up to $1.0 million in each fiscal year to90612
fund the state share of audits of Medicaid cost reports filed with90613
the Department of Job and Family Services by nursing facilities90614
and intermediate care facilities for the mentally retarded; and90615
(B) up to $350,000 in fiscal year 2004 and up to $350,000 in90616
fiscal year 2005 to provide one-time transitional benefits under90617
the Ohio Access Success Project that the Director of Job and90618
Family Services may establish under section 5111.88 of the Revised 90619
Code.90620

       Section 59.18. REFUND OF SETS PENALTY90621

       The Department of Job and Family Services shall deposit any 90622
refunds for penalties that were paid directly or indirectly by the 90623
state for the Support Enforcement Tracking System (SETS) to Fund90624
3V6, TANF Block Grant.90625

       Section 59.19. PROGRAM OF ALL-INCLUSIVE CARE FOR THE ELDERLY90626

       The Director of Job and Family Services may submit to the90627
United States Secretary of Health and Human Services a request to90628
transfer the day-to-day administration of the Program of 90629
All-Inclusive Care for the Elderly, known as PACE, in accordance 90630
with 42 U.S.C. 1396u-4, to the Department of Aging. If the United90631
States Secretary approves the transfer, the Directors of Job and90632
Family Services and Aging may enter into an interagency agreement90633
under section 5111.86 of the Revised Code to transfer90634
responsibility for the day-to-day administration of PACE from the90635
Department of Job and Family Services to the Department of Aging.90636
The interagency agreement is subject to the approval of the90637
Director of Budget and Management and shall include an estimated90638
cost of services to be provided under PACE and an estimated cost90639
for the administrative duties assigned by the agreement to the90640
Department of Aging.90641

       If the Directors of Job and Family Services and Aging enter90642
into the interagency agreement, the Director of Budget and90643
Management shall reduce the amount in appropriation item 600-525,90644
Health Care/Medicaid, by the estimated costs of PACE. If the 90645
Director of Budget and Management makes the reduction, the state 90646
and federal share of the estimated costs of PACE services and 90647
administration is hereby appropriated to the Department of Aging. 90648
The Director of Budget and Management shall establish a new 90649
appropriation item for the appropriation.90650

       Section 59.20. APPROPRIATIONS FROM FUND 3V090651

       Upon the request of the Department of Job and Family 90652
Services, the Director of Budget and Management may increase 90653
appropriations in either appropriation item 600-662, WIA Ohio 90654
Option #7, Fund 3V0 or in appropriation item 600-688, Workforce 90655
Investment Act, Fund 3V0, with a corresponding decrease in the 90656
other appropriation item supported by Fund 3V0 to allow counties 90657
that administer the Workforce Investment Act as a conventional 90658
county to administer the Act as an Ohio Option county or to allow 90659
counties that administer the Workforce Investment Act as an Ohio 90660
Option county to administer the Act as a conventional county.90661

       JOBS FOR OHIO GRADUATES PROGRAM90662

        Pursuant to an interagency agreement entered into between the 90663
Department of Job and Family Services and the Department of 90664
Education, $3,500,000 from Workforce Investment Act funds (Fund 90665
3V0), reserved for statewide workforce investment activities, in 90666
fiscal year 2004 and fiscal year 2005, shall be used to support 90667
the Jobs for Ohio Graduates programs administered by the 90668
Department of Education.90669

       WORKFORCE DEVELOPMENT GRANT AGREEMENT90670

       The Department of Job and Family Services may use 90671
appropriations from appropriation item 600-662, WIA Ohio Option 90672
#7, or from appropriation item 600-688, Workforce Investment Act, 90673
to provide financial assistance for workforce development 90674
activities included in a grant agreement entered into by the 90675
department in accordance with section 5101.20 of the Revised Code.90676

       Section 59.21.  FEDERAL UNEMPLOYMENT PROGRAMS90677

       There is hereby appropriated out of funds made available to 90678
the state under section 903(d) of the Social Security Act, as 90679
amended, $53,700,000 for fiscal year 2004 and $47,300,000 for 90680
fiscal year 2005. Upon the request of the Director of Job and 90681
Family Services, the Director of Budget and Management shall 90682
increase the appropriation for fiscal year 2004 by the amount 90683
remaining unspent from the fiscal year 2003 appropriation and 90684
shall increase the appropriation for fiscal year 2005 by the 90685
amount remaining unspent from the fiscal year 2004 appropriation. 90686
The appropriation is to be used under the direction of the 90687
Department of Job and Family Services to pay for administrative 90688
activities for the Unemployment Insurance Program, employment 90689
services, and other allowable expenditures under section 903(d) of 90690
the Social Security Act, as amended.90691

       The amounts obligated pursuant to this section shall not 90692
exceed at any time the amount by which the aggregate of the 90693
amounts transferred to the account of the state pursuant to 90694
section 903(d) of the Social Security Act, as amended, exceeds the 90695
aggregate of the amounts obligated for administration and paid out 90696
for benefits and required by law to be charged against the amounts 90697
transferred to the account of the state.90698

       Of the appropriation item 600-678, Federal Unemployment 90699
Programs, in Section 63 of Am. Sub. H.B. 94 of the 124th General 90700
Assembly, as amended, up to $18,000,000 in fiscal year 2004 and up 90701
to $18,000,000 in fiscal year 2005 shall be used by the Department 90702
of Job and Family Services to reimburse the General Revenue Fund, 90703
through state intrastate transfer vouchers, for expenses incurred 90704
on or after the effective date of this section from the General 90705
Revenue Fund for the aforementioned programs as reported to the 90706
federal government as allowable expenditures.90707

       Section 59.22. MEDICAID PAYMENT TO CHILDREN'S HOSPITALS90708

       As used in this section, "children's hospital" has the same 90709
meaning as in section 3702.51 of the Revised Code.90710

       For fiscal years 2004 and 2005, the Medicaid payment to 90711
children's hospitals shall include the adjustment for inflation 90712
provided for by paragraph (G) of rule 5101:3-2-074 of the 90713
Administrative Code as that paragraph existed on December 30, 90714
2002. 90715

       The Department of Job and Family Services shall pay to each 90716
children's hospital participating in the Medicaid program an 90717
amount equal to the difference between (1) the amount the hospital 90718
would have been paid under rule 5101:3-2-074 of the Administrative 90719
Code for the period beginning January 1, 2003, and ending May 31, 90720
2003, if the amendment to paragraph (G) of that rule that went 90721
into effect on December 31, 2002, had not gone into effect and (2) 90722
the amount that the hospital was paid under that rule for that 90723
period.90724

       Section 59.23. MEDICAID PAYMENTS FOR OUTPATIENT HOSPITAL 90725
SERVICES90726

        As used in this section, "hospital" does not include a 90727
children's hospital as defined in the section of this act titled 90728
MEDICAID PAYMENT TO CHILDREN'S HOSPITALS.90729

        The Department of Job and Family Services shall increase the 90730
total amount the Department pays all hospitals under the Medicaid 90731
Program for outpatient services provided during the period 90732
beginning July 1, 2003, and ending June 30, 2004, to the maximum 90733
extent possible using $9,811,136 from the foregoing appropriation 90734
item 600-525, Health Care/Medicaid. The Department of Job and 90735
Family Services shall also increase the total amount the 90736
Department pays all hospitals under the Medicaid Program for 90737
outpatient services provided during the period beginning July 1, 90738
2004, and ending June 30, 2005, to the maximum extent possible 90739
using $9,811,136 from the foregoing appropriation item 600-525, 90740
Health Care/Medicaid. The Department shall make the increase in 90741
accordance with an inflation adjustment factor for outpatient 90742
hospital services established in rules the Director of Job and 90743
Family Services shall adopt in accordance with Chapter 119. of the 90744
Revised Code.90745

       Section 59.24. CHILD CARE90746

       (A) Notwithstanding any other provision of law, the Director 90747
of Job and Family Services shall not reduce the initial and 90748
continued eligibility level for publicly funded child care below 90749
one hundred fifty per cent of the federal poverty line during 90750
fiscal years 2004 and 2005.90751

        (B) Notwithstanding division (B) of section 5104.39 of the 90752
Revised Code, the Director of Job and Family Services shall not, 90753
during fiscal years 2004 and 2005, disenroll publicly funded child 90754
care program participants who have incomes at or below 165 per 90755
cent of the federal poverty line and do not otherwise cease to 90756
qualify for the program, if one of the following applies:90757

        (1) The family enrolled in the program before June 9, 2003;90758

        (2) The family enrolled in the program when the family's 90759
income was at or below 150 per cent of the federal poverty line.90760

       Section 59.25. MEDICAID COVERAGE OF DENTAL SERVICES90761

       For fiscal years 2004 and 2005, the Medicaid program shall 90762
continue to cover dental services in at least the amount, 90763
duration, and scope that it does on the effective date of this 90764
section under rules governing Medicaid coverage of dental services 90765
adopted under section 5111.02 of the Revised Code.90766

       Section 59.26. MEDICAID COVERAGE OF VISION SERVICES90767

       For fiscal years 2004 and 2005, the Medicaid program shall 90768
continue to cover vision care services in at least the amount, 90769
duration, and scope that it does on the effective date of this 90770
section under rules governing Medicaid coverage of vision care 90771
services under section 5111.02 of the Revised Code.90772

       Section 59.27. MEDICAID COVERAGE OF PODIATRIC SERVICES90773

       For fiscal years 2004 and 2005, the Medicaid program shall 90774
continue to cover podiatric services in at least the amount, 90775
scope, and duration that it does on the effective date of this 90776
section under rules governing Medicaid coverage of podiatric 90777
services adopted under section 5111.02 of the Revised Code.90778

       Section 59.28. WELFARE DIVERSION PROGRAMS90779

       Of the foregoing appropriation item 600-521, Family Stability 90780
Subsidy, prior to county distribution, $1,250,000 in each fiscal 90781
year shall be used to support specific welfare diversion programs. 90782
In each fiscal year, Accountability and Credibility Together (ACT) 90783
shall receive $1,000,000 of the $1,250,000 to continue its welfare 90784
diversion program. In each fiscal year, $250,000 of the $1,250,000 90785
shall be used to establish a welfare diversion demonstration 90786
project in Butler County. The demonstration project shall be 90787
administered by the Butler County United Way.90788

       Section 59.29. OHIO COMMISSION TO REFORM MEDICAID90789

       There is hereby established the Ohio Commission to Reform 90790
Medicaid, which shall consist of nine members: three appointed by 90791
the Governor, three by the Speaker of the House of 90792
Representatives, and three by the President of the Senate. 90793
Appointments shall be made not later than ninety days after the 90794
effective date of this section. All members shall serve at the 90795
pleasure of the appointing authority. Members shall serve without 90796
compensation. Vacancies shall be filled in the manner of original 90797
appointments.90798

       The Commission shall conduct a complete review of the state 90799
Medicaid program and shall make recommendations for comprehensive 90800
reform and cost containment. The Commission shall submit a report 90801
of its findings and recommendations to the Governor, Speaker, and 90802
Senate President not later than January 1, 2005.90803

       The Commission may hire a staff director and additional 90804
employees to provide technical support.90805

       The Director of Job and Family Services shall, on behalf of 90806
the Commission, seek federal financial participation for the 90807
administrative costs of the Commission.90808

       Section 59.30. (A) As used in this section, "intermediate 90809
care facility for the mentally retarded" has the same meaning as 90810
in section 5111.20 of the Revised Code.90811

       (B) Except as provided in divisions (C) and (D) of this 90812
section and notwithstanding Chapter 5111. of the Revised Code, the 90813
number of intermediate care facility for the mentally retarded 90814
beds eligible for Medicaid payments during fiscal years 2004 and 90815
2005 shall not be higher than the number of such beds eligible for 90816
such payments on the effective date of this section. Not later 90817
than July 15, 2003, the Department of Job and Family Services 90818
shall inform the Office of Budget and Management how many 90819
intermediate care facility for the mentally retarded beds are 90820
eligible for Medicaid payments on the effective date of this 90821
section.90822

       (C) The Department of Job and Family Services may issue one 90823
or more waivers of division (B) of this section in the event that 90824
an emergency, as determined by the Department, exists. In 90825
determining whether to issue a waiver, the Department of Job and 90826
Family Services shall consider the recommendation of the 90827
Department of Mental Retardation and Developmental Disabilities.90828

       (D) A bed in an intermediate care facility for the mentally 90829
retarded that obtains a residential facility license under section 90830
5123.19 of the Revised Code pursuant to section 5123.1910 of the 90831
Revised Code and is otherwise eligible to receive Medicaid 90832
payments may receive Medicaid payments during fiscal years 2004 90833
and 2005 regardless of whether that will result in there being 90834
more beds eligible for Medicaid payments than is permitted by 90835
division (B) of this section.90836

       Section 59.31. DISABILITY ASSISTANCE TRANSITION90837

       (A) Subject to the provisions of Chapter 5115. of the Revised 90838
Code, as amended, enacted, and repealed by this act, the 90839
Disability Financial Assistance Program constitutes a continuation 90840
of the financial assistance component of the Disability Assistance 90841
Program established under Chapter 5115. of the Revised Code, as it 90842
existed prior to the effective date of this section, and the 90843
Disability Medical Assistance Program constitutes a continuation 90844
of the medical assistance component of the Disability Assistance 90845
Program.90846

        Any business commenced but not completed on behalf of the 90847
Disability Assistance Program shall be completed in the same 90848
manner, and with the same effect, on behalf of the Disability 90849
Financial Assistance Program and the Disability Medical Assistance 90850
Program.90851

       Except as provided in divisions (B) and (C) of this section, 90852
all rules, orders, and determinations regarding the Disability 90853
Assistance Program continue in effect as rules, orders, and 90854
determinations regarding the Disability Financial Assistance 90855
Program and the Disability Medical Assistance Program, until 90856
modified or rescinded.90857

        Wherever the Disability Assistance Program is referred to in 90858
any law, contract, or other document, the reference shall be 90859
deemed to refer to the Disability Financial Assistance Program or 90860
the Disability Medical Assistance Program, whichever is 90861
appropriate.90862

       (B) Notwithstanding any determination through administrative 90863
or judicial order or otherwise, a person who was receiving 90864
financial assistance under the Disability Assistance Program prior 90865
to the effective date of this section ceases to be eligible for 90866
continued financial assistance under the Disability Financial 90867
Assistance Program on the effective date of this section, unless 90868
one of the following is the case:90869

       (1) The person was receiving the assistance on the basis of 90870
being age 60 or older or on the basis of being unable to do any 90871
substantial or gainful activity by reason of a medically 90872
determinable physical or mental impairment that can be expected to 90873
result in death or has lasted or can be expected to last for not 90874
less than nine months.90875

        (2) The person was receiving the assistance by meeting other 90876
eligibility requirements but applies for Disability Financial 90877
Assistance pursuant to section 5115.05 of the Revised Code, as 90878
amended by this act, and receives a determination of eligibility 90879
by meeting the requirements specified in section 5115.01 of the 90880
Revised Code, as amended by this act.90881

        (C) Notwithstanding the provisions of section 5115.10 of the 90882
Revised Code, as amended by this act, that limit eligibility for 90883
disability medical assistance to persons determined to be 90884
medication dependent, both of the following apply:90885

       (1) The Director of Job and Family Services may adopt rules 90886
in accordance with section 111.15 of the Revised Code providing 90887
for and governing temporary provision of disability medical 90888
assistance to persons who were recipients of medical assistance 90889
under the Disability Assistance Program prior to the effective 90890
date of this section.90891

       (2) A person's eligibility for disability medical assistance 90892
may continue pursuant to the rules adopted under division (C)(1) 90893
of this section until the state or county department of job and 90894
family services conducts a redetermination of the person's 90895
eligibility in accordance with the requirement that recipients be 90896
medication dependent, unless the person otherwise becomes 90897
ineligible for disability medical assistance.90898

       Section 59.32. DISABILITY FINANCIAL ASSISTANCE FOR RESIDENTS 90899
OF TREATMENT CENTERS90900

       Notwithstanding any other law to the contrary, up to 90901
$2,176,269 in appropriation item 600-511, Disability Financial 90902
Assistance, shall be used in each fiscal year for services for 90903
residents of residential treatment centers certified as an alcohol 90904
or drug addiction program by the Department of Alcohol and Drug 90905
Addiction Services under section 3793.06 of the Revised Code.90906

       Section 59.33. Of the foregoing appropriation item 600-689, 90907
TANF Block Grant, $57,170,000 in fiscal year 2004 shall be used 90908
for the Head Start Program pursuant to an interagency agreement 90909
entered into by Department of Job and Family Services and the 90910
Department of Education under division (A)(2) of section 5101.801 90911
of the Revised Code. Of that amount, $5,000,000 shall be used to 90912
provide Head Start slots in fiscal year 2004 that would otherwise 90913
not be available.90914

       Of the foregoing appropriation item 600-689, TANF Block 90915
Grant, $108,184,000 in fiscal year 2005 shall be used for the Head 90916
Start Plus Program pursuant to an interagency agreement entered 90917
into by Department of Job and Family Services and the Department 90918
of Education under division (A)(2) of section 5101.801 of the 90919
Revised Code. Of that amount, $5,000,000 shall be used to ensure 90920
that Head Start Plus provider payments reflect service rendered in 90921
fiscal year 2005.90922

       Section 59.34. STUDY OF MEDICAID COVERAGE FOR BREAST AND 90923
CERVICAL CANCER TREATMENT90924

        (A) The Department of Job and Family Services shall conduct a 90925
study of the feasibility of expanding the Medicaid coverage 90926
provided under section 5111.0110 of the Revised Code pursuant to 90927
the "Breast and Cervical Cancer Prevention and Treatment Act of 90928
2000," 114 Stat. 1381, 42 U.S.C. 1396a, as amended. In particular, 90929
the Department shall study the extension of coverage to women who 90930
receive breast and cervical cancer screenings that are not 90931
directly paid for with federal funds obtained under Title XV of 90932
the "Public Health Service Act," 104 Stat. 409 (1990), 42 U.S.C., 90933
as amended. The study of this extension shall include 90934
consideration of both of the following options, as specified by 90935
the federal Centers for Medicare and Medicaid Services:90936

        (1) Coverage of women who have been screened under a Title 90937
XV-funded Centers for Disease Control and Prevention Breast and 90938
Cervical Cancer Early Detection Program in which their particular 90939
clinical services were not paid for with Title XV funds, but the 90940
services were rendered by a provider or an entity funded at least 90941
in part with Title XV funds, and the services were within the 90942
scope of a grant, sub-grant, or contract under the breast and 90943
cervical cancer early detection program and the Title XV grantee 90944
has elected to include such screening activities by that provider 90945
or entity as screening activities pursuant to Title XV;90946

        (2) Coverage of women who have been screened by any other 90947
provider or entity and the Title XV grantee has elected to include 90948
screening activities by that provider or entity as screening 90949
activities pursuant to Title XV.90950

        (B) Not later than June 1, 2004, the Department shall 90951
complete its study and prepare a report of its findings and 90952
recommendations. The Department shall submit a copy of its report 90953
to the President of the Senate, Speaker of the House of 90954
Representatives, and Director of Budget and Management. Copies of 90955
the report shall be made available to the public on request.90956

       Section 59.35. Pursuant to 7 U.S.C. 2015(o)(4)(A)(i), the 90957
Department of Job and Family Services shall request that the 90958
United States Secretary of Agriculture waive the applicability of 90959
the work requirement of 7 U.S.C. 2015(o)(2) during fiscal years 90960
2004 and 2005 to food stamp benefit recipients who reside in a 90961
county of this state that the Department determines has had an 90962
unemployment rate of over 10 per cent for each of the four months 90963
before the month in which the waiver is in effect for the county. 90964
The Department shall make monthly determinations of which counties 90965
the waiver shall be in effect in. No individual may be exempted 90966
from the work requirements for more than a total of nine months 90967
beginning July 1, 2003, and ending June 30, 2005.90968

       The Department shall report to the Speaker and Minority 90969
Leader of the House of Representatives and President and Minority 90970
Leader of the Senate on receipt or rejection of the waiver sought 90971
under this section.90972

       Section 59.36.  MEDICAID PER DIEM ADJUSTMENTS FOR ICFs/MR90973

       (A) As used in this section:90974

       (1) "Intermediate care facility for the mentally retarded" 90975
has the same meaning as in section 5111.20 of the Revised Code.90976

       (2) "Medicaid days" means all days during which a resident 90977
who is a Medicaid recipient occupies a bed in an intermediate care 90978
facility for the mentally retarded that is included in the 90979
facility's certified capacity under Title XIX of the "Social 90980
Security Act," 79 Stat. 286 (1965), 42 U.S.C. 1396, as amended. 90981
Therapeutic or hospital leave days for which payment is made under 90982
section 5111.33 of the Revised Code are considered Medicaid days 90983
proportionate to the percentage of the intermediate care facility 90984
for the mentally retarded's per resident per day rate paid for 90985
those days.90986

       (3) "Per diem rate" means the per diem rate calculated 90987
pursuant to Chapter 5111. of the Revised Code.90988

       (B) Notwithstanding Chapter 5111. of the Revised Code, rates 90989
paid to intermediate care facilities for the mentally retarded 90990
under the Medicaid program shall be subject to the following 90991
limitations:90992

       (1) For fiscal year 2004, the mean total per diem rate for 90993
all intermediate care facilities for the mentally retarded in the 90994
state, weighted by May 2003 Medicaid days and calculated as of 90995
July 1, 2003, shall not exceed $221.43.90996

       (2) For fiscal year 2005, the mean total per diem rate for 90997
all intermediate care facilities for the mentally retarded in the 90998
state, weighted by May 2004 Medicaid days and calculated as of 90999
July 1, 2004, shall not exceed $225.86.91000

       (3) If the mean total per diem rate for all intermediate care 91001
facilities for the mentally retarded in the state for fiscal year 91002
2004 or 2005, weighted by Medicaid days as specified in division 91003
(B)(1) or (2) of this section, as appropriate, and calculated as 91004
of the first day of July of the calendar year in which the fiscal 91005
year begins, exceeds the amount specified in division (B)(1) or 91006
(2) of this section, as applicable, the Department of Job and 91007
Family Services shall reduce the total per diem rate for each 91008
intermediate care facility for the mentally retarded in the state 91009
by a percentage that is equal to the percentage by which the mean 91010
total per diem rate exceeds the amount specified in division 91011
(B)(1) or (2) of this section for that fiscal year.91012

       (4) Subsequent to any reduction required by division (B)(3) 91013
of this section, the rate of an intermediate care facility for the 91014
mentally retarded shall be subject to any adjustments required or 91015
authorized by Chapter 5111. of the Revised Code during the 91016
remainder of the year.91017

       Section 59.37. MEDICAID PER DIEM ADJUSTMENTS FOR NURSING 91018
FACILITIES91019

       (A) As used in this section:91020

       (1) "Medicaid days" means all days during which a resident91021
who is a Medicaid recipient occupies a bed in a nursing facility91022
that is included in the facility's certified capacity under Title91023
XIX of the "Social Security Act," 79 Stat. 286 (1965), 42 U.S.C.91024
1396, as amended. Therapeutic or hospital leave days for which91025
payment is made under section 5111.33 of the Revised Code are91026
considered Medicaid days proportionate to the percentage of the91027
nursing facility's per resident per day rate paid for those days.91028

       (2) "Nursing facility" has the same meaning as in section91029
5111.20 of the Revised Code.91030

       (3) "Per diem rate" means the per diem rate calculated 91031
pursuant to Chapter 5111. of the Revised Code and includes the 91032
payments made to nursing facilities under division (B) of section 91033
63.37 of Am. Sub. H.B. 94 of the 124th General Assembly, as most 91034
recently amended by this act.91035

       (B) Notwithstanding Chapter 5111. of the Revised Code, rates 91036
paid to nursing facilities under the Medicaid program shall be 91037
subject to the following limitations:91038

       (1) For fiscal year 2004, the mean total per diem rate for91039
all nursing facilities in the state, weighted by May 2003 Medicaid 91040
days and calculated as of July 1, 2003, shall not exceed $156.68.91041

       (2) For fiscal year 2005, the mean total per diem rate for91042
all nursing facilities in the state, weighted by May 2004 Medicaid 91043
days and calculated as of July 1, 2004, shall not exceed $159.00, 91044
plus any difference between $156.68 and the mean total per diem 91045
rate for all nursing facilities in the state for fiscal year 2004, 91046
weighted by Medicaid days and calculated as of July 1, 2003.91047

       (3) If the mean total per diem rate for all nursing91048
facilities in the state for fiscal year 2004 or 2005, weighted by91049
Medicaid days as specified in division (B)(1) or (2) of this 91050
section, as appropriate, and calculated as of the first day of 91051
July of the calendar year in which the fiscal year begins, exceeds 91052
the amount specified for that fiscal year in division (B)(1) or 91053
(2) of this section, the Department of Job and Family Services 91054
shall reduce the total per diem rate for each nursing facility in 91055
the state by a percentage that is equal to the percentage by which 91056
the mean total per diem rate exceeds the amount specified in 91057
division (B)(1) or (2) of this section for that fiscal year.91058

       (4) Subsequent to any reduction required by division (B)(3) 91059
of this section, a nursing facility's rate shall be subject to any 91060
adjustments required or authorized by Chapter 5111. of the Revised 91061
Code during the remainder of the fiscal year.91062

       (C) Except as follows, the Department of Job and Family91063
Services shall continue to implement rules adopted under Chapter 91064
5111. of the Revised Code regarding Medicaid payments to nursing 91065
facilities that are in effect on the effective date of this 91066
section:91067

       (1) The Department shall not continue to implement a rule91068
that is inconsistent with this act, but shall instead implement91069
this act.91070

       (2) The Department may adopt, amend, or rescind rules under91071
Chapter 5111. of the Revised Code as provided by those sections to 91072
the extent those sections are consistent with this act.91073

       Section 60.  JCO JUDICIAL CONFERENCE OF OHIO91074

General Revenue Fund91075

GRF 018-321 Operating Expenses $ 962,000 $ 957,000 91076
TOTAL GRF General Revenue Fund $ 962,000 $ 957,000 91077

General Services Fund Group91078

403 018-601 Ohio Jury Instructions $ 200,000 $ 200,000 91079
TOTAL GSF General Services Fund Group $ 200,000 $ 200,000 91080
TOTAL ALL BUDGET FUND GROUPS $ 1,162,000 $ 1,157,000 91081

       STATE COUNCIL OF UNIFORM STATE LAWS91082

       Notwithstanding section 105.26 of the Revised Code, of the91083
foregoing appropriation item 018-321, Operating Expenses, up to91084
$63,000 in fiscal year 2004 and up to $66,000 in fiscal year 200591085
may be used to pay the expenses of the State Council of Uniform91086
State Laws, including membership dues to the National Conference91087
of Commissioners on Uniform State Laws.91088

       OHIO JURY INSTRUCTIONS FUND91089

       The Ohio Jury Instructions Fund (Fund 403) shall consist of91090
grants, royalties, dues, conference fees, bequests, devises, and91091
other gifts received for the purpose of supporting costs incurred91092
by the Judicial Conference of Ohio in dispensing educational and91093
informational data to the state's judicial system. Fund 403 shall91094
be used by the Judicial Conference of Ohio to pay expenses91095
incurred in dispensing educational and informational data to the91096
state's judicial system. All moneys accruing to Fund 403 in excess 91097
of $200,000 in fiscal year 2004 and in excess of $200,000 in 91098
fiscal year 2005 are hereby appropriated for the purposes91099
authorized.91100

       No money in the Ohio Jury Instructions Fund shall be91101
transferred to any other fund by the Director of Budget and91102
Management or the Controlling Board.91103

       Section 61.  JSC THE JUDICIARY/SUPREME COURT91104

General Revenue Fund91105

GRF 005-321 Operating Expenses - Judiciary/Supreme Court $ 113,636,659 $ 118,401,294 91106
GRF 005-401 State Criminal Sentencing Council $ 346,194 $ 356,371 91107
GRF 005-406 Law-Related Education $ 209,836 $ 216,131 91108
TOTAL GRF General Revenue Fund $ 114,192,689 $ 118,973,796 91109

General Services Fund Group91110

672 005-601 Continuing Judicial Education $ 126,000 $ 120,000 91111
TOTAL GSF General Services Fund Group $ 126,000 $ 120,000 91112

Federal Special Revenue Fund Group91113

3J0 005-603 Federal Grants $ 1,030,061 $ 1,030,061 91114
TOTAL FED Federal Special Revenue Fund Group $ 1,030,061 $ 1,030,061 91115

State Special Revenue Fund Group91116

4C8 005-605 Attorney Registration $ 2,332,733 $ 2,495,171 91117
5T8 005-609 Grants and Awards $ 33,296 $ 33,296 91118
6A8 005-606 Supreme Court Admissions $ 1,230,514 $ 1,267,428 91119
643 005-607 Commission on Continuing Legal Education $ 568,788 $ 587,210 91120
TOTAL SSR State Special Revenue Fund Group $ 4,165,331 $ 4,383,105 91121
TOTAL ALL BUDGET FUND GROUPS $ 119,514,081 $ 124,506,962 91122

       LAW-RELATED EDUCATION91123

        The foregoing appropriation item 005-406, Law-Related 91124
Education, shall be distributed directly to the Ohio Center for 91125
Law-Related Education for the purposes of providing continuing 91126
citizenship education activities to primary and secondary 91127
students, expanding delinquency prevention programs, increasing 91128
activities for at-risk youth, and accessing additional public and 91129
private money for new programs.91130

       CONTINUING JUDICIAL EDUCATION91131

       The Continuing Judicial Education Fund (Fund 672) shall91132
consist of fees paid by judges and court personnel for attending91133
continuing education courses and other gifts and grants received91134
for the purpose of continuing judicial education. The foregoing91135
appropriation item 005-601, Continuing Judicial Education, shall91136
be used to pay expenses for continuing education courses for91137
judges and court personnel. If it is determined by the91138
Administrative Director of the Supreme Court that additional91139
appropriations are necessary, the amounts are hereby appropriated.91140

       No money in the Continuing Judicial Education Fund shall be91141
transferred to any other fund by the Director of Budget and91142
Management or the Controlling Board. Interest earned on moneys in91143
the Continuing Judicial Education Fund shall be credited to the91144
fund.91145

       FEDERAL GRANTS91146

       The Federal Grants Fund (Fund 3J0) shall consist of grants91147
and other moneys awarded to the Supreme Court (The Judiciary) by 91148
the United States Government or other entities that receive the91149
moneys directly from the United States Government and distribute 91150
those moneys to the Supreme Court (The Judiciary). The foregoing 91151
appropriation item 005-603, Federal Grants, shall be used in a 91152
manner consistent with the purpose of the grant or award. If it is 91153
determined by the Administrative Director of the Supreme Court 91154
that additional appropriations are necessary, the amounts are 91155
hereby appropriated.91156

       No money in the Federal Grants Fund shall be transferred to 91157
any other fund by the Director of Budget and Management or the 91158
Controlling Board. However, interest earned on moneys in the 91159
Federal Grants Fund shall be credited or transferred to the 91160
General Revenue Fund.91161

       ATTORNEY REGISTRATION91162

       In addition to funding other activities considered91163
appropriate by the Supreme Court, the foregoing appropriation item91164
005-605, Attorney Registration, may be used to compensate91165
employees and fund the appropriate activities of the following91166
offices established by the Supreme Court pursuant to the Rules for91167
the Government of the Bar of Ohio: the Office of Disciplinary91168
Counsel, the Board of Commissioners on Grievances and Discipline,91169
the Clients' Security Fund, the Board of Commissioners on the91170
Unauthorized Practice of Law, and the Office of Attorney91171
Registration. If it is determined by the Administrative Director91172
of the Supreme Court that additional appropriations are necessary,91173
the amounts are hereby appropriated.91174

       No moneys in the Attorney Registration Fund shall be91175
transferred to any other fund by the Director of Budget and91176
Management or the Controlling Board. Interest earned on moneys in91177
the Attorney Registration Fund shall be credited to the fund.91178

       GRANTS AND AWARDS91179

       The Grants and Awards Fund (Fund 5T8) shall consist of grants 91180
and other moneys awarded to the Supreme Court (The Judiciary) by 91181
the State Justice Institute, the Office of Criminal Justice 91182
Services, or other entities. The foregoing appropriation item 91183
005-609, Grants and Awards, shall be used in a manner consistent 91184
with the purpose of the grant or award. If it is determined by the 91185
Administrative Director of the Supreme Court that additional 91186
appropriations are necessary, the amounts are hereby appropriated.91187

       No moneys in the Grants and Awards Fund shall be transferred 91188
to any other fund by the Director of Budget and Management or the 91189
Controlling Board. However, interest earned on moneys in the 91190
Grants and Awards Fund shall be credited or transferred to the 91191
General Revenue Fund.91192

       SUPREME COURT ADMISSIONS91193

       The foregoing appropriation item 005-606, Supreme Court91194
Admissions, shall be used to compensate Supreme Court employees91195
who are primarily responsible for administering the attorney91196
admissions program, pursuant to the Rules for the Government of91197
the Bar of Ohio, and to fund any other activities considered91198
appropriate by the court. Moneys shall be deposited into the91199
Supreme Court Admissions Fund (Fund 6A8) pursuant to the Supreme91200
Court Rules for the Government of the Bar of Ohio. If it is91201
determined by the Administrative Director of the Supreme Court91202
that additional appropriations are necessary, the amounts are 91203
hereby appropriated.91204

       No moneys in the Supreme Court Admissions Fund shall be91205
transferred to any other fund by the Director of Budget and91206
Management or the Controlling Board. Interest earned on moneys in91207
the Supreme Court Admissions Fund shall be credited to the fund.91208

       CONTINUING LEGAL EDUCATION91209

       The foregoing appropriation item 005-607, Commission on91210
Continuing Legal Education, shall be used to compensate employees91211
of the Commission on Continuing Legal Education, established91212
pursuant to the Supreme Court Rules for the Government of the Bar91213
of Ohio, and to fund other activities of the commission considered91214
appropriate by the court. If it is determined by the91215
Administrative Director of the Supreme Court that additional91216
appropriations are necessary, the amounts are hereby appropriated.91217

       No moneys in the Continuing Legal Education Fund shall be91218
transferred to any other fund by the Director of Budget and91219
Management or the Controlling Board. Interest earned on moneys in91220
the Continuing Legal Education Fund shall be credited to the fund.91221

       Section 62.  LEC LAKE ERIE COMMISSION91222

State Special Revenue Fund Group91223

4C0 780-601 Lake Erie Protection Fund $ 1,070,975 $ 1,070,975 91224
5D8 780-602 Lake Erie Resources Fund $ 689,004 $ 689,004 91225
TOTAL SSR State Special Revenue 91226
Fund Group $ 1,759,979 $ 1,759,979 91227
TOTAL ALL BUDGET FUND GROUPS $ 1,759,979 $ 1,759,979 91228

       CASH TRANSFER91229

       Not later than the thirtieth day of November of each fiscal91230
year, the Executive Director of the Ohio Lake Erie Office, with91231
the approval of the Lake Erie Commission, shall certify to the91232
Director of Budget and Management the cash balance in the Lake91233
Erie Resources Fund (Fund 5D8) in excess of amounts needed to meet91234
operating expenses of the Lake Erie Office. The Ohio Lake Erie91235
Office may request the Director of Budget and Management to91236
transfer up to the certified amount from the Lake Erie Resources91237
Fund (Fund 5D8) to the Lake Erie Protection Fund (Fund 4C0). The91238
Director of Budget and Management may transfer the requested91239
amount, or the Director may transfer a different amount up to the91240
certified amount. Cash transferred shall be used for the purposes91241
described in division (A) of section 1506.23 of the Revised Code.91242
The amount transferred by the director is appropriated to the91243
foregoing appropriation item 780-601, Lake Erie Protection Fund,91244
which shall be increased by the amount transferred.91245

       Section 63.  LRS LEGAL RIGHTS SERVICE91246

General Revenue Fund91247

GRF 054-100 Personal Services $ 193,514 $ 193,514 91248
GRF 054-200 Maintenance $ 33,938 $ 33,938 91249
GRF 054-300 Equipment $ 1,856 $ 1,856 91250
GRF 054-401 Ombudsman $ 291,247 $ 291,247 91251
TOTAL GRF General Revenue Fund $ 520,555 $ 520,555 91252

General Services Fund Group91253

416 054-601 Gifts and Donations $ 1,352 $ 1,352 91254
5M0 054-610 Settlements $ 75,000 $ 75,000 91255
TOTAL GSF General Services 91256
Fund Group $ 76,352 $ 76,352 91257

Federal Special Revenue Fund Group91258

3B8 054-603 Protection and Advocacy - Mentally Ill $ 1,018,279 $ 1,018,279 91259
3N3 054-606 Protection and Advocacy - Individual Rights $ 507,648 $ 507,648 91260
3N9 054-607 Assistive Technology $ 50,000 $ 50,000 91261
3R9 054-604 Family Support Collaborative $ 242,500 $ 242,500 91262
3T2 054-609 Client Assistance Program $ 404,807 $ 404,807 91263
3X1 054-611 Protection and Advocacy for Beneficiaries of Social Security $ 187,784 $ 187,784 91264
3Z6 054-612 Traumatic Brain Injury $ 50,000 $ 50,000 91265
305 054-602 Protection and Advocacy - Developmentally Disabled $ 1,280,363 $ 1,280,363 91266
TOTAL FED Federal Special Revenue 91267
Fund Group $ 3,741,381 $ 3,741,381 91268
TOTAL ALL BUDGET FUND GROUPS $ 4,338,288 $ 4,338,288 91269


       Section 64.  JLE JOINT LEGISLATIVE ETHICS COMMITTEE91271

General Revenue Fund91272

GRF 028-321 Legislative Ethics Committee $ 550,000 $ 550,000 91273
TOTAL GRF General Revenue Fund $ 550,000 $ 550,000 91274

TOTAL ALL BUDGET FUND GROUPS $ 550,000 $ 550,000 91275

       TRANSFER OF FUNDS TO GRF91276

       On July 1, 2003, or as soon thereafter as possible, the 91277
Director of Budget and Management shall transfer 50 per cent of 91278
the cash balance in the Joint Legislative Ethics Committee Fund 91279
(Fund 4G7) to the General Revenue Fund. On July 1, 2004, or as 91280
soon thereafter as possible, the Director of Budget and Management 91281
shall transfer all of the remaining cash balance in the Joint 91282
Legislative Ethics Committee Fund (Fund 4G7) to the General 91283
Revenue Fund.91284

       Section 65. LSC LEGISLATIVE SERVICE COMMISSION91285

General Revenue Fund91286

GRF 035-321 Operating Expenses $ 14,065,000 $ 14,770,000 91287
GRF 035-402 Legislative Interns $ 975,000 $ 990,000 91288
GRF 035-404 Legislative Office of Education Oversight $ 1,205,000 $ 1,256,427 91289
GRF 035-405 Correctional Institution Inspection Committee $ 200,000 $ 300,000 91290
GRF 035-406 ATMS Replacement Project $ 20,000 $ 20,000 91291
GRF 035-407 Legislative Task Force on Redistricting $ 100,000 $ 0 91292
GRF 035-409 National Associations $ 430,000 $ 441,000 91293
GRF 035-410 Legislative Information Systems $ 3,624,200 $ 3,624,200 91294
TOTAL GRF General Revenue Fund $ 20,619,200 $ 21,401,627 91295

General Services Fund Group91296

4F6 035-603 Legislative Budget Services $ 149,350 $ 152,337 91297
410 035-601 Sale of Publications $ 25,000 $ 25,000 91298
TOTAL GSF General Services 91299
Fund Group $ 174,350 $ 177,337 91300
TOTAL ALL BUDGET FUND GROUPS $ 20,793,550 $ 21,578,964 91301

       ATMS REPLACEMENT PROJECT91302

       Of the foregoing appropriation item 035-406, ATMS Replacement91303
Project, any amounts not used for the ATMS project may be used to91304
pay the operating expenses of the Legislative Service Commission.91305

       Section 66.  LIB STATE LIBRARY BOARD91306

General Revenue Fund91307

GRF 350-321 Operating Expenses $ 6,700,721 $ 6,700,721 91308
GRF 350-400 Ohio Public Library Information Network $ 0 $ 5,000,000 91309
GRF 350-401 Ohioana Rental Payments $ 124,816 $ 124,816 91310
GRF 350-501 Cincinnati Public Library $ 584,414 $ 569,803 91311
GRF 350-502 Regional Library Systems $ 1,194,374 $ 1,194,374 91312
GRF 350-503 Cleveland Public Library $ 879,042 $ 857,066 91313
TOTAL GRF General Revenue Fund $ 9,483,367 $ 14,446,780 91314

General Services Fund Group91315

139 350-602 Intra-Agency Service Charges $ 9,000 $ 9,000 91316
4S4 350-604 OPLIN Technology $ 6,450,000 $ 1,000,000 91317
459 350-602 Interlibrary Service Charges $ 2,759,661 $ 2,809,661 91318
TOTAL GSF General Services 91319
Fund Group $ 9,218,661 $ 3,818,661 91320

Federal Special Revenue Fund Group91321

313 350-601 LSTA Federal $ 5,541,647 $ 5,541,647 91322
TOTAL FED Federal Special Revenue 91323
Fund Group $ 5,541,647 $ 5,541,647 91324
TOTAL ALL BUDGET FUND GROUPS $ 24,243,675 $ 23,807,088 91325

       OHIOANA RENTAL PAYMENTS91326

       The foregoing appropriation item 350-401, Ohioana Rental91327
Payments, shall be used to pay the rental expenses of the Martha91328
Kinney Cooper Ohioana Library Association pursuant to section91329
3375.61 of the Revised Code.91330

       CINCINNATI PUBLIC LIBRARY91331

        The foregoing appropriation item 350-501, Cincinnati Public 91332
Library, shall be used for the Talking Book program, which assists 91333
the blind and disabled.91334

       REGIONAL LIBRARY SYSTEMS91335

       The foregoing appropriation item 350-502, Regional Library91336
Systems, shall be used to support regional library systems91337
eligible for funding under section 3375.90 of the Revised Code.91338

       CLEVELAND PUBLIC LIBRARY91339

        The foregoing appropriation item 350-503, Cleveland Public 91340
Library, shall be used for the Talking Book program, which assists 91341
the blind and disabled.91342

       OHIO PUBLIC LIBRARY INFORMATION NETWORK91343

       The foregoing appropriation items 350-604, OPLIN Technology, 91344
and, in fiscal year 2005, 350-400, Ohio Public Library Information 91345
Network, shall be used for an information telecommunications 91346
network linking public libraries in the state and such others as 91347
may be certified as participants by the Ohio Public Library91348
Information Network Board.91349

       The Ohio Public Library Information Network Board shall91350
consist of eleven members appointed by the State Library Board91351
from among the staff of public libraries and past and present91352
members of boards of trustees of public libraries, based on the91353
recommendations of the Ohio library community. The Ohio Public91354
Library Information Network Board, in consultation with the State91355
Library, shall develop a plan of operations for the network. The91356
board may make decisions regarding use of the foregoing OPLIN 91357
appropriation items 350-604 and may receive and expend grants to 91358
carry out the operations of the network in accordance with state 91359
law and the authority to appoint and fix the compensation of a 91360
director and necessary staff. The State Library shall be the 91361
fiscal agent for the network and shall have fiscal accountability 91362
for the expenditure of funds. The Ohio Public Library Information 91363
Network Board members shall be reimbursed for actual travel and91364
necessary expenses incurred in carrying out their 91365
responsibilities.91366

       In order to limit access to obscene and illegal materials91367
through internet use at Ohio Public Library Information Network91368
(OPLIN) terminals, local libraries with OPLIN computer terminals91369
shall adopt policies that control access to obscene and illegal91370
materials. These policies may include use of technological systems 91371
to select or block certain internet access. The OPLIN shall 91372
condition provision of its funds, goods, and services on91373
compliance with these policies. The OPLIN Board shall also adopt91374
and communicate specific recommendations to local libraries on91375
methods to control such improper usage. These methods may include91376
each library implementing a written policy controlling such91377
improper use of library terminals and requirements for parental91378
involvement or written authorization for juvenile internet usage.91379

       The OPLIN Board shall research and assist or advise local91380
libraries with regard to emerging technologies and methods that 91381
may be effective means to control access to obscene and illegal91382
materials. The OPLIN Executive Director shall biannually provide91383
written reports to the Governor, the Speaker and Minority Leader91384
of the House of Representatives, and the President and Minority91385
Leader of the Senate on any steps being taken by OPLIN and public91386
libraries in the state to limit and control such improper usage as91387
well as information on technological, legal, and law enforcement 91388
trends nationally and internationally affecting this area of 91389
public access and service.91390

       The Ohio Public Library Information Network, InfOhio, and91391
OhioLink shall, to the extent feasible, coordinate and cooperate91392
in their purchase or other acquisition of the use of electronic91393
databases for their respective users and shall contribute funds in91394
an equitable manner to such effort.91395

       TRANSFER TO OPLIN TECHNOLOGY FUND91396

       Notwithstanding sections 5747.03 and 5747.47 of the Revised91397
Code and any other provision of law to the contrary, in accordance91398
with a schedule established by the Director of Budget and91399
Management, the Director of Budget and Management shall transfer 91400
up to $5,000,000 in fiscal year 2004 from the Library and Local 91401
Government Support Fund (Fund 065) to the OPLIN Technology Fund 91402
(Fund 4S4).91403

       Section 67.  LCO LIQUOR CONTROL COMMISSION91404

Liquor Control Fund Group91405

043 970-321 Operating Expenses $ 779,886 $ 794,387 91406
TOTAL LCF Liquor Control Fund Group $ 779,886 $ 794,387 91407
TOTAL ALL BUDGET FUND GROUPS $ 779,886 $ 794,387 91408

       COMPUTER EQUIPMENT91409

        Of the foregoing appropriation item 970-321, Operating 91410
Expenses, $27,700 in fiscal year 2004 and $4,500 in fiscal year 91411
2005 shall be used for computer equipment.91412

       Section 68.  LOT STATE LOTTERY COMMISSION91413

State Lottery Fund Group91414

044 950-100 Personal Services $ 25,114,200 $ 25,133,314 91415
044 950-200 Maintenance $ 20,100,168 $ 20,120,268 91416
044 950-300 Equipment $ 3,067,250 $ 3,113,259 91417
044 950-402 Game and Advertising Contracts $ 68,683,000 $ 68,683,000 91418
044 950-500 Problem Gambling Subsidy $ 335,000 $ 335,000 91419
044 950-601 Prizes, Bonuses, and Commissions $ 166,173,455 $ 166,173,455 91420
871 950-602 Annuity Prizes $ 162,228,451 $ 162,185,260 91421
TOTAL SLF State Lottery Fund 91422
Group $ 445,701,524 $ 445,743,556 91423
TOTAL ALL BUDGET FUND GROUPS $ 445,701,524 $ 445,743,556 91424

       OPERATING EXPENSES91425

       The Controlling Board may, at the request of the State 91426
Lottery Commission, authorize additional appropriations for 91427
operating expenses of the State Lottery Commission from the State 91428
Lottery Fund up to a maximum of 15 per cent of anticipated total 91429
revenue accruing from the sale of lottery tickets.91430

       PRIZES, BONUSES, AND COMMISSIONS91431

       Any amounts, in addition to the amounts appropriated in91432
appropriation item 950-601, Prizes, Bonuses, and Commissions, that91433
are determined by the Director of the State Lottery Commission to91434
be necessary to fund prizes, bonuses, and commissions are hereby 91435
appropriated.91436

       ANNUITY PRIZES91437

       With the approval of the Office of Budget and Management, the91438
State Lottery Commission shall transfer cash from the State91439
Lottery Fund Group (Fund 044) to the Deferred Prizes Trust Fund91440
(Fund 871) in an amount sufficient to fund deferred prizes. The91441
Treasurer of State, from time to time, shall credit the Deferred91442
Prizes Trust Fund (Fund 871) the pro rata share of interest earned91443
by the Treasurer of State on invested balances.91444

       Any amounts, in addition to the amounts appropriated in91445
appropriation item 950-602, Annuity Prizes, that are determined by91446
the Director of the State Lottery Commission to be necessary to91447
fund deferred prizes and interest earnings are hereby91448
appropriated.91449

       TRANSFERS TO THE LOTTERY PROFITS EDUCATION FUND91450

       The Ohio Lottery Commission shall transfer an amount greater91451
than or equal to $637,900,000 in fiscal year 2004 and $637,900,00091452
in fiscal year 2005 to the Lottery Profits Education Fund.91453
Transfers from the Commission to the Lottery Profits Education91454
Fund shall represent the estimated net income from operations for91455
the Commission in fiscal year 2004 or fiscal year 2005. Transfers 91456
by the Commission to the Lottery Profits Education Fund shall be 91457
administered in accordance with and pursuant to the Revised Code.91458

       TRANSFERS OF UNCLAIMED PRIZE FUNDS91459

       On July 31, 2003, or as soon thereafter as possible, the 91460
Director of Budget and Management shall transfer up to $7,500,000 91461
in cash from the Unclaimed Prize Fund (Fund 872) to the Lottery 91462
Profits Education Reserve Fund (Fund 018). The remaining 91463
unencumbered and unallotted balances as of July 31, 2003, in the 91464
Unclaimed Prize Fund (Fund 872) are hereby transferred to the 91465
State Lottery Fund Group (Fund 044).91466

       Section 69.  MED STATE MEDICAL BOARD91467

General Services Fund Group91468

5C6 883-609 State Medical Board Operating $ 7,098,956 $ 7,199,935 91469
TOTAL GSF General Services 91470
Fund Group $ 7,098,956 $ 7,199,935 91471
TOTAL ALL BUDGET FUND GROUPS $ 7,098,956 $ 7,199,935 91472


       Section 70.  DMH DEPARTMENT OF MENTAL HEALTH91474

Division of General Administration Intragovernmental Service Fund91475
Group91476

151 235-601 General Administration $ 85,181,973 $ 85,181,973 91477
TOTAL ISF Intragovernmental 91478
Service Fund Group $ 85,181,973 $ 85,181,973 91479

Division of Mental Health--
91480

Psychiatric Services to Correctional Facilities
91481

General Revenue Fund91482

GRF 332-401 Forensic Services $ 4,338,858 $ 4,338,858 91483
TOTAL GRF General Revenue Fund $ 4,338,858 $ 4,338,858 91484
TOTAL ALL BUDGET FUND GROUPS $ 89,520,831 $ 89,520,831 91485

       FORENSIC SERVICES91486

       The foregoing appropriation item 322-401, Forensic Services,91487
shall be used to provide psychiatric services to courts of common91488
pleas. The appropriation shall be allocated through community91489
mental health boards to certified community agencies and shall be91490
distributed according to the criteria delineated in rule91491
5122:4-1-01 of the Administrative Code. These community forensic91492
funds may also be used to provide forensic training to community91493
mental health boards and to forensic psychiatry residency programs91494
in hospitals operated by the Department of Mental Health and to91495
provide evaluations of patients of forensic status in facilities91496
operated by the Department of Mental Health prior to conditional91497
release to the community.91498

       In addition, appropriation item 332-401, Forensic Services,91499
may be used to support projects involving mental health, substance91500
abuse, courts, and law enforcement to identify and develop91501
appropriate alternative services to institutionalization for91502
nonviolent mentally ill offenders, and to provide linkage to91503
community services for severely mentally disabled offenders91504
released from institutions operated by the Department of91505
Rehabilitation and Correction. Funds may also be utilized to91506
provide forensic monitoring and tracking in addition to community91507
programs serving persons of forensic status on conditional release91508
or probation.91509

Division of Mental Health--
91510

Administration and Statewide Programs
91511

General Revenue Fund91512

GRF 333-321 Central Administration $ 22,808,798 $ 24,178,778 91513
GRF 333-402 Resident Trainees $ 1,364,919 $ 1,364,919 91514
GRF 333-403 Pre-Admission Screening Expenses $ 650,135 $ 650,135 91515
GRF 333-415 Lease-Rental Payments $ 25,935,650 $ 23,206,750 91516
GRF 333-416 Research Program Evaluation $ 1,001,551 $ 1,001,551 91517
TOTAL GRF General Revenue Fund $ 51,761,053 $ 50,402,133 91518

General Services Fund Group91519

149 333-609 Central Office Rotary - Operating $ 1,087,454 $ 1,103,578 91520
TOTAL General Services Fund Group $ 1,087,454 $ 1,103,578 91521

Federal Special Revenue Fund Group91522

3A7 333-612 Social Services Block Grant $ 25,000 $ 0 91523
3A8 333-613 Federal Grant - Administration $ 57,470 $ 57,984 91524
3A9 333-614 Mental Health Block Grant $ 827,363 $ 835,636 91525
3B1 333-635 Community Medicaid Expansion $ 4,126,430 $ 4,145,222 91526
324 333-605 Medicaid/Medicare $ 523,761 $ 514,923 91527
TOTAL Federal Special Revenue 91528
Fund Group $ 5,560,024 $ 5,553,765 91529

State Special Revenue Fund Group91530

4X5 333-607 Behavioral Health Medicaid Services $ 2,913,327 $ 3,000,634 91531
485 333-632 Mental Health Operating $ 134,233 $ 134,233 91532
5M2 333-602 PWLC Campus Improvement $ 200,000 $ 200,000 91533
TOTAL State Special Revenue 91534
Fund Group $ 3,247,560 $ 3,334,867 91535
TOTAL ALL BUDGET FUND GROUPS $ 61,656,091 $ 60,394,343 91536

       RESIDENCY TRAINEESHIP PROGRAMS91537

       The foregoing appropriation item 333-402, Resident Trainees,91538
shall be used to fund training agreements entered into by the91539
Department of Mental Health for the development of curricula and91540
the provision of training programs to support public mental health91541
services.91542

       PRE-ADMISSION SCREENING EXPENSES91543

       The foregoing appropriation item 333-403, Pre-Admission91544
Screening Expenses, shall be used to pay for costs to ensure that91545
uniform statewide methods for pre-admission screening are in place91546
to perform assessments for persons in need of mental health91547
services or for whom institutional placement in a hospital or in91548
another inpatient facility is sought. Pre-admission screening91549
includes the following activities: pre-admission assessment,91550
consideration of continued stay requests, discharge planning and91551
referral, and adjudication of appeals and grievance procedures.91552

       LEASE-RENTAL PAYMENTS91553

       The foregoing appropriation item 333-415, Lease-Rental91554
Payments, shall be used to meet all payments at the times they are91555
required to be made during the period from July 1, 2003, to June91556
30, 2005, by the Department of Mental Health pursuant to leases91557
and agreements made under section 154.20 of the Revised Code, but91558
limited to the aggregate amount of $49,142,400. Nothing in this91559
act shall be deemed to contravene the obligation of the state to91560
pay, without necessity for further appropriation, from the sources91561
pledged thereto, the bond service charges on obligations issued91562
pursuant to section 154.20 of the Revised Code.91563

       Section 70.01. DIVISION OF MENTAL HEALTH - HOSPITALS91564

General Revenue Fund91565

GRF 334-408 Community and Hospital Mental Health Services $ 380,249,629 $ 390,506,082 91566
GRF 334-506 Court Costs $ 976,652 $ 976,652 91567
TOTAL GRF General Revenue Fund $ 381,226,281 $ 391,482,734 91568

General Services Fund Group91569

149 334-609 Hospital Rotary - Operating Expenses $ 22,908,053 $ 24,408,053 91570
150 334-620 Special Education $ 120,930 $ 120,930 91571
TOTAL GSF General Services 91572
Fund Group $ 23,028,983 $ 24,528,983 91573

Federal Special Revenue Fund Group91574

3B0 334-617 Elementary and Secondary Education Act $ 248,644 $ 251,866 91575
3B1 334-635 Hospital Medicaid Expansion $ 2,000,000 $ 2,000,000 91576
324 334-605 Medicaid/Medicare $ 10,484,944 $ 10,916,925 91577
TOTAL FED Federal Special Revenue 91578
Fund Group $ 12,733,588 $ 13,168,791 91579

State Special Revenue Fund Group91580

485 334-632 Mental Health Operating $ 2,387,253 $ 2,476,297 91581
5L2 334-619 Health Foundation/Greater Cincinnati $ 26,000 $ 0 91582
692 334-636 Community Mental Health Board Risk Fund $ 100,000 $ 100,000 91583
TOTAL SSR State Special Revenue 91584
Fund Group $ 2,513,253 $ 2,576,297 91585
TOTAL ALL BUDGET FUND GROUPS $ 419,502,105 $ 431,756,805 91586

       COMMUNITY MENTAL HEALTH BOARD RISK FUND91587

       The foregoing appropriation item 334-636, Community Mental91588
Health Board Risk Fund, shall be used to make payments pursuant to91589
section 5119.62 of the Revised Code.91590

       Section 70.02. DIVISION OF MENTAL HEALTH - COMMUNITY SUPPORT91591
SERVICES91592

General Revenue Fund91593

GRF 335-419 Community Medication Subsidy $ 7,711,092 $ 7,959,798 91594
GRF 335-505 Local MH Systems of Care $ 89,687,868 $ 89,687,868 91595
TOTAL GRF General Revenue Fund $ 97,398,960 $ 97,647,666 91596

General Services Fund Group91597

4P9 335-604 Community Mental Health Projects $ 200,000 $ 200,000 91598
TOTAL GSF General Services 91599
Fund Group $ 200,000 $ 200,000 91600

Federal Special Revenue Fund Group91601

3A7 335-612 Social Services Block Grant $ 9,314,108 $ 9,314,108 91602
3A8 335-613 Federal Grant - Community Mental Health Board Subsidy $ 1,717,040 $ 1,717,040 91603
3A9 335-614 Mental Health Block Grant $ 16,887,218 $ 17,056,090 91604
3B1 335-635 Community Medicaid Expansion $ 220,472,136 $ 237,766,721 91605
TOTAL FED Federal Special Revenue Fund Group $ 248,390,502 $ 265,853,959 91606

State Special Revenue Fund Group91607

632 335-616 Community Capital Replacement $ 250,000 $ 250,000 91608
TOTAL SSR State Special Revenue Fund Group $ 250,000 $ 250,000 91609

TOTAL ALL BUDGET FUND GROUPS $ 346,239,462 $ 363,951,625 91610
DEPARTMENT TOTAL 91611
GENERAL REVENUE FUND $ 534,725,152 $ 543,871,391 91612
DEPARTMENT TOTAL 91613
GENERAL SERVICES FUND GROUP $ 24,316,437 $ 25,832,561 91614
DEPARTMENT TOTAL 91615
FEDERAL SPECIAL REVENUE 91616
FUND GROUP $ 266,684,114 $ 284,576,515 91617
DEPARTMENT TOTAL 91618
STATE SPECIAL REVENUE FUND GROUP $ 6,010,813 $ 6,161,164 91619
DEPARTMENT TOTAL 91620
INTRAGOVERNMENTAL FUND GROUP $ 85,181,973 $ 85,181,973 91621
TOTAL DEPARTMENT OF MENTAL HEALTH $ 916,918,489 $ 945,623,604 91622


       Section 70.03.  COMMUNITY MEDICATION SUBSIDY91624

       The foregoing appropriation item 335-419, Community91625
Medication Subsidy, shall be used to provide subsidized support91626
for psychotropic medication needs of indigent citizens in the91627
community to reduce unnecessary hospitalization because of lack of91628
medication and to provide subsidized support for methadone costs.91629

       LOCAL MENTAL HEALTH SYSTEMS OF CARE91630

       The foregoing appropriation item 335-505, Local Mental Health 91631
Systems of Care, shall be used for mental health services provided 91632
by community mental health boards in accordance with a community 91633
mental health plan submitted pursuant to section 340.03 of the 91634
Revised Code and as approved by the Department of Mental Health.91635

       Of the foregoing appropriation, not less than $34,818,917 in 91636
fiscal year 2004 and not less than $34,818,917 in fiscal year 2005 91637
shall be distributed by the Department of Mental Health on a per 91638
capita basis to community mental health boards.91639

       Of the foregoing appropriation, $100,000 in each fiscal year 91640
shall be used to fund family and consumer education and support.91641

       BEHAVIORAL HEALTH MEDICAID SERVICES91642

       The Department of Mental Health shall administer specified91643
Medicaid Services as delegated by the Department of Job and Family91644
Services in an interagency agreement. The foregoing appropriation91645
item 333-607, Behavioral Health Medicaid Services, may be used to91646
make payments for free-standing psychiatric hospital inpatient91647
services as defined in an interagency agreement with the91648
Department of Job and Family Services.91649

       Section 71.  DMR DEPARTMENT OF MENTAL RETARDATION AND91650
DEVELOPMENTAL DISABILITIES91651

       Section 71.01.  GENERAL ADMINISTRATION AND STATEWIDE SERVICES91652

General Revenue Fund91653

GRF 320-321 Central Administration $ 9,174,390 $ 9,357,878 91654
GRF 320-412 Protective Services $ 1,911,471 $ 2,008,330 91655
GRF 320-415 Lease-Rental Payments $ 25,935,650 $ 23,206,750 91656
TOTAL GRF General Revenue Fund $ 37,021,511 $ 34,572,958 91657

General Services Fund Group91658

4B5 320-640 Conference/Training $ 400,000 $ 400,000 91659
TOTAL GSF General Services 91660
Fund Group $ 400,000 $ 400,000 91661

Federal Special Revenue Fund Group91662

3A4 320-605 Administrative Support $ 12,492,892 $ 12,492,892 91663
3A5 320-613 DD Council Operating $ 861,000 $ 861,000 91664
Expenses 91665
325 320-634 Protective Services $ 100,000 $ 100,000 91666
TOTAL FED Federal Special Revenue 91667
Fund Group $ 13,453,892 $ 13,453,892 91668

State Special Revenue Fund Group 91669
5S2 590-622 Medicaid Administration & Oversight $ 2,969,552 $ 2,969,552 91670
TOTAL SSR State Special Revenue 91671
Fund Group $ 2,969,552 $ 2,969,552 91672
TOTAL ALL GENERAL ADMINISTRATION 91673
AND STATEWIDE SERVICES 91674
BUDGET FUND GROUPS $ 53,844,955 $ 51,396,402 91675

       LEASE-RENTAL PAYMENTS91676

       The foregoing appropriation item 320-415, Lease-Rental91677
Payments, shall be used to meet all payments at the times they are91678
required to be made during the period from July 1, 2003, to June91679
30, 2005, by the Department of Mental Retardation and91680
Developmental Disabilities pursuant to leases and agreements made91681
under section 154.20 of the Revised Code, but limited to the91682
aggregate amount of $49,142,400. Nothing in this act shall be91683
deemed to contravene the obligation of the state to pay, without91684
necessity for further appropriation, from the sources pledged91685
thereto, the bond service charges on obligations issued pursuant91686
to section 154.20 of the Revised Code.91687

       Section 71.02.  COMMUNITY SERVICES91688

General Revenue Fund91689

GRF 322-405 State Use Program $ 268,792 $ 273,510 91690
GRF 322-413 Residential and Support Services $ 8,439,337 $ 8,450,787 91691
GRF 322-416 Waiver State Match $ 95,695,198 $ 100,019,747 91692
GRF 322-417 Supported Living $ 43,179,715 $ 43,179,715 91693
GRF 322-451 Family Support Services $ 6,975,870 $ 6,975,870 91694
GRF 322-452 Service and Support Administration $ 8,849,724 $ 8,849,724 91695
GRF 322-501 County Boards Subsidies $ 31,795,691 $ 31,795,691 91696
GRF 322-503 Tax Equity $ 14,000,000 $ 15,000,000 91697
TOTAL GRF General Revenue Fund $ 209,204,327 $ 214,545,044 91698

General Services Fund Group91699

4J6 322-645 Intersystem Services for Children $ 3,300,000 $ 3,300,000 91700
4U4 322-606 Community MR and DD Trust $ 300,000 $ 300,000 91701
4V1 322-611 Program Support $ 610,000 $ 625,000 91702
488 322-603 Residential Services Refund $ 1,000,000 $ 1,000,000 91703
TOTAL GSF General Services 91704
Fund Group $ 5,210,000 $ 5,225,000 91705

Federal Special Revenue Fund Group91706

3A4 322-605 Community Program Support $ 1,000,000 $ 1,000,000 91707
3A4 322-610 Community Residential Support $ 500,000 $ 500,000 91708
3A5 322-613 DD Council Grants $ 3,130,000 $ 3,130,000 91709
3G6 322-639 Medicaid Waiver $ 344,068,714 $ 373,772,814 91710
3M7 322-650 CAFS Medicaid $ 254,739,737 $ 267,668,087 91711
325 322-608 Federal Grants - $ 2,023,587 $ 1,833,815 91712
Operating Expenses 91713
325 322-612 Social Service Block $ 10,319,346 $ 10,330,830 91714
Grant 91715
325 322-617 Education Grants - $ 75,500 $ 75,500 91716
Operating 91717
TOTAL FED Federal Special Revenue 91718
Fund Group $ 615,856,884 $ 658,311,046 91719

State Special Revenue Fund Group91720

4K8 322-604 Waiver - Match $ 12,000,000 $ 12,000,000 91721
5H0 322-619 Medicaid Repayment $ 25,000 $ 25,000 91722
TOTAL SSR State Special Revenue 91723
Fund Group $ 12,025,000 $ 12,025,000 91724
TOTAL ALL COMMUNITY SERVICES 91725
BUDGET FUND GROUPS $ 842,296,211 $ 890,106,090 91726

       RESIDENTIAL AND SUPPORT SERVICES91727

       The Department of Mental Retardation and Developmental 91728
Disabilities may designate a portion of appropriation item 91729
322-413, Residential and Support Services, for the following:91730

       (A) Sermak Class Services used to implement the requirements91731
of the agreement settling the consent decree in Sermak v. Manuel, 91732
Case No. c-2-80-220, United States District Court for the Southern 91733
District of Ohio, Eastern Division;91734

       (B) Medicaid-reimbursed programs other than home and 91735
community-based waiver services, in an amount not to exceed 91736
$1,000,000 in each fiscal year, that enable persons with mental 91737
retardation and developmental disabilities to live in the91738
community.91739

       WAIVER STATE MATCH91740

       The purposes for which the foregoing appropriation item 91741
322-416, Waiver State Match, shall be used include the following:91742

       (A) Home and community-based waiver services pursuant to 91743
Title XIX of the "Social Security Act," 49 Stat. 620 (1935), 42 91744
U.S.C. 301, as amended.91745

       (B) Services contracted by county boards of mental 91746
retardation and developmental disabilities.91747

       (C) To pay the nonfederal share of the cost of one or more 91748
new intermediate care facility for the mentally retarded certified 91749
beds in a county where the county board of mental retardation and 91750
developmental disabilities does not initiate or support the 91751
development or certification of such beds, if the director of 91752
mental retardation and developmental disabilities is required by 91753
this act to transfer to the director of job and family services 91754
funds to pay such nonfederal share.91755

       The Department of Mental Retardation and Developmental 91756
Disabilities may designate a portion of appropriation item 91757
322-416, Waiver State Match, to county boards of mental 91758
retardation and developmental disabilities that have greater need 91759
for various residential and support services due to a low 91760
percentage of residential and support services development in 91761
comparison to the number of individuals with mental retardation or 91762
developmental disabilities in the county.91763

       Of the foregoing appropriation item 322-416, Waiver State 91764
Match, $9,850,000 in each year of the biennium shall be 91765
distributed by the Department to county boards of mental 91766
retardation and developmental disabilities to support existing 91767
residential facilities waiver and individual options waiver 91768
related to Medicaid activities provided for in the component of a 91769
county board's plan developed under division (A)(2) of section 91770
5126.054 of the Revised Code and approved under section 5123.046 91771
of the Revised Code. Up to $3,000,000 of these funds in each 91772
fiscal year may be used to implement day-to-day program management 91773
services under division (A)(2) of section 5126.054 of the Revised 91774
Code. Up to $4,200,000 in each fiscal year may be used to 91775
implement the program and health and welfare requirements of 91776
division (A)(2) of section 5126.054 of the Revised Code.91777

        In fiscal years 2004 and 2005 not less than $2,650,000 of 91778
these funds shall be used to recruit and retain, under division 91779
(A)(2) of section 5126.054 of the Revised Code, the direct care 91780
staff necessary to implement the services included in an 91781
individualized service plan in a manner that ensures the health 91782
and welfare of the individuals being served.91783

        The methodology utilized by the department to determine each 91784
residential facilities wavier and individual options provider's 91785
allocation of such funds in fiscal year 2003 shall be used for 91786
allocation purposes to such providers in fiscal years 2004 and 91787
2005, respectively.91788

       SUPPORTED LIVING91789

       The purposes for which the foregoing appropriation item 91790
322-417, Supported Living, shall be used include supported living 91791
services contracted by county boards of mental retardation and 91792
developmental disabilities in accordance with sections 5126.40 to 91793
5126.47 of the Revised Code and to pay the nonfederal share of the 91794
cost of one or more new intermediate care facility for the 91795
mentally retarded certified beds in a county where the county 91796
board of mental retardation and developmental disabilities does 91797
not initiate or support the development or certification of such 91798
beds, if the director of mental retardation and developmental 91799
disabilities is required by this act to transfer to the director 91800
of job and family services funds to pay such nonfederal share.91801

       OTHER RESIDENTIAL AND SUPPORT SERVICE PROGRAMS91802

       Notwithstanding Chapters 5123. and 5126. of the Revised Code, 91803
the Department of Mental Retardation and Developmental 91804
Disabilities may develop residential and support service programs 91805
funded by appropriation item 322-413, Residential and Support 91806
Services, appropriation item 322-416, Waiver State Match, or 91807
appropriation item 322-417, Supported Living, that enable persons 91808
with mental retardation and developmental disabilities to live in 91809
the community. Notwithstanding Chapter 5121. and section 5123.122 91810
of the Revised Code, the department may waive the support 91811
collection requirements of those statutes for persons in community 91812
programs developed by the department under this section. The 91813
department shall adopt rules under Chapter 119. of the Revised 91814
Code or may use existing rules for the implementation of these 91815
programs.91816

       FAMILY SUPPORT SERVICES91817

       Notwithstanding sections 5123.171, 5123.19, 5123.20, and91818
5126.11 of the Revised Code, the Department of Mental Retardation91819
and Developmental Disabilities may implement programs funded by91820
appropriation item 322-451, Family Support Services, to provide91821
assistance to persons with mental retardation or developmental91822
disabilities and their families who are living in the community.91823
The department shall adopt rules to implement these programs. The 91824
department may also use the foregoing appropriation item 322-451, 91825
Family Support Services, to pay the nonfederal share of the cost 91826
of one or more new intermediate care facility for the mentally 91827
retarded certified beds in a county where the county board of 91828
mental retardation and developmental disabilities initiates or 91829
supports the development or certification of such beds, if the 91830
director of mental retardation and developmental disabilities is 91831
required by this act to transfer to the director of job and family 91832
services funds to pay such nonfederal share.91833

       SERVICE AND SUPPORT ADMINISTRATION91834

       The foregoing appropriation item 322-452, Service and Support 91835
Administration, shall be allocated to county boards of mental 91836
retardation and developmental disabilities for the purpose of91837
providing service and support administration services and to 91838
assist in bringing state funding for all department-approved91839
service and support administrators within county boards of mental 91840
retardation and developmental disabilities to the level authorized 91841
in division (C) of section 5126.15 of the Revised Code. The 91842
department may request approval from the Controlling Board to91843
transfer any unobligated appropriation authority from other state91844
General Revenue Fund appropriation items within the department's91845
budget to appropriation item 322-452, Service and Support 91846
Administration, to be used to meet the statutory funding level in 91847
division (C) of section 5126.15 of the Revised Code.91848

       Notwithstanding division (C) of section 5126.15 of the91849
Revised Code and subject to funding in appropriation item 322-452,91850
Service and Support Administration, no county may receive less 91851
than its allocation in fiscal year 1995. Wherever case management 91852
services are referred to in any law, contract, or other document, 91853
the reference shall be deemed to refer to service and support 91854
administration. No action or proceeding pending on the effective 91855
date of this section is affected by the renaming of case 91856
management services as service and support administration.91857

       The Department of Mental Retardation and Developmental 91858
Disabilities shall adopt, amend, and rescind rules as necessary to 91859
reflect the renaming of case management services as service and 91860
support administration. All boards of mental retardation and 91861
developmental disabilities and the entities with which they 91862
contract for services shall rename the titles of their employees 91863
who provide service and support administration. All boards and 91864
contracting entities shall make corresponding changes to all 91865
employment contracts.91866

       The department may also use the foregoing appropriation item 91867
322-452, Service and Support Administration, to pay the nonfederal 91868
share of the cost of one or more new intermediate care facility 91869
for the mentally retarded certified beds in a county where the 91870
county board of mental retardation and developmental disabilities 91871
initiates or supports the development or certification of such 91872
beds, if the director of mental retardation and developmental 91873
disabilities is required by this act to transfer to the director 91874
of job and family services funds to pay such nonfederal share.91875

       STATE SUBSIDIES TO MR/DD BOARDS91876

       The foregoing appropriation item 322-501, County Boards 91877
Subsidies, shall be distributed to county boards of mental91878
retardation and developmental disabilities pursuant to section 91879
5126.12 of the Revised Code to the limit of the lesser of the 91880
amount required by that section or the appropriation in 91881
appropriation item 322-501 prorated to all county boards of mental 91882
retardation and developmental disabilities.91883

       The department may also use the foregoing appropriation item 91884
322-501, County Boards Subsidies, to pay the nonfederal share of 91885
the cost of one or more new intermediate care facility for the 91886
mentally retarded certified beds in a county where the county 91887
board of mental retardation and developmental disabilities 91888
initiates or supports the development or certification of such 91889
beds, if the director of mental retardation and developmental 91890
disabilities is required by this act to transfer to the director 91891
of job and family services funds to pay such nonfederal share.91892

       TAX EQUITY91893

       The foregoing appropriation item 322-503, Tax Equity, shall 91894
be used to fund the tax equalization program created under section 91895
5126.18 of the Revised Code for county boards of mental 91896
retardation and developmental disabilities.91897

       INTERSYSTEM SERVICES FOR CHILDREN91898

       The foregoing appropriation item 322-645, Intersystem91899
Services for Children, shall be used to support direct grants to91900
county family and children first councils created under section91901
121.37 of the Revised Code. The funds shall be used as partial91902
support payment and reimbursement for locally coordinated91903
treatment plans for multi-needs children that come to the91904
attention of the Family and Children First Cabinet Council91905
pursuant to section 121.37 of the Revised Code. The Department of91906
Mental Retardation and Developmental Disabilities may use up to91907
five per cent of this amount for administrative expenses91908
associated with the distribution of funds to the county councils.91909

       WAIVER - MATCH91910

       The foregoing appropriation item 322-604, Waiver-Match (Fund91911
4K8), shall be used as state matching funds for the home and91912
community-based waivers.91913

       Section 71.03.  DEVELOPMENTAL CENTER PROGRAM TO DEVELOP A91914
MODEL BILLING FOR SERVICES RENDERED91915

       Developmental centers of the Department of Mental Retardation91916
and Developmental Disabilities may provide services to persons91917
with mental retardation or developmental disabilities living in91918
the community or to providers of services to these persons. The91919
department may develop a methodology for recovery of all costs91920
associated with the provisions of these services.91921

       Section 71.04. TRANSFER OF FUNDS FOR DEVELOPMENTAL CENTER 91922
PHARMACY PROGRAMS91923

       Beginning July 1, 2003, the Department of Mental Retardation 91924
and Developmental Disabilities shall pay the Department of Job and 91925
Family Services quarterly, through intrastate transfer voucher, 91926
the nonfederal share of Medicaid prescription drug claim costs for 91927
all developmental centers paid by the Department of Job and Family 91928
Services.91929

       Section 71.05.  RESIDENTIAL FACILITIES91930

General Revenue Fund91931

GRF 323-321 Residential Facilities $ 105,701,254 $ 107,252,799 91932
Operations 91933
TOTAL GRF General Revenue Fund $ 105,701,254 $ 107,252,799 91934

General Services Fund Group91935

152 323-609 Residential Facilities $ 912,177 $ 912,177 91936
Support 91937
TOTAL GSF General Services 91938
Fund Group $ 912,177 $ 912,177 91939

Federal Special Revenue Fund Group91940

3A4 323-605 Residential Facilities $ 128,736,729 $ 128,831,708 91941
Reimbursement 91942
325 323-608 Federal Grants - $ 571,381 $ 582,809 91943
Subsidies 91944
325 323-617 Education Grants - $ 425,000 $ 425,000 91945
Residential Facilities 91946
TOTAL FED Federal Special Revenue 91947
Fund Group $ 129,733,110 $ 129,839,517 91948

State Special Revenue Fund Group91949

489 323-632 Operating Expense $ 12,125,628 $ 12,125,628 91950
TOTAL SSR State Special Revenue 91951
Fund Group $ 12,125,628 $ 12,125,628 91952
TOTAL ALL RESIDENTIAL FACILITIES 91953
BUDGET FUND GROUPS $ 248,472,169 $ 250,130,121 91954

DEPARTMENT TOTAL 91955
GENERAL REVENUE FUND $ 351,927,092 $ 356,370,801 91956
DEPARTMENT TOTAL 91957
GENERAL SERVICES FUND GROUP $ 6,522,177 $ 6,537,177 91958
DEPARTMENT TOTAL 91959
FEDERAL SPECIAL REVENUE FUND GROUP $ 759,043,886 $ 801,604,455 91960
DEPARTMENT TOTAL 91961
STATE SPECIAL REVENUE FUND GROUP $ 27,120,180 $ 27,120,180 91962
TOTAL DEPARTMENT OF MENTAL 91963
RETARDATION AND DEVELOPMENTAL 91964
DISABILITIES $ 1,144,613,335 $ 1,191,632,613 91965

       (A) The Executive Branch Committee on Medicaid Redesign and 91966
Expansion of MRDD Services, as established by Am. Sub. H.B. 94 of 91967
the 124th General Assembly, shall continue and consist of all of 91968
the following individuals:91969

       (1) One representative of the Governor appointed by the91970
Governor;91971

       (2) Two representatives of the Department of Mental91972
Retardation and Developmental Disabilities appointed by the91973
Director of Mental Retardation and Developmental Disabilities;91974

       (3) Two representatives of the Department of Job and Family91975
Services appointed by the Director of Job and Family Services;91976

       (4) One representative of the Office of Budget and Management 91977
appointed by the Director of Budget and Management;91978

       (5) One representative of The Arc of Ohio appointed by the91979
organization's board of trustees;91980

       (6) One representative of the Ohio Association of County91981
Boards of Mental Retardation and Developmental Disabilities91982
appointed by the association's board of trustees;91983

       (7) One representative of the Ohio Superintendents of County91984
Boards of Mental Retardation and Developmental Disabilities91985
appointed by the organization's board of trustees;91986

       (8) One representative of the Ohio Provider Resource91987
Association appointed by the association's board of trustees;91988

       (9) One representative of the Ohio Health Care Association91989
appointed by the association's board of trustees;91990

       (10) One representative of individuals with mental91991
retardation or other developmental disability appointed by the91992
Director of Mental Retardation and Developmental Disabilities.91993

       (B) The Governor shall appoint the chairperson of the91994
committee. Members of the committee shall serve without91995
compensation or reimbursement, except to the extent that serving91996
on the committee is considered a part of their regular employment91997
duties.91998

       (C) The committee shall meet at times determined by the91999
chairperson to do all of the following:92000

       (1) Review the effect that the provisions of this act92001
regarding Medicaid funding for services to individuals with mental92002
retardation or other developmental disability have on the funding92003
and provision of services to such individuals;92004

       (2) Identify issues related to, and barriers to, the92005
effective implementation of those provisions of this act with the92006
goal of meeting the needs of individuals with mental retardation92007
or other developmental disability;92008

       (3) Establish effective means for resolving the issues and92009
barriers, including advocating changes to state law, rules, or92010
both.92011

       (D) The committee shall submit a final report to the Governor 92012
and Directors of Mental Retardation and Developmental Disabilities 92013
and Job and Family Services and shall cease to exist on submission 92014
of the final report unless the Governor issues an executive order92015
providing for the committee to continue.92016

       Section 71.06. (A) As used in this section:92017

       (1) "Family support services," "home and community-based 92018
services," "service and support administration," and "supported 92019
living" have the same meaning as in section 5126.01 of the Revised 92020
Code.92021

       (2) "Intermediate care facility for the mentally retarded" 92022
has the same meaning as in section 5111.20 of the Revised Code.92023

       (B) If one or more new beds obtain certification as an 92024
intermediate care facility for the mentally retarded bed on or 92025
after the effective date of this section, the Director of Mental 92026
Retardation and Developmental Disabilities shall transfer funds to 92027
the Department of Job and Family Services to pay the nonfederal 92028
share of the cost under the Medicaid Program for those beds. The 92029
Director shall use only the following funds for the transfer:92030

       (1) If the beds are located in a county served by a county 92031
board of mental retardation and developmental disabilities that 92032
does not initiate or support the beds' certification, funds 92033
appropriated to the Department of Mental Retardation and 92034
Developmental Disabilities for home and community-based services 92035
and supported living for which the Director is authorized to make 92036
allocations to county boards;92037

       (2) If the beds are located in a county served by a county 92038
board that initiates or supports the beds' certification, funds 92039
appropriated to the Department for family support services, 92040
service and support administration, and other services for which 92041
the Director is authorized to make allocations to counties.92042

       (C) The funds that the Director transfers under division 92043
(B)(2) of this section shall be funds that the Director has 92044
allocated to the county board serving the county in which the beds 92045
are located unless the amount of the allocation is insufficient to 92046
pay the entire nonfederal share of the cost under the Medicaid 92047
Program for those beds. If the allocation is insufficient, the 92048
Director shall use as much of such funds allocated to other 92049
counties as is needed to make up the difference.92050

       Section 72.  MIH COMMISSION ON MINORITY HEALTH92051

General Revenue Fund92052

GRF 149-321 Operating Expenses $ 539,318 $ 539,318 92053
GRF 149-501 Minority Health Grants $ 751,478 $ 751,478 92054
GRF 149-502 Lupus Program $ 141,556 $ 141,556 92055
TOTAL GRF General Revenue Fund $ 1,432,352 $ 1,432,352 92056

Federal Special Revenue Fund Group92057

3J9 149-602 Federal Grants $ 150,000 $ 150,000 92058
TOTAL FED Federal Special Revenue 92059
Fund Group $ 150,000 $ 150,000 92060

State Special Revenue Fund Group92061

4C2 149-601 Minority Health Conference $ 150,000 $ 150,000 92062
TOTAL SSR State Special Revenue 92063
Fund Group $ 150,000 $ 150,000 92064
TOTAL ALL BUDGET FUND GROUPS $ 1,732,352 $ 1,732,352 92065

       LUPUS PROGRAM92066

       The foregoing appropriation item 149-502, Lupus Program,92067
shall be used to provide grants for programs in patient, public,92068
and professional education on the subject of systemic lupus92069
erythemtosus; to encourage and develop local centers on lupus92070
information gathering and screening; and to provide outreach to92071
minority women.92072

       Section 73.  CRB MOTOR VEHICLE COLLISION REPAIR REGISTRATION 92073
BOARD92074

General Service Fund Group92075

5H9 865-609 Operating Expenses $ 285,497 $ 314,422 92076
TOTAL GSF General Services 92077
Fund Group $ 285,497 $ 314,422 92078
TOTAL ALL BUDGET FUND GROUPS $ 285,497 $ 314,422 92079


       Section 74.  DNR DEPARTMENT OF NATURAL RESOURCES92081

General Revenue Fund92082

GRF 725-404 Fountain Square Rental Payments - OBA $ 1,093,300 $ 1,094,800 92083
GRF 725-407 Conservation Reserve Enhancement Program $ 1,218,750 $ 1,218,750 92084
GRF 725-412 Reclamation Commission $ 57,934 $ 57,934 92085
GRF 725-413 OPFC Lease Rental Payments $ 15,066,500 $ 17,709,500 92086
GRF 725-423 Stream and Ground Water Gauging $ 331,819 $ 331,819 92087
GRF 725-425 Wildlife License Reimbursement $ 816,319 $ 816,319 92088
GRF 725-456 Canal Lands $ 332,859 $ 332,859 92089
GRF 725-502 Soil and Water Districts $ 11,182,024 $ 11,475,507 92090
GRF 725-903 Natural Resources General Obligation Debt Service $ 23,808,300 $ 26,914,300 92091
GRF 727-321 Division of Forestry $ 9,068,735 $ 9,068,735 92092
GRF 728-321 Division of Geological Survey $ 1,731,456 $ 1,731,456 92093
GRF 729-321 Office of Information Technology $ 440,895 $ 440,895 92094
GRF 730-321 Division of Parks and Recreation $ 34,232,205 $ 37,061,493 92095
GRF 731-321 Office of Coastal Management $ 248,679 $ 259,707 92096
GRF 733-321 Division of Water $ 3,355,830 $ 3,237,619 92097
GRF 736-321 Division of Engineering $ 3,410,852 $ 3,436,918 92098
GRF 737-321 Division of Soil and Water $ 4,215,288 $ 4,234,788 92099
GRF 738-321 Division of Real Estate and Land Management $ 2,322,031 $ 2,331,781 92100
GRF 741-321 Division of Natural Areas and Preserves $ 3,104,405 $ 3,104,405 92101
GRF 744-321 Division of Mineral Resources Management $ 3,439,744 $ 3,495,967 92102
TOTAL GRF General Revenue Fund $ 119,477,925 $ 128,355,552 92103

General Services Fund Group92104

155 725-601 Departmental Projects $ 2,645,479 $ 2,831,337 92105
157 725-651 Central Support Indirect $ 8,272,102 $ 8,423,094 92106
161 725-635 Parks Facilities Maintenance $ 2,063,124 $ 2,576,240 92107
204 725-687 Information Services $ 3,384,275 $ 3,476,627 92108
206 725-689 REALM Support Services $ 475,000 $ 475,000 92109
207 725-690 Real Estate Services $ 54,000 $ 54,000 92110
223 725-665 Law Enforcement Administration $ 969,825 $ 976,225 92111
4D5 725-618 Recycled Materials $ 50,000 $ 50,000 92112
4S9 725-622 NatureWorks Personnel $ 908,516 $ 983,103 92113
4X8 725-662 Water Resources Council $ 282,524 $ 282,524 92114
430 725-671 Canal Lands $ 1,119,834 $ 1,059,056 92115
508 725-684 Natural Resources Publications $ 209,364 $ 215,626 92116
510 725-631 Maintenance - state-owned residences $ 255,905 $ 260,849 92117
516 725-620 Water Management $ 3,663,849 $ 2,342,814 92118
635 725-664 Fountain Square Facilities Management $ 3,104,199 $ 3,104,199 92119
697 725-670 Submerged Lands $ 507,099 $ 542,011 92120
TOTAL GSF General Services 92121
Fund Group $ 27,965,095 $ 27,652,705 92122

Federal Special Revenue Fund Group92123

3B3 725-640 Federal Forest Pass-Thru $ 140,000 $ 150,000 92124
3B4 725-641 Federal Flood Pass-Thru $ 280,000 $ 285,000 92125
3B5 725-645 Federal Abandoned Mine Lands $ 11,922,845 $ 11,843,866 92126
3B6 725-653 Federal Land and Water Conservation Grants $ 4,900,000 $ 5,000,000 92127
3B7 725-654 Reclamation - Regulatory $ 2,179,870 $ 2,168,413 92128
3P0 725-630 Natural Areas and Preserves - Federal $ 718,876 $ 552,480 92129
3P1 725-632 Geological Survey - Federal $ 470,780 $ 479,653 92130
3P2 725-642 Oil and Gas-Federal $ 224,537 $ 232,964 92131
3P3 725-650 Real Estate and Land Management - Federal $ 2,357,000 $ 2,357,000 92132
3P4 725-660 Water - Federal $ 300,000 $ 242,000 92133
3R5 725-673 Acid Mine Drainage Abatement/Treatment $ 792,028 $ 837,223 92134
3Z5 725-657 REALM-Federal $ 1,578,871 $ 1,578,871 92135
328 725-603 Forestry Federal $ 1,530,561 $ 1,484,531 92136
332 725-669 Federal Mine Safety Grant $ 247,364 $ 258,103 92137
TOTAL FED Federal Special Revenue 92138
Fund Group $ 27,642,732 $ 27,470,104 92139

State Special Revenue Fund Group92140

4J2 725-628 Injection Well Review $ 98,468 $ 81,188 92141
4M7 725-631 Wildfire Suppression $ 100,000 $ 100,000 92142
4U6 725-668 Scenic Rivers Protection $ 561,000 $ 617,100 92143
5B3 725-674 Mining Regulation $ 35,000 $ 35,000 92144
5K1 725-626 Urban Forestry Grant $ 400,000 $ 400,000 92145
5P2 725-634 Wildlife Boater Angler Administration $ 1,500,000 $ 1,500,000 92146
509 725-602 State Forest $ 982,970 $ 1,127,117 92147
511 725-646 Ohio Geologic Mapping $ 983,274 $ 985,940 92148
512 725-605 State Parks Operations $ 29,915,146 $ 29,915,146 92149
514 725-606 Lake Erie Shoreline $ 1,027,093 $ 936,254 92150
518 725-643 Oil and Gas Permit Fees $ 2,205,651 $ 2,399,580 92151
518 725-677 Oil and Gas Well Plugging $ 1,000,000 $ 1,000,000 92152
521 725-627 Off-Road Vehicle Trails $ 118,490 $ 123,490 92153
522 725-656 Natural Areas Checkoff Funds $ 2,046,737 $ 1,550,670 92154
526 725-610 Strip Mining Administration Fees $ 1,449,459 $ 1,449,459 92155
527 725-637 Surface Mining Administration $ 2,793,938 $ 2,693,938 92156
529 725-639 Unreclaimed Land Fund $ 1,841,589 $ 1,971,037 92157
531 725-648 Reclamation Forfeiture $ 2,393,762 $ 2,374,087 92158
532 725-644 Litter Control and Recycling $ 12,544,686 $ 12,544,686 92159
586 725-633 Scrap Tire Program $ 1,000,000 $ 1,000,000 92160
615 725-661 Dam Safety $ 286,045 $ 408,223 92161
TOTAL SSR State Special Revenue 92162
Fund Group $ 63,283,308 $ 63,212,915 92163

Clean Ohio Fund Group92164

061 725-405 Clean Ohio Operating $ 155,000 $ 155,000 92165
TOTAL CLR Clean Ohio Fund Group $ 155,000 $ 155,000 92166

Wildlife Fund Group92167

015 740-401 Division of Wildlife Conservation $ 46,427,945 $ 46,814,691 92168
815 725-636 Cooperative Management Projects $ 120,449 $ 120,449 92169
816 725-649 Wetlands Habitat $ 966,885 $ 966,885 92170
817 725-655 Wildlife Conservation Checkoff Fund $ 5,000,000 $ 5,000,000 92171
818 725-629 Cooperative Fisheries Research $ 988,582 $ 988,582 92172
819 725-685 Ohio River Management $ 128,584 $ 128,584 92173
TOTAL WLF Wildlife Fund Group $ 53,632,445 $ 54,019,191 92174

Waterways Safety Fund Group92175

086 725-414 Waterways Improvement $ 3,813,051 $ 4,140,186 92176
086 725-418 Buoy Placement $ 42,182 $ 42,182 92177
086 725-501 Waterway Safety Grants $ 137,867 $ 137,867 92178
086 725-506 Watercraft Marine Patrol $ 576,153 $ 576,153 92179
086 725-513 Watercraft Educational Grants $ 366,643 $ 366,643 92180
086 739-401 Division of Watercraft $ 19,420,712 $ 18,718,847 92181
TOTAL WSF Waterways Safety Fund 92182
Group $ 24,356,608 $ 23,981,878 92183

Holding Account Redistribution Fund Group92184

R17 725-659 Performance Cash Bond Refunds $ 226,500 $ 226,500 92185
R43 725-624 Forestry $ 800,000 $ 800,000 92186
TOTAL 090 Holding Account 92187
Redistribution Fund Group $ 1,026,500 $ 1,026,500 92188

Accrued Leave Liability Fund Group92189

4M8 725-675 FOP Contract $ 20,844 $ 20,844 92190
TOTAL ALF Accrued Leave 92191
Liability Fund Group $ 20,844 $ 20,844 92192
TOTAL ALL BUDGET FUND GROUPS $ 317,560,457 $ 325,894,689 92193


       Section 74.01. FOUNTAIN SQUARE92195

       The foregoing appropriation item 725-404, Fountain Square92196
Rental Payments - OBA, shall be used by the Department of Natural92197
Resources to meet all payments required to be made to the Ohio92198
Building Authority during the period from July 1, 2003, to June92199
30, 2005, pursuant to leases and agreements with the Ohio Building92200
Authority under section 152.241 of the Revised Code, but limited92201
to the aggregate amount of $2,188,100.92202

       The Director of Natural Resources, using intrastate transfer92203
vouchers, shall make payments to the General Revenue Fund from92204
funds other than the General Revenue Fund to reimburse the General92205
Revenue Fund for the other funds' shares of the lease rental92206
payments to the Ohio Building Authority. The transfers from the92207
non-General Revenue funds shall be made within 10 days of the92208
payment to the Ohio Building Authority for the actual amounts92209
necessary to fulfill the leases and agreements pursuant to section92210
152.241 of the Revised Code.92211

       The foregoing appropriation item 725-664, Fountain Square92212
Facilities Management (Fund 635), shall be used for payment of92213
repairs, renovation, utilities, property management, and building92214
maintenance expenses for the Fountain Square Complex. Cash92215
transferred by intrastate transfer vouchers from various92216
department funds and rental income received by the Department of92217
Natural Resources shall be deposited into the Fountain Square92218
Facilities Management Fund (Fund 635).92219

       LEASE RENTAL PAYMENTS92220

       The foregoing appropriation item 725-413, OPFC Lease Rental92221
Payments, shall be used to meet all payments at the times they are92222
required to be made during the period from July 1, 2003, to June92223
30, 2005, by the Department of Natural Resources pursuant to92224
leases and agreements made under section 154.22 of the Revised92225
Code, but limited to the aggregate amount of $32,776,000. Nothing92226
in this act shall be deemed to contravene the obligation of the92227
state to pay, without necessity for further appropriation, from92228
the sources pledged thereto, the bond service charges on92229
obligations issued pursuant to section 154.22 of the Revised Code.92230

       NATURAL RESOURCES GENERAL OBLIGATION DEBT SERVICE92231

       The foregoing appropriation item 725-903, Natural Resources92232
General Obligation Debt Service, shall be used to pay all debt92233
service and related financing costs at the times they are required 92234
to be made pursuant to sections 151.01 and 151.05 of the Revised 92235
Code during the period from July 1, 2003, to June 30, 2005. The 92236
Office of the Sinking Fund or the Director of Budget and 92237
Management shall effectuate the required payments by an intrastate 92238
transfer voucher.92239

       Section 74.02. WILDLIFE LICENSE REIMBURSEMENT92240

       Notwithstanding the limits of the transfer from the General92241
Revenue Fund to the Wildlife Fund, as adopted in section 1533.1592242
of the Revised Code, up to the amount available in appropriation92243
item 725-425, Wildlife License Reimbursement, may be transferred92244
from the General Revenue Fund to the Wildlife Fund (Fund 015).92245
Pursuant to the certification of the Director of Budget and92246
Management of the amount of foregone revenue in accordance with92247
section 1533.15 of the Revised Code, the foregoing appropriation92248
item in the General Revenue Fund, appropriation item 725-425,92249
Wildlife License Reimbursement, shall be used to reimburse the92250
Wildlife Fund (Fund 015) for the cost of hunting and fishing92251
licenses and permits issued after June 30, 1990, to individuals92252
who are exempted under the Revised Code from license, permit, and92253
stamp fees.92254

       CANAL LANDS92255

       The foregoing appropriation item 725-456, Canal Lands, shall92256
be used to transfer funds to the Canal Lands Fund (Fund 430) to92257
provide operating expenses for the State Canal Lands Program. The92258
transfer shall be made using an intrastate transfer voucher and92259
shall be subject to the approval of the Director of Budget and92260
Management.92261

       SOIL AND WATER DISTRICTS92262

       In addition to state payments to soil and water conservation92263
districts authorized by section 1515.10 of the Revised Code, the92264
Department of Natural Resources may pay to any soil and water92265
conservation district, from authority in appropriation item92266
725-502, Soil and Water Districts, an annual amount not to exceed92267
$30,000, upon receipt of a request and justification from the92268
district and approval by the Ohio Soil and Water Conservation92269
Commission. The county auditor shall credit the payments to the92270
special fund established under section 1515.10 of the Revised Code92271
for the local soil and water conservation district. Moneys92272
received by each district shall be expended for the purposes of92273
the district.92274

       Of the foregoing appropriation item 725-502, Soil and Water 92275
Districts, $120,000 shall be earmarked in fiscal year 2004 for the 92276
Franklin County Soil and Water District.92277

       Of the foregoing appropriation item 725-502, Soil and Water 92278
Districts, $175,000 shall be earmarked in fiscal year 2004 for the 92279
Indian Lake Watershed.92280

       Of the foregoing appropriation item 725-502, Soil and Water 92281
Districts, $50,000 shall be earmarked for the Rush Creek Watershed 92282
in each fiscal year.92283

       Of the foregoing appropriation item 725-502, Soil and Water 92284
Districts, $28,000 shall be earmarked for the Conservation Action 92285
Program in each fiscal year.92286

       Of the foregoing appropriation item 725-502, Soil and Water 92287
Districts, $150,000 each fiscal year shall be earmarked for the 92288
Muskingum Conservancy District.92289

       Of the foregoing appropriation item 725-502, Soil and Water 92290
Districts, $120,000 in fiscal year 2004 shall be earmarked for the 92291
relocation of Route 30.92292

       FUND CONSOLIDATION92293

       On July 15, 2003, or as soon thereafter as possible, the92294
Director of Budget and Management shall transfer the cash balance 92295
as certified by the Director of Natural Resources from the Real 92296
Estate and Land Management-Federal Fund (Fund 3P3) to the 92297
REALM-Federal Fund (Fund 3Z5). The Director shall cancel any92298
remaining outstanding encumbrances against appropriation item92299
725-650, Real Estate and Land Management-Federal, that are 92300
associated with the REALM federal programs and reestablish them 92301
against appropriation item 725-657, REALM-Federal. The amounts of 92302
any encumbrances canceled and reestablished are hereby 92303
appropriated.92304

       LAW ENFORCEMENT ADMINISTRATION92305

        On or after July 1, 2003, but not later than July 15, 2003, 92306
the Director of Budget and Management shall transfer $969,825 from 92307
the Central Support Indirect Fund (Fund 157) to the Law 92308
Enforcement Administration Fund (Fund 223). On or after July 1, 92309
2004, but not later than July 15, 2004, the Director of Budget and 92310
Management shall transfer $976,225 from the Central Support 92311
Indirect Fund (Fund 157) to the Law Enforcement Administration 92312
Fund (Fund 223).92313

       OIL AND GAS WELL PLUGGING92314

       The foregoing appropriation item 725-677, Oil and Gas Well92315
Plugging, shall be used exclusively for the purposes of plugging92316
wells and to properly restore the land surface of idle and orphan92317
oil and gas wells pursuant to section 1509.071 of the Revised92318
Code. No funds from the appropriation item shall be used for92319
salaries, maintenance, equipment, or other administrative92320
purposes, except for those costs directly attributed to the92321
plugging of an idle or orphan well. Appropriation authority from92322
this appropriation item shall not be transferred to any other fund 92323
or line item.92324

       CLEAN OHIO OPERATING EXPENSES92325

       The foregoing appropriation item 725-405, Clean Ohio 92326
Operating, shall be used by the Department of Natural Resources in 92327
administering section 1519.05 of the Revised Code.92328

       DIVISION OF SOIL AND WATER92329

       Of the foregoing appropriation item 737-321, Division of Soil 92330
and Water, $220,000 in each fiscal year shall be earmarked for the 92331
Water Quality Laboratory located at Heidelberg College.92332

       WATERCRAFT MARINE PATROL92333

       Of the foregoing appropriation item 739-401, Division of92334
Watercraft, not more than $200,000 in each fiscal year shall be92335
expended for the purchase of equipment for marine patrols92336
qualifying for funding from the Department of Natural Resources92337
pursuant to section 1547.67 of the Revised Code. Proposals for92338
equipment shall accompany the submission of documentation for92339
receipt of a marine patrol subsidy pursuant to section 1547.67 of92340
the Revised Code and shall be loaned to eligible marine patrols92341
pursuant to a cooperative agreement between the Department of92342
Natural Resources and the eligible marine patrol.92343

       ELIMINATION OF CIVILIAN CONSERVATION CORPS92344

       Upon the closure of the Division of Civilian Conservation, 92345
the Director of Natural Resources, not later than June 30, 2004, 92346
shall distribute, allocate, salvage, or transfer all assets, 92347
equipment, supplies, and cash balances of the Division of Civilian 92348
Conservation to other operating divisions of the Department of 92349
Natural Resources as determined by the director. The director 92350
shall maintain a record of such disposition of all assets.92351

       The director shall maintain balances within the Civilian 92352
Conservation Corps Fund to pay all outstanding obligations, 92353
including unemployment and other costs associated with the orderly 92354
closure of the Division of Civilian Conservation. All amounts 92355
necessary for the orderly closure are hereby appropriated.92356

       PROHIBITION AGAINST ENTRANCE FEES FOR STATE PARKS AND NATURE 92357
PRESERVES92358

        During the biennium that includes fiscal years 2004 and 2005, 92359
the Department of Natural Resources shall not charge a fee for the 92360
privilege of entering a state park or a nature preserve, as 92361
"nature preserve" is defined in section 1517.01 of the Revised 92362
Code.92363

       Section 75.  NUR STATE BOARD OF NURSING92364

General Services Fund Group92365

4K9 884-609 Operating Expenses $ 5,232,776 $ 5,257,576 92366
5P8 884-601 Nursing Special Issues $ 5,000 $ 5,000 92367
TOTAL GSF General Services 92368
Fund Group $ 5,237,776 $ 5,262,576 92369
TOTAL ALL BUDGET FUND GROUPS $ 5,237,776 $ 5,262,576 92370

       NURSING SPECIAL ISSUES92371

       The foregoing appropriation item 884-601, Nursing Special92372
Issues (Fund 5P8), shall be used to pay the costs the Board of92373
Nursing incurs in implementing section 4723.062 of the Revised92374
Code.92375

       Section 76. PYT OCCUPATIONAL THERAPY, PHYSICAL THERAPY, AND 92376
ATHLETIC TRAINERS BOARD92377

General Services Fund Group92378

4K9 890-609 Operating Expenses $ 771,391 $ 801,480 92379
TOTAL GSF General Services Fund Group $ 771,391 $ 801,480 92380
TOTAL ALL BUDGET FUND GROUPS $ 771,391 $ 801,480 92381


       Section 77. OLA OHIOANA LIBRARY ASSOCIATION92383

General Revenue Fund92384

GRF 355-501 Library Subsidy $ 215,036 $ 215,036 92385
TOTAL GRF General Revenue Fund $ 215,036 $ 215,036 92386
TOTAL ALL BUDGET FUND GROUPS $ 215,036 $ 215,036 92387


       Section 78.  ODB OHIO OPTICAL DISPENSERS BOARD92389

General Services Fund Group92390

4K9 894-609 Operating Expenses $ 307,096 $ 312,656 92391
TOTAL GSF General Services 92392
Fund Group $ 307,096 $ 312,656 92393
TOTAL ALL BUDGET FUND GROUPS $ 307,096 $ 312,656 92394


       Section 79.  OPT STATE BOARD OF OPTOMETRY92396

General Services Fund Group92397

4K9 885-609 Operating Expenses $ 306,140 $ 324,391 92398
TOTAL GSF General Services 92399
Fund Group $ 306,140 $ 324,391 92400
TOTAL ALL BUDGET FUND GROUPS $ 306,140 $ 324,391 92401


       Section 80.  OPP STATE BOARD OF ORTHOTICS, PROSTHETICS, AND92403
PEDORTHICS92404

General Services Fund Group92405

4K9 973-609 Operating Expenses $ 100,206 $ 102,395 92406
TOTAL GSF General Services 92407
Fund Group $ 100,206 $ 102,395 92408
TOTAL ALL BUDGET FUND GROUPS $ 100,206 $ 102,395 92409

       Section 81.  PBR STATE PERSONNEL BOARD OF REVIEW92410

General Revenue Fund92411

GRF 124-321 Operating $ 1,029,430 $ 1,077,170 92412
TOTAL GRF General Revenue Fund $ 1,029,430 $ 1,077,170 92413

General Services Fund Group92414

636 124-601 Transcript and Other $ 25,000 $ 25,000 92415
TOTAL GSF General Services 92416
Fund Group $ 25,000 $ 25,000 92417
TOTAL ALL BUDGET FUND GROUPS $ 1,054,430 $ 1,102,170 92418

       TRANSCRIPT AND OTHER92419

       The foregoing appropriation item 124-601, Transcript and92420
Other, may be used to defray the costs of producing an 92421
administrative record.92422

       Section 82.  PRX STATE BOARD OF PHARMACY92423

General Services Fund Group92424

4A5 887-605 Drug Law Enforcement $ 72,900 $ 75,550 92425
4K9 887-609 Operating Expenses $ 4,733,987 $ 4,914,594 92426
TOTAL GSF General Services 92427
Fund Group $ 4,806,887 $ 4,990,144 92428
TOTAL ALL BUDGET FUND GROUPS $ 4,806,887 $ 4,990,144 92429


       Section 83.  PSY STATE BOARD OF PSYCHOLOGY92431

General Services Fund Group92432

4K9 882-609 Operating Expenses $ 564,544 $ 561,525 92433
TOTAL GSF General Services 92434
Fund Group $ 564,544 $ 561,525 92435
TOTAL ALL BUDGET FUND GROUPS $ 564,544 $ 561,525 92436


       Section 84.  PUB OHIO PUBLIC DEFENDER COMMISSION92438

General Revenue Fund92439

GRF 019-321 Public Defender Administration $ 1,430,057 $ 1,351,494 92440
GRF 019-401 State Legal Defense Services $ 5,974,780 $ 5,943,572 92441
GRF 019-403 Multi-County: State Share $ 917,668 $ 930,894 92442
GRF 019-404 Trumbull County - State Share $ 299,546 $ 308,450 92443
GRF 019-405 Training Account $ 33,323 $ 33,323 92444
GRF 019-501 County Reimbursement - Non-Capital Cases $ 30,567,240 $ 32,630,070 92445
GRF 019-503 County Reimbursement - Capital Cases $ 693,000 $ 726,000 92446
TOTAL GRF General Revenue Fund $ 39,915,614 $ 41,923,803 92447

General Services Fund Group92448

101 019-602 Inmate Legal Assistance $ 52,698 $ 53,086 92449
406 019-603 Training and Publications $ 16,000 $ 16,000 92450
407 019-604 County Representation $ 255,789 $ 259,139 92451
408 019-605 Client Payments $ 285,533 $ 285,533 92452
TOTAL GSF General Services 92453
Fund Group $ 610,020 $ 613,758 92454

Federal Special Revenue Fund Group92455

3S8 019-608 Federal Representation $ 351,428 $ 355,950 92456
TOTAL FED Federal Special Revenue 92457
Fund Group $ 351,428 $ 355,950 92458

State Special Revenue Fund Group92459

4C7 019-601 Multi-County: County Share $ 1,923,780 $ 1,991,506 92460
4X7 019-610 Trumbull County - County Share $ 624,841 $ 658,764 92461
574 019-606 Legal Services Corporation $ 14,305,700 $ 14,305,800 92462
TOTAL SSR State Special Revenue 92463
Fund Group $ 16,854,321 $ 16,956,070 92464
TOTAL ALL BUDGET FUND GROUPS $ 57,731,383 $ 59,849,581 92465

       JUVENILE REPRESENTATION92466

        Of the foregoing appropriation item 019-401, State Legal 92467
Defense Services, at least $250,000 in each fiscal year shall be 92468
used to provide legal services and assistance to juveniles.92469

       INDIGENT DEFENSE OFFICE92470

       The foregoing appropriation items 019-404, Trumbull County -92471
State Share, and 019-610, Trumbull County - County Share, shall be92472
used to support an indigent defense office for Trumbull County.92473

       MULTI-COUNTY OFFICE92474

       The foregoing appropriation items 019-403, Multi-County:92475
State Share, and 019-601, Multi-County: County Share, shall be92476
used to support the Office of the Ohio Public Defender's92477
Multi-County Branch Office Program.92478

       TRAINING ACCOUNT92479

       The foregoing appropriation item 019-405, Training Account,92480
shall be used by the Ohio Public Defender to provide legal92481
training programs at no cost for private appointed counsel who92482
represent at least one indigent defendant at no cost and for state 92483
and county public defenders and attorneys who contract with the 92484
Ohio Public Defender to provide indigent defense services.92485

       FEDERAL REPRESENTATION92486

       The foregoing appropriation item 019-608, Federal92487
Representation, shall be used to receive reimbursements from the92488
federal courts when the Ohio Public Defender provides92489
representation in federal court cases and to support 92490
representation in such cases.92491

       APPOINTED COUNSEL REIMBURSEMENT RATE FREEZE92492

       In establishing maximum amounts that the state will reimburse 92493
counties for legal services pursuant to divisions (B) (8) and (9) 92494
of section 120.04 of the Revised Code for the period from July 1, 92495
2003, through June 30, 2005, the state public defender shall not 92496
establish maximum amounts that exceed the maximum amounts in 92497
effect on March 1, 2003.92498

       Section 85.  DHS DEPARTMENT OF PUBLIC SAFETY92499

General Revenue Fund92500

GRF 763-403 Operating Expenses - EMA $ 4,058,188 $ 4,058,188 92501
GRF 763-507 Individual and Households Grants $ 48,750 $ 48,750 92502
GRF 769-321 Food Stamp Trafficking Enforcement Operations $ 800,000 $ 800,000 92503
TOTAL GRF General Revenue Fund $ 4,906,938 $ 4,906,938 92504

TOTAL ALL BUDGET FUND GROUPS $ 4,906,938 $ 4,906,938 92505

       OHIO TASK FORCE ONE - URBAN SEARCH AND RESCUE UNIT92506

       Of the foregoing appropriation item 763-403, Operating92507
Expenses - EMA, $200,000 in each fiscal year shall be used to fund92508
the Ohio Task Force One - Urban Search and Rescue Unit and other92509
urban search and rescue programs around the state to create a92510
stronger search and rescue capability statewide.92511

       INDIVIDUAL AND HOUSEHOLDS GRANTS STATE MATCH92512

       The foregoing appropriation item 763-507, Individual and92513
Households Grants, shall be used to fund the state share of costs 92514
to provide grants to individuals and households in cases of 92515
disaster.92516

       Section 86.  PUC PUBLIC UTILITIES COMMISSION OF OHIO92517

General Services Fund Group92518

5F6 870-622 Utility and Railroad Regulation $ 30,622,222 $ 30,622,222 92519
5F6 870-624 NARUC/NRRI Subsidy $ 167,233 $ 167,233 92520
5F6 870-625 Motor Transportation Regulation $ 5,361,239 $ 5,361,239 92521
558 870-602 Salvage and Exchange $ 16,477 $ 4,000 92522
TOTAL GSF General Services 92523
Fund Group $ 36,167,171 $ 36,154,694 92524

Federal Special Revenue Fund Group92525

3V3 870-604 Commercial Vehicle Information Systems/Networks $ 870,000 $ 300,000 92526
333 870-601 Gas Pipeline Safety $ 597,957 $ 597,957 92527
350 870-608 Motor Carrier Safety $ 7,027,712 $ 7,027,712 92528
TOTAL FED Federal Special Revenue 92529
Fund Group $ 8,495,669 $ 7,925,669 92530

State Special Revenue Fund Group92531

4A3 870-614 Grade Crossing Protection Devices-State $ 1,349,757 $ 1,349,757 92532
4L8 870-617 Pipeline Safety-State $ 187,621 $ 187,621 92533
4S6 870-618 Hazardous Material Registration $ 899,325 $ 614,325 92534
4S6 870-621 Hazardous Materials Base State Registration $ 373,346 $ 373,346 92535
4U8 870-620 Civil Forfeitures $ 719,986 $ 434,986 92536
559 870-605 Public Utilities Territorial Administration $ 4,000 $ 4,000 92537
560 870-607 Special Assessment $ 100,000 $ 100,000 92538
561 870-606 Power Siting Board $ 337,210 $ 337,210 92539
638 870-611 Biomass Energy Program $ 40,000 $ 40,000 92540
661 870-612 Hazardous Materials Transportation $ 900,000 $ 900,000 92541
TOTAL SSR State Special Revenue 92542
Fund Group $ 4,911,245 $ 4,341,245 92543

Agency Fund Group92544

4G4 870-616 Base State Registration Program $ 6,500,000 $ 6,500,000 92545
TOTAL AGY Agency Fund Group $ 6,500,000 $ 6,500,000 92546
TOTAL ALL BUDGET FUND GROUPS $ 56,074,085 $ 54,921,608 92547

       COMMERCIAL VEHICLE INFORMATION SYSTEMS AND NETWORKS PROJECT92548

       The Commercial Vehicle Information Systems and Networks Fund 92549
is hereby created in the state treasury. The Commercial Vehicle 92550
Information Systems and Networks Fund shall receive funding from 92551
the United States Department of Transportation's Commercial 92552
Vehicle Intelligent Transportation System Infrastructure 92553
Deployment Program and shall be used to deploy the Ohio Commercial 92554
Vehicle Information Systems and Networks Project and to expedite 92555
and improve the safety of motor carrier operations through 92556
electronic exchange of data by means of on-highway electronic 92557
systems.92558

       Notwithstanding section 4905.80 of the Revised Code, up to 92559
$435,000 in fiscal year 2004 and $150,000 in fiscal year 2005 of 92560
the foregoing appropriation item 870-618, Hazardous Material 92561
Registration, may be used to pay the state share of the 92562
implementation of the Ohio Commercial Vehicle Information Systems 92563
and Networks Project.92564

       Notwithstanding section 4923.12 of the Revised Code, up to 92565
$435,000 in fiscal year 2004 and $150,000 in fiscal year 2005 of 92566
the foregoing appropriation item 870-620, Civil Forfeitures, may 92567
be used to pay the state share of the implementation of the Ohio 92568
Commercial Vehicle Information Systems and Networks Project.92569

       Section 87. PWC PUBLIC WORKS COMMISSION92570

General Revenue Fund92571

GRF 150-904 Conservation General Obligation Debt Service $ 9,743,500 $ 11,235,700 92572
GRF 150-907 State Capital Improvements $ 156,974,400 $ 152,069,700 92573
General Obligation Debt Service 92574
TOTAL GRF General Revenue Fund $ 166,717,900 $ 163,305,400 92575

Clean Ohio Fund Group92576

056 150-403 Clean Ohio Operating Expenses $ 298,200 $ 304,400 92577
TOTAL 056 Clean Ohio Fund Group $ 298,200 $ 304,400 92578
TOTAL ALL BUDGET FUND GROUPS $ 167,016,100 $ 163,609,800 92579

       CONSERVATION GENERAL OBLIGATION DEBT SERVICE92580

       The foregoing appropriation item 150-904, Conservation92581
General Obligation Debt Service, shall be used to pay all debt92582
service and related financing costs at the times they are required 92583
to be made pursuant to sections 151.01 and 151.09 of the Revised 92584
Code during the period from July 1, 2003, to June 30, 2005. The 92585
Office of the Sinking Fund or the Director of Budget and 92586
Management shall effectuate the required payments by an intrastate 92587
transfer voucher.92588

       STATE CAPITAL IMPROVEMENTS GENERAL OBLIGATION DEBT SERVICE92589

       The foregoing appropriation item 150-907, State Capital92590
Improvements General Obligation Debt Service, shall be used to pay92591
all debt service and related financing costs at the times they are92592
required to be made pursuant to sections 151.01 and 151.08 of the 92593
Revised Code during the period from July 1, 2003, to June 30, 92594
2005. The Office of the Sinking Fund or the Director of Budget and 92595
Management shall effectuate the required payments by an intrastate 92596
transfer voucher.92597

       CLEAN OHIO OPERATING EXPENSES92598

       The foregoing appropriation item 150-403, Clean Ohio 92599
Operating Expenses, shall be used by the Ohio Public Works 92600
Commission in administering sections 164.20 to 164.27 of the 92601
Revised Code.92602

       Section 88.  RAC STATE RACING COMMISSION92603

State Special Revenue Fund Group92604

5C4 875-607 Simulcast Horse Racing Purse $ 19,730,799 $ 19,476,952 92605
562 875-601 Thoroughbred Race Fund $ 4,642,378 $ 4,642,378 92606
563 875-602 Standardbred Development Fund $ 2,908,841 $ 3,161,675 92607
564 875-603 Quarterhorse Development Fund $ 1,000 $ 2,000 92608
565 875-604 Racing Commission Operating $ 4,485,777 $ 4,759,834 92609
TOTAL SSR State Special Revenue 92610
Fund Group $ 31,768,795 $ 32,042,839 92611

Holding Account Redistribution Fund Group92612

R21 875-605 Bond Reimbursements $ 212,900 $ 212,900 92613
TOTAL 090 Holding Account Redistribution 92614
Fund Group $ 212,900 $ 212,900 92615
TOTAL ALL BUDGET FUND GROUPS $ 31,981,695 $ 32,255,739 92616


       Section 89.  BOR BOARD OF REGENTS92618

General Revenue Fund92619

GRF 235-321 Operating Expenses $ 3,336,284 $ 2,767,219 92620
GRF 235-401 Lease Rental Payments $ 246,500,700 $ 216,836,400 92621
GRF 235-402 Sea Grants $ 274,895 $ 274,895 92622
GRF 235-403 Math/Science Teaching Improvement $ 1,757,614 $ 1,757,614 92623
GRF 235-404 College Readiness Initiatives $ 3,152,603 $ 3,401,759 92624
GRF 235-406 Articulation and Transfer $ 733,200 $ 733,200 92625
GRF 235-408 Midwest Higher Education Compact $ 82,500 $ 82,500 92626
GRF 235-409 Information System $ 1,185,879 $ 1,154,671 92627
GRF 235-414 State Grants and Scholarship Administration $ 1,219,719 $ 1,211,373 92628
GRF 235-415 Jobs Challenge $ 9,348,300 $ 9,348,300 92629
GRF 235-417 Ohio Learning Network $ 3,413,046 $ 3,327,720 92630
GRF 235-418 Access Challenge $ 67,568,622 $ 67,568,622 92631
GRF 235-420 Success Challenge $ 51,113,077 $ 56,113,077 92632
GRF 235-428 Appalachian New Economy Partnership $ 1,179,893 $ 1,147,895 92633
GRF 235-451 Eminent Scholars $ 0 $ 1,462,500 92634
GRF 235-454 Research Challenge $ 18,330,000 $ 18,330,000 92635
GRF 235-455 EnterpriseOhio Network $ 1,505,262 $ 1,465,650 92636
GRF 235-474 Area Health Education Centers Program Support $ 1,722,226 $ 1,676,670 92637
GRF 235-477 Access Improvement Projects $ 1,048,664 $ 1,080,124 92638
GRF 235-501 State Share of Instruction $ 1,534,189,277 $ 1,559,096,031 92639
GRF 235-502 Student Support Services $ 870,675 $ 848,908 92640
GRF 235-503 Ohio Instructional Grants $ 111,966,343 $ 115,325,333 92641
GRF 235-504 War Orphans Scholarships $ 4,672,321 $ 4,672,321 92642
GRF 235-507 OhioLINK $ 7,028,392 $ 7,028,392 92643
GRF 235-508 Air Force Institute of Technology $ 2,096,523 $ 2,053,860 92644
GRF 235-509 Displaced Homemakers $ 204,865 $ 199,743 92645
GRF 235-510 Ohio Supercomputer Center $ 4,208,472 $ 4,103,260 92646
GRF 235-511 Cooperative Extension Service $ 25,644,863 $ 25,644,863 92647
GRF 235-513 Ohio University Voinovich Center $ 311,977 $ 305,178 92648
GRF 235-514 Central State Supplement $ 11,039,203 $ 11,039,203 92649
GRF 235-515 Case Western Reserve University School of Medicine $ 3,303,612 $ 3,212,271 92650
GRF 235-518 Capitol Scholarship Programs $ 245,000 $ 245,000 92651
GRF 235-519 Family Practice $ 5,529,432 $ 5,391,196 92652
GRF 235-520 Shawnee State Supplement $ 2,082,289 $ 2,082,289 92653
GRF 235-521 The Ohio State University Glenn Institute $ 311,977 $ 305,178 92654
GRF 235-524 Police and Fire Protection $ 209,046 $ 203,819 92655
GRF 235-525 Geriatric Medicine $ 820,696 $ 800,179 92656
GRF 235-526 Primary Care Residencies $ 2,730,013 $ 2,661,762 92657
GRF 235-527 Ohio Aerospace Institute $ 1,933,607 $ 1,882,767 92658
GRF 235-530 Academic Scholarships $ 7,800,000 $ 7,800,000 92659
GRF 235-531 Student Choice Grants $ 52,139,646 $ 52,139,646 92660
GRF 235-534 Student Workforce Development Grants $ 2,437,500 $ 2,437,500 92661
GRF 235-535 Ohio Agricultural Research and Development Center $ 35,830,188 $ 35,830,188 92662
GRF 235-536 The Ohio State University Clinical Teaching $ 13,565,885 $ 13,565,885 92663
GRF 235-537 University of Cincinnati Clinical Teaching $ 11,157,756 $ 11,157,756 92664
GRF 235-538 Medical College of Ohio at Toledo Clinical Teaching $ 8,696,866 $ 8,696,866 92665
GRF 235-539 Wright State University Clinical Teaching $ 4,225,107 $ 4,225,107 92666
GRF 235-540 Ohio University Clinical Teaching $ 4,084,540 $ 4,084,540 92667
GRF 235-541 Northeastern Ohio Universities College of Medicine Clinical Teaching $ 4,200,945 $ 4,200,945 92668
GRF 235-543 Ohio College of Podiatric Medicine Clinical Subsidy $ 424,033 $ 424,033 92669
GRF 235-547 School of International Business $ 1,264,611 $ 1,232,996 92670
GRF 235-549 Part-time Student Instructional Grants $ 14,036,622 $ 14,457,721 92671
GRF 235-552 Capital Component $ 18,711,936 $ 18,711,936 92672
GRF 235-553 Dayton Area Graduate Studies Institute $ 3,074,550 $ 2,993,937 92673
GRF 235-554 Computer Science Graduate Education $ 2,577,209 $ 2,512,779 92674
GRF 235-555 Library Depositories $ 1,775,467 $ 1,731,080 92675
GRF 235-556 Ohio Academic Resources Network $ 3,657,009 $ 3,803,289 92676
GRF 235-558 Long-term Care Research $ 230,906 $ 225,134 92677
GRF 235-561 Bowling Green State University Canadian Studies Center $ 121,586 $ 118,546 92678
GRF 235-572 The Ohio State University Clinic Support $ 1,400,394 $ 1,362,259 92679
GRF 235-583 Urban University Programs $ 5,692,236 $ 5,553,506 92680
GRF 235-585 Ohio University Innovation Center $ 41,596 $ 40,556 92681
GRF 235-587 Rural University Projects $ 1,224,510 $ 1,224,510 92682
GRF 235-588 Ohio Resource Center for Mathematics, Science, and Reading $ 853,262 $ 853,262 92683
GRF 235-595 International Center for Water Resources Development $ 137,352 $ 133,918 92684
GRF 235-596 Hazardous Materials Program $ 339,647 $ 331,156 92685
GRF 235-599 National Guard Scholarship Program $ 13,252,916 $ 14,578,208 92686
GRF 235-909 Higher Education General Obligation Debt Service $ 97,668,000 $ 130,967,600 92687
TOTAL GRF General Revenue Fund $ 2,443,493,342 $ 2,482,236,601 92688

General Services Fund Group92689

220 235-614 Program Approval and Reauthorization $ 400,000 $ 400,000 92690
456 235-603 Sales and Services $ 500,002 $ 500,003 92691
TOTAL GSF General Services 92692
Fund Group $ 900,002 $ 900,003 92693

Federal Special Revenue Fund Group92694

3H2 235-608 Human Services Project $ 1,500,000 $ 1,500,000 92695
3N6 235-605 State Student Incentive Grants $ 2,196,680 $ 2,196,680 92696
3T0 235-610 National Health Service Corps - Ohio Loan Repayment $ 150,001 $ 150,001 92697
312 235-609 Tech Prep $ 183,850 $ 183,850 92698
312 235-611 Gear-up Grant $ 1,478,245 $ 1,370,691 92699
312 235-612 Carl D. Perkins Grant/Plan Administration $ 112,960 $ 112,960 92700
312 235-615 Professional Development $ 523,129 $ 523,129 92701
312 235-616 Workforce Investment Act Administration $ 850,000 $ 850,000 92702
312 235-631 Federal Grants $ 3,444,949 $ 3,150,590 92703
TOTAL FED Federal Special Revenue 92704
Fund Group $ 10,439,814 $ 10,037,901 92705

State Special Revenue Fund Group92706

4E8 235-602 Higher Educational Facility Commission Administration $ 20,000 $ 20,000 92707
4P4 235-604 Physician Loan Repayment $ 476,870 $ 476,870 92708
649 235-607 The Ohio State University Highway/Transportation Research $ 760,000 $ 760,000 92709
682 235-606 Nursing Loan Program $ 893,000 $ 893,000 92710
TOTAL SSR State Special Revenue 92711
Fund Group $ 2,149,870 $ 2,149,870 92712
TOTAL ALL BUDGET FUND GROUPS $ 2,456,983,028 $ 2,495,324,375 92713


       Section 89.01. OPERATING EXPENSES92715

       Of the foregoing appropriation item 235-321, Operating 92716
Expenses, up to $500,000 shall be used in fiscal year 2004 to 92717
support the activities of the Commission on Higher Education and 92718
the Economy. The Commission shall recommend a strategy to improve 92719
the quality and efficiency of Ohio's higher education system to 92720
increase effectiveness, eliminate unnecessary duplication, broaden 92721
the use of technology, and determine how higher education can most 92722
effectively support the state's economy, best prepare Ohio 92723
students for Third Frontier jobs, and add to the quality of life 92724
for Ohio's citizens. The Commission shall also study the ten year 92725
plan for higher education in the context of curricula, the number 92726
of higher education institutions, and the number and types of 92727
higher education degrees in relation to the needs created through 92728
the Third Frontier and other high technology economic initiatives. 92729
The Director of Budget and Management may transfer any 92730
unencumbered fiscal year 2004 balance to fiscal year 2005 to 92731
support the activities of the Commission.92732

       Of the foregoing appropriation item 235-321, Operating 92733
Expenses, $50,000 in each fiscal year shall be distributed to the 92734
Don't Laugh at Me Program, which shall use the funds to 92735
disseminate educational resources designed to establish a climate 92736
that reduces the emotional and physical harm caused by ridicule, 92737
bullying, and violence.92738

       LEASE RENTAL PAYMENTS92739

       The foregoing appropriation item 235-401, Lease Rental92740
Payments, shall be used to meet all payments at the times they are92741
required to be made during the period from July 1, 2003, to June92742
30, 2005, by the Board of Regents pursuant to leases and92743
agreements made under section 154.21 of the Revised Code, but92744
limited to the aggregate amount of $463,377,100. Nothing in this 92745
act shall be deemed to contravene the obligation of the state to92746
pay, without necessity for further appropriation, from the sources92747
pledged thereto, the bond service charges on obligations issued92748
pursuant to section 154.21 of the Revised Code.92749

       SEA GRANTS92750

       The foregoing appropriation item 235-402, Sea Grants, shall92751
be disbursed to the Ohio State University and shall be used to92752
conduct research on fish in Lake Erie.92753

       MATHEMATICS AND SCIENCE TEACHING IMPROVEMENT92754

       Appropriation item 235-403, Math/Science Teaching92755
Improvement, shall be used by the Board of Regents to support92756
programs such as OSI - Discovery designed to raise the quality of92757
mathematics and science teaching in primary and secondary 92758
education.92759

       Of the foregoing appropriation item 235-403, Math/Science 92760
Teaching Improvement, $217,669 in each fiscal year shall be 92761
distributed to the Mathemathics and Science Center in Lake County.92762

       Of the foregoing appropriation item 235-403, Math/Science 92763
Teaching Improvement, $87,068 in fiscal year 2004 and $87,067 in 92764
fiscal year 2005 shall be distributed to the Ohio Mathematics and 92765
Science Coalition.92766

       COLLEGE READINESS INITIATIVES92767

       Appropriation item 235-404, College Readiness Initiatives,92768
shall be used by the Board of Regents to support programs designed 92769
to improve the academic preparation and increase the number of 92770
students that enroll and succeed in higher education.92771

       MIDWEST HIGHER EDUCATION COMPACT92772

       The foregoing appropriation item 235-408, Midwest Higher92773
Education Compact, shall be distributed by the Board of Regents92774
pursuant to section 3333.40 of the Revised Code.92775

       INFORMATION SYSTEM92776

       The foregoing appropriation item 235-409, Information System,92777
shall be used by the Board of Regents to operate the higher92778
education information data system known as the Higher Education92779
Information System.92780

       Section 89.02. JOBS CHALLENGE92781

       Funds appropriated to appropriation item 235-415, Jobs92782
Challenge, shall be distributed to state-assisted community and92783
technical colleges, regional campuses of state-assisted92784
universities, and other organizationally distinct and identifiable92785
member campuses of the EnterpriseOhio Network in support of92786
noncredit job-related training. In each fiscal year, $2,770,773 92787
shall be distributed as performance grants to EnterpriseOhio 92788
Network campuses based upon each campus's documented performance 92789
according to criteria established by the Board of Regents for 92790
increasing training and related services to businesses, 92791
industries, and public sector organizations.92792

       Of the foregoing appropriation item 235-415, Jobs Challenge,92793
$2,819,345 in each fiscal year shall be allocated to the Targeted92794
Industries Training Grant Program to attract, develop, and retain92795
business and industry strategically important to the state's92796
economy.92797

       Also, in each fiscal year, $3,758,182 shall be allocated to 92798
the Higher Skills Incentives Program to promote and deliver 92799
coordinated, comprehensive training to local employers and to 92800
reward EnterpriseOhio Network campuses for increasing the amount 92801
of non-credit skill upgrading services provided to Ohio employers 92802
and employees. The funds shall be distributed to campuses in 92803
proportion to each campus's share of noncredit job-related 92804
training revenues received by all campuses for the previous fiscal 92805
year. It is the intent of the General Assembly that this Higher 92806
Skills Incentives component of the Jobs Challenge Program reward 92807
campus noncredit job-related training efforts in the same manner 92808
that the Research Challenge Program rewards campuses for their 92809
ability to obtain sponsored research revenues.92810

       OHIO LEARNING NETWORK92811

       Appropriation item 235-417, Ohio Learning Network, shall be92812
used by the Board of Regents to support the continued92813
implementation of the Ohio Learning Network, a statewide92814
electronic collaborative effort designed to promote degree92815
completion of students, workforce training of employees, and92816
professional development through the use of advanced92817
telecommunications and distance education initiatives.92818

       ACCESS CHALLENGE92819

       In each fiscal year, the foregoing appropriation item92820
235-418, Access Challenge, shall be distributed to Ohio's92821
state-assisted access colleges and universities. For the purposes 92822
of this allocation, "access campuses" includes state-assisted 92823
community colleges, state community colleges, technical colleges, 92824
Shawnee State University, Central State University, Cleveland 92825
State University, the regional campuses of state-assisted 92826
universities, and, where they are organizationally distinct and92827
identifiable, the community-technical colleges located at the 92828
University of Cincinnati, Youngstown State University, and the92829
University of Akron.92830

       The purpose of Access Challenge is to reduce the student 92831
share of costs for resident undergraduates enrolled in lower 92832
division undergraduate courses at Ohio's access campuses. The 92833
long-term goal is to make the student share of costs for these 92834
students equivalent to the student share of costs for resident 92835
undergraduate students enrolled throughout Ohio's public colleges 92836
and universities. Access Challenge appropriations shall be used in 92837
both years of the biennium to sustain, as much as possible, the 92838
tuition restraint or tuition reduction that was achieved with 92839
Access Challenge allocations in prior years.92840

       In fiscal year 2004, Access Challenge subsidies shall be 92841
distributed by the Board of Regents to eligible access campuses on 92842
the basis of the average of each campus's share of fiscal year 92843
2001 and 2002 all-terms subsidy-eligible General Studies FTEs. In 92844
fiscal year 2005, Access Challenge subsidies shall be distributed 92845
by the Board of Regents to eligible access campuses on the basis 92846
of the average of each campus's share of fiscal year 2002 and 2003 92847
all-terms subsidy-eligible General Studies FTEs.92848

       For the purposes of this calculation, Cleveland State92849
University's enrollments shall be adjusted by the ratio of the sum92850
of subsidy-eligible lower-division FTE student enrollments92851
eligible for access funding to the sum of subsidy-eligible General92852
Studies FTE student enrollments at Central State University and92853
Shawnee State University, and for the following universities and92854
their regional campuses: the Ohio State University, Ohio 92855
University, Kent State University, Bowling Green State University, 92856
Miami University, the University of Cincinnati, the University of 92857
Akron, and Wright State University.92858

       SUCCESS CHALLENGE92859

       The foregoing appropriation item 235-420, Success Challenge,92860
shall be used by the Board of Regents to promote degree completion 92861
by students enrolled at a main campus of a state-assisted92862
university.92863

       Of the foregoing appropriation item 235-420, Success 92864
Challenge, 71.77 per cent of the appropriation in fiscal year 2004 92865
and 74.29 per cent of the appropriation in fiscal year 2005 shall92866
be distributed to state-assisted university main campuses in92867
proportion to each campus's share of the total statewide92868
bachelor's degrees granted by university main campuses to92869
"at-risk" students. In fiscal years 2004 and 2005, an "at-risk"92870
student means any undergraduate student who was eligible to 92871
receive an Ohio Instructional Grant during the past ten years. An 92872
eligible institution shall not receive its share of this92873
distribution until it has submitted a plan that addresses how the92874
subsidy will be used to better serve at-risk students and increase92875
their likelihood of successful completion of a bachelor's degree92876
program. The Board of Regents shall disseminate to all92877
state-supported institutions of higher education all such plans92878
submitted by institutions that received Success Challenge funds.92879

       Of the foregoing appropriation item 235-420, Success 92880
Challenge, 28.23 per cent of the appropriation in fiscal year 92881
2004, and 25.71 per cent of the appropriation in fiscal year 2005 92882
shall be distributed to university main campuses in proportion to 92883
each campus's share of the total bachelor's degrees granted by92884
university main campuses to undergraduate students who completed92885
their bachelor's degrees in a "timely manner" in the previous92886
fiscal year. For the purposes of this section, "timely manner"92887
means the normal time it would take for a full-time degree-seeking92888
undergraduate student to complete the student's degree. Generally,92889
for such students pursuing a bachelor's degree, "timely manner"92890
means four years. Exceptions to this general rule shall be92891
permitted for students enrolled in programs specifically designed92892
to be completed in a longer time period. The Board of Regents92893
shall collect data to assess the timely completion statistics by92894
university main campuses.92895

       APPALACHIAN NEW ECONOMY PARTNERSHIP92896

       The foregoing appropriation item 235-428, Appalachian New92897
Economy Partnership, shall be distributed to Ohio University to92898
continue a multi-campus and multi-agency coordinated effort to 92899
link Appalachia to the new economy. Ohio University shall use 92900
these funds to provide leadership in the development and 92901
implementation of initiatives in the areas of entrepreneurship, 92902
management, education, and technology.92903

       EMINENT SCHOLARS92904

       The foregoing appropriation item 235-451, Eminent Scholars,92905
shall be used by the Ohio Board of Regents to establish an Ohio92906
Eminent Scholars Program, the purpose of which is to invest92907
educational resources to address problems that are of vital92908
statewide significance while fostering the growth in eminence of92909
Ohio's academic programs. Ohio Eminent Scholars endowed chairs 92910
will allow Ohio universities to recruit senior faculty members 92911
from outside Ohio who are nationally and internationally 92912
recognized scholars in areas of science and technology that 92913
provide the basic research platforms on which our technology and 92914
commercialization efforts are built. Endowment grants of 92915
approximately $750,000 to state colleges and universities and 92916
nonprofit Ohio institutions of higher education holding 92917
certificates of authorization issued under section 1713.02 of the 92918
Revised Code to match endowment gifts from nonstate sources may be 92919
made in accordance with a plan established by the Ohio Board of 92920
Regents. Matching nonstate gifts in science and technology 92921
programs shall be $750,000. The grants shall have as their purpose 92922
attracting and sustaining in Ohio scholar-leaders of national or 92923
international prominence; each will assist in accelerating state 92924
economic growth through research that provides an essential basic 92925
science platform for commercialization efforts. Such 92926
scholar-leaders shall, among their duties, share broadly the 92927
benefits and knowledge unique to their fields of scholarship to 92928
the betterment of Ohio and its people and collaborate with other 92929
state technology programs and program recipients.92930

       RESEARCH CHALLENGE92931

       The foregoing appropriation item 235-454, Research Challenge,92932
shall be used to enhance the basic research capabilities of public92933
colleges and universities and accredited Ohio institutions of92934
higher education holding certificates of authorization issued92935
pursuant to section 1713.02 of the Revised Code, in order to92936
strengthen academic research for pursuing Ohio's economic92937
development goals. The Board of Regents, in consultation with the 92938
colleges and universities, shall administer the Research Challenge 92939
Program and utilize a means of matching, on a fractional basis, 92940
external funds attracted in the previous year by institutions for 92941
basic research. The program may include incentives for increasing 92942
the amount of external research funds coming to eligible 92943
institutions and for focusing research efforts upon critical state 92944
needs. Colleges and universities shall submit for review and 92945
approval to the Board of Regents plans for the institutional 92946
allocation of state dollars received through the program. The 92947
institutional plans shall provide the rationale for the allocation 92948
in terms of the strategic targeting of funds for academic and 92949
state purposes, for strengthening research programs, for 92950
increasing the amount of external research funds, and shall 92951
include an evaluation process to provide results of the increased 92952
support. Each institutional plan for the investment of Research 92953
Challenge moneys shall report on existing, planned, and/or 92954
possible relationships with other State of Ohio science and 92955
technology programs and funding recipients in order to further 92956
ongoing statewide science and technology collaboration objectives.92957
The Board of Regents shall submit a biennial report of progress to 92958
the General Assembly.92959

       ENTERPRISEOHIO NETWORK92960

       The foregoing appropriation item 235-455, EnterpriseOhio 92961
Network, shall be allocated by the Board of Regents to continue 92962
increasing the capabilities of the EnterpriseOhio Network to meet 92963
the ongoing training needs of Ohio employers. Funds shall support 92964
multicampus collaboration, best practice dissemination, and 92965
capacity building projects. The Regents Advisory Committee for 92966
Workforce Development, in its advisory role, shall advise in the 92967
development of plans and activities.92968

       Of the foregoing appropriation item 235-455, EnterpriseOhio 92969
Network, $181,101 in fiscal year 2004 and $176,334 in fiscal year 92970
2005 shall be used by the Dayton Business/Sinclair College Jobs 92971
Profiling Program.92972

       Section 89.03. AREA HEALTH EDUCATION CENTERS92973

       The foregoing appropriation item 235-474, Area Health92974
Education Centers Program Support, shall be used by the Board of92975
Regents to support the medical school regional area health92976
education centers' educational programs for the continued support92977
of medical and other health professions education and for support92978
of the Area Health Education Center Program.92979

       Of the foregoing appropriation item 235-474, Area Health92980
Education Centers Program Support, $174,135 in fiscal year 2004 92981
and $169,782 in fiscal year 2005 shall be disbursed to the Ohio 92982
University College of Osteopathic Medicine to operate a mobile 92983
health care unit to serve the southeastern area of the state. Of 92984
the foregoing appropriation item 235-474, Area Health Education 92985
Centers Program Support, $130,601 in fiscal year 2004 and $127,337 92986
in fiscal year 2005 shall be used to support the Ohio Valley 92987
Community Health Information Network (OVCHIN) project.92988

       ACCESS IMPROVEMENT PROJECTS92989

       The foregoing appropriation item 235-477, Access Improvement92990
Projects, shall be used by the Board of Regents to support92991
innovative statewide strategies to increase student access and92992
retention for specialized populations, and to provide for pilot92993
projects that will contribute to improving access to higher92994
education by specialized populations. The funds may be used for92995
projects that improve access for nonpublic secondary students.92996

       Of the foregoing appropriation item 235-477, Access92997
Improvement Projects, $798,684 in fiscal year 2004 and $822,645 in 92998
fiscal year 2005 shall be distributed to the Ohio Appalachian 92999
Center for Higher Education at Shawnee State University. The board 93000
of directors of the center shall consist of the presidents of 93001
Shawnee State University, Ohio University, Belmont Technical 93002
College, Hocking Technical College, Jefferson Community College, 93003
Muskingum Area Technical College, Rio Grande Community College, 93004
Southern State Community College, and Washington State Community 93005
College; the dean of one of the Salem, Tuscarawas, and East 93006
Liverpool regional campuses of Kent State University, as 93007
designated by the president of Kent State University; and a93008
representative of the Board of Regents designated by the93009
Chancellor.93010

       Of the foregoing appropriation item 235-477, Access93011
Improvement Projects, $169,553 in fiscal year 2004 and $174,640 in 93012
fiscal year 2005 shall be distributed to Miami University for the 93013
Student Achievement in Research and Scholarship (STARS) Program.93014

       Section 89.04. STATE SHARE OF INSTRUCTION93015

       As soon as practicable during each fiscal year of the93016
2003-2005 biennium in accordance with instructions of the Board of93017
Regents, each state-assisted institution of higher education shall93018
report its actual enrollment to the Board of Regents.93019

       The Board of Regents shall establish procedures required by93020
the system of formulas set out below and for the assignment of93021
individual institutions to categories described in the formulas.93022
The system of formulas establishes the manner in which aggregate93023
expenditure requirements shall be determined for each of the three93024
components of institutional operations. In addition to other93025
adjustments and calculations described below, the subsidy93026
entitlement of an institution shall be determined by subtracting93027
from the institution's aggregate expenditure requirements income93028
to be derived from the local contributions assumed in calculating93029
the subsidy entitlements. The local contributions for purposes of93030
determining subsidy support shall not limit the authority of the93031
individual boards of trustees to establish fee levels.93032

       The General Studies and Technical models shall be adjusted by93033
the Board of Regents so that the share of state subsidy earned by93034
those models is not altered by changes in the overall local share.93035
A lower-division fee differential shall be used to maintain the93036
relationship that would have occurred between these models and the93037
baccalaureate models had an assumed share of 37 per cent been 93038
funded.93039

       In defining the number of full-time equivalent (FTE) students93040
for state subsidy purposes, the Board of Regents shall exclude all 93041
undergraduate students who are not residents of Ohio, except those 93042
charged in-state fees in accordance with reciprocity agreements 93043
made pursuant to section 3333.17 of the Revised Code or employer 93044
contracts entered into pursuant to section 3333.32 of the Revised 93045
Code.93046

       (A) AGGREGATE EXPENDITURE PER FULL-TIME EQUIVALENT STUDENT93047

       (1) INSTRUCTION AND SUPPORT SERVICES93048

MODEL FY 2004 FY 2005 93049
General Studies I $ 4,947 $ 4,983 93050
General Studies II $ 5,323 $ 5,336 93051
General Studies III $ 6,883 $ 7,120 93052
Technical I $ 5,913 $ 6,137 93053
Technical III $ 9,522 $ 10,026 93054
Baccalaureate I $ 7,623 $ 7,721 93055
Baccalaureate II $ 8,584 $ 8,864 93056
Baccalaureate III $ 12,559 $ 12,932 93057
Masters and Professional I $ 15,867 $ 18,000 93058
Masters and Professional II $ 20,861 $ 22,141 93059
Masters and Professional III $ 27,376 $ 28,190 93060
Medical I $ 30,867 $ 31,819 93061
Medical II $ 41,495 $ 41,960 93062
MPD I $ 14,938 $ 14,966 93063

       (2) STUDENT SERVICES93064

       For this purpose, FTE counts shall be weighted to reflect93065
differences among institutions in the numbers of students enrolled93066
on a part-time basis. The student services subsidy per FTE shall 93067
be $822 in fiscal year 2004 and $903 in fiscal year 2005 for all 93068
models.93069

       (B) PLANT OPERATION AND MAINTENANCE (POM)93070

       (1) DETERMINATION OF THE SQUARE-FOOT-BASED POM SUBSIDY93071

       Space undergoing renovation shall be funded at the rate93072
allowed for storage space.93073

       In the calculation of square footage for each campus, square93074
footage shall be weighted to reflect differences in space93075
utilization.93076

       The space inventories for each campus shall be those93077
determined in the fiscal year 2003 state share of instruction 93078
calculation, adjusted for changes attributable to the construction 93079
or renovation of facilities for which state appropriations were93080
made or local commitments were made prior to January 1, 1995.93081

       Only 50 per cent of the space permanently taken out of93082
operation in fiscal year 2004 or fiscal year 2005 that is not93083
otherwise replaced by a campus shall be deleted from the plant 93084
operation and maintenance space inventory.93085

       The square-foot-based plant operation and maintenance subsidy93086
for each campus shall be determined as follows:93087

       (a) For each standard room type category shown below, the93088
subsidy-eligible net assignable square feet (NASF) for each campus93089
shall be multiplied by the following rates, and the amounts summed93090
for each campus to determine the total gross square-foot-based POM93091
expenditure requirement:93092

FY 2004 FY 2005 93093
Classrooms $5.80 $6.04 93094
Laboratories $7.22 $7.53 93095
Offices $5.80 $6.04 93096
Audio Visual Data Processing $7.22 $7.53 93097
Storage $2.57 $2.68 93098
Circulation $7.31 $7.62 93099
Other $5.80 $6.04 93100

       (b) The total gross square-foot POM expenditure requirement93101
shall be allocated to models in proportion to FTE enrollments as93102
reported in enrollment data for all models except Doctoral I and93103
Doctoral II.93104

       (c) The amounts allocated to models in division (B)(1)(b) of93105
this section shall be multiplied by the ratio of subsidy-eligible93106
FTE students to total FTE students reported in each model, and the93107
amounts summed for all models. To this total amount shall be added 93108
an amount to support roads and grounds expenditures to produce the 93109
total square-foot-based POM subsidy.93110

       (2) DETERMINATION OF THE ACTIVITY-BASED POM SUBSIDY93111

       (a) The number of subsidy-eligible FTE students in each model 93112
shall be multiplied by the following rates for each campus for 93113
each fiscal year.93114

FY 2004 FY 2005 93115
General Studies I $ 552 $ 560 93116
General Studies II $ 696 $ 705 93117
General Studies III $1,608 $1,651 93118
Technical I $ 777 $ 806 93119
Technical III $1,501 $1,570 93120
Baccalaureate I $ 700 $ 706 93121
Baccalaureate II $1,250 $1,232 93122
Baccalaureate III $1,520 $1,458 93123
Masters and Professional I $1,258 $1,301 93124
Masters and Professional II $2,817 $2,688 93125
Masters and Professional III $3,832 $3,712 93126
Medical I $2,663 $2,669 93127
Medical II $3,837 $4,110 93128
MPD I $1,213 $1,233 93129

       (b) The sum of the products for each campus determined in93130
division (B)(2)(a) of this section for all models except Doctoral93131
I and Doctoral II for each fiscal year shall be weighted by a93132
factor to reflect sponsored research activity and job93133
training-related public services expenditures to determine the93134
total activity-based POM subsidy.93135

       (C) CALCULATION OF CORE SUBSIDY ENTITLEMENTS AND ADJUSTMENTS93136

       (1) CALCULATION OF CORE SUBSIDY ENTITLEMENTS93137

       The calculation of the core subsidy entitlement shall consist93138
of the following components:93139

       (a) For each campus and for each fiscal year, the core93140
subsidy entitlement shall be determined by multiplying the amounts93141
listed above in divisions (A)(1) and (2) and (B)(2) of this93142
section less assumed local contributions, by (i) average93143
subsidy-eligible FTEs for the two-year period ending in the prior93144
year for all models except Doctoral I and Doctoral II; and (ii)93145
average subsidy-eligible FTEs for the five-year period ending in93146
the prior year for all models except Doctoral I and Doctoral II.93147

       (b) In calculating the core subsidy entitlements for Medical93148
II models only, the Board of Regents shall use the following count93149
of FTE students:93150

       (i) For those medical schools whose current year enrollment, 93151
including students repeating terms, is below the base enrollment, 93152
the Medical II FTE enrollment shall equal: 65 per cent of the base93153
enrollment plus 35 per cent of the current year enrollment 93154
including students repeating terms, where the base enrollment is:93155

The Ohio State University 1010 93156
University of Cincinnati 833 93157
Medical College of Ohio at Toledo 650 93158
Wright State University 433 93159
Ohio University 433 93160
Northeastern Ohio Universities College of Medicine 433 93161

       (ii) For those medical schools whose current year enrollment, 93162
excluding students repeating terms, is equal to or greater than 93163
the base enrollment, the Medical II FTE enrollment shall equal the93164
base enrollment plus the FTE for repeating students.93165

       (iii) Students repeating terms may be no more than five per 93166
cent of current year enrollment.93167

       (c) The Board of Regents shall compute the sum of the two93168
calculations listed in division (C)(1)(a) of this section and use93169
the greater sum as the core subsidy entitlement.93170

       The POM subsidy for each campus shall equal the greater of93171
the square-foot-based subsidy or the activity-based POM subsidy93172
component of the core subsidy entitlement.93173

       (d) The state share of instruction provided for doctoral93174
students shall be based on a fixed percentage of the total93175
appropriation. In each fiscal year of the biennium not more than93176
10.34 per cent of the total state share of instruction shall be93177
reserved to implement the recommendations of the Graduate Funding93178
Commission. It is the intent of the General Assembly that the93179
doctoral reserve not exceed 10.34 per cent of the total state93180
share of instruction to implement the recommendations of the93181
Graduate Funding Commission. The Board of Regents may reallocate 93182
up to two per cent in each fiscal year of the reserve among the93183
state-assisted universities on the basis of a quality review as93184
specified in the recommendations of the Graduate Funding93185
Commission. No such reallocation shall occur unless the Board of 93186
Regents, in consultation with representatives of state-assisted 93187
universities, determines that sufficient funds are available for 93188
this purpose.93189

       The amount so reserved shall be allocated to universities in93190
proportion to their share of the total number of Doctoral I93191
equivalent FTEs as calculated on an institutional basis using the93192
greater of the two-year or five-year FTEs for the period fiscal93193
year 1994 through fiscal year 1998 with annualized FTEs for fiscal93194
years 1994 through 1997 and all-term FTEs for fiscal year 1998 as93195
adjusted to reflect the effects of doctoral review and subsequent 93196
changes in Doctoral I equivalent enrollments. For the purposes of 93197
this calculation, Doctoral I equivalent FTEs shall equal the sum 93198
of Doctoral I FTEs plus 1.5 times the sum of Doctoral II FTEs.93199

       (2) ANNUAL STATE SHARE OF INSTRUCTION FUNDING GUARANTEE93200

       In addition to and after the other adjustment noted above, in93201
fiscal year 2004, no campus shall receive a state share of 93202
instruction allocation that is less than 100 per cent of the prior 93203
year's state share of instruction amount. In fiscal year 2005, no 93204
campus shall receive a state share of instruction allocation that 93205
is less than 99 per cent of what that campus' state share of 93206
instruction would have been had the allocation in fiscal year 2004 93207
been not less than 99 per cent, rather than 100 per cent, of the 93208
prior year's state share of instruction amount. 93209

       (3) CAPITAL COMPONENT DEDUCTION93210

       After all other adjustments have been made, state share of 93211
instruction earnings shall be reduced for each campus by the 93212
amount, if any, by which debt service charged in Am. H.B. No. 748 93213
of the 121st General Assembly, Am. Sub. H.B. No. 850 of the 122nd93214
General Assembly, Am. H.B. No. 640 of the 123rd General Assembly, 93215
and H.B. No. 675 of the 124th General Assembly for that campus 93216
exceeds that campus's capital component earnings. The sum of the 93217
amounts deducted shall be transferred to appropriation item 93218
235-552, Capital Component, in each fiscal year.93219

       (D) REDUCTIONS IN EARNINGS93220

       If the total state share of instruction earnings in any93221
fiscal year exceed the total appropriations available for such93222
purposes, the Board of Regents shall proportionately reduce the93223
state share of instruction earnings for all campuses by a uniform93224
percentage so that the system wide sum equals available93225
appropriations.93226

       (E) EXCEPTIONAL CIRCUMSTANCES93227

       Adjustments may be made to the state share of instruction93228
payments and other subsidies distributed by the Board of Regents93229
to state-assisted colleges and universities for exceptional93230
circumstances. No adjustments for exceptional circumstances may be 93231
made without the recommendation of the Chancellor and the approval 93232
of the Controlling Board.93233

       (F) MID-YEAR APPROPRIATION REDUCTIONS TO THE STATE SHARE OF 93234
INSTRUCTION93235

       The standard provisions of the state share of instruction 93236
calculation as described in the preceding sections of temporary 93237
law shall apply to any reductions made to appropriation line item 93238
235-501, State Share of Instruction, before the Board of Regents 93239
has formally approved the final allocation of the state share of 93240
instruction funds for any fiscal year.93241

       Any reductions made to appropriation line item 235-501, State 93242
Share of Instruction, after the Board of Regents has formally 93243
approved the final allocation of the state share of instruction 93244
funds for any fiscal year, shall be uniformly applied to each 93245
campus in proportion to its share of the final allocation.93246

       (G) DISTRIBUTION OF STATE SHARE OF INSTRUCTION93247

       The state share of instruction payments to the institutions93248
shall be in substantially equal monthly amounts during the fiscal93249
year, unless otherwise determined by the Director of Budget and93250
Management pursuant to section 126.09 of the Revised Code.93251
Payments during the first six months of the fiscal year shall be93252
based upon the state share of instruction appropriation estimates93253
made for the various institutions of higher education according to93254
Board of Regents enrollment estimates. Payments during the last93255
six months of the fiscal year shall be distributed after approval93256
of the Controlling Board upon the request of the Board of Regents.93257

       (H) LAW SCHOOL SUBSIDY93258

       The state share of instruction to state-supported93259
universities for students enrolled in law schools in fiscal year93260
2004 and fiscal year 2005 shall be calculated by using the number93261
of subsidy-eligible FTE law school students funded by state93262
subsidy in fiscal year 1995 or the actual number of93263
subsidy-eligible FTE law school students at the institution in the93264
fiscal year, whichever is less.93265

       Section 89.05.  HIGHER EDUCATION - BOARD OF TRUSTEES93266

       Funds appropriated for instructional subsidies at colleges93267
and universities may be used to provide such branch or other93268
off-campus undergraduate courses of study and such master's degree93269
courses of study as may be approved by the Board of Regents.93270

       In providing instructional and other services to students,93271
boards of trustees of state-assisted institutions of higher93272
education shall supplement state subsidies by income from charges93273
to students. Each board shall establish the fees to be charged to93274
all students, including an instructional fee for educational and93275
associated operational support of the institution and a general93276
fee for noninstructional services, including locally financed93277
student services facilities used for the benefit of enrolled93278
students. The instructional fee and the general fee shall93279
encompass all charges for services assessed uniformly to all93280
enrolled students. Each board may also establish special purpose93281
fees, service charges, and fines as required; such special purpose93282
fees and service charges shall be for services or benefits93283
furnished individual students or specific categories of students93284
and shall not be applied uniformly to all enrolled students. 93285
Except for the board of trustees of Miami University, in 93286
implementing the pilot tuition restructuring plan recognized by 93287
this act, a tuition surcharge shall be paid by all students who 93288
are not residents of Ohio.93289

       The boards of trustees of individual state-assisted 93290
universities, university branch campuses, community colleges, 93291
state community colleges, and technical colleges shall limit 93292
in-state undergraduate instructional and general fee increases for 93293
an academic year over the amounts charged in the prior academic 93294
year to no more than six per cent. In addition to the six per cent 93295
main campus in-state undergraduate instructional and general fee 93296
increase limit established in this section, the Board of Trustees 93297
of The Ohio State University may authorize an additional 93298
university main campus in-state undergraduate instructional and 93299
general fee increase of three per cent for academic years 93300
2003-2004 and 2004-2005. Except for the board of trustees of the 93301
Ohio State University, the boards of trustees of individual 93302
state-assisted universities, university branch campuses, community 93303
colleges, state community colleges, and technical colleges shall 93304
not authorize combined instructional and general fee increases of 93305
more than six per cent in a single vote. The board of trustees of 93306
The Ohio State University shall not authorize combined 93307
instructional and general fee increases of more than nine per cent 93308
in a single vote. The boards of trustees of individual 93309
state-assisted universities, university branch campuses, community 93310
colleges, state community colleges, and technical colleges may 93311
authorize an additional 3.9 per cent increase in in-state 93312
undergraduate instructional and general fees in a separate vote. 93313
The additional increase shall only be used for providing 93314
scholarships to low-income students, to be known as Access 93315
Scholarship Grants, to provide additional or improved technology 93316
services to students. These fee increase limitations apply even if 93317
an institutional board of trustees has, prior to the effective 93318
date of this section, voted to assess a higher fee for the 93319
2003-2004 academic year. These limitations shall not apply to 93320
increases required to comply with institutional covenants related 93321
to their obligations or to meet unfunded legal mandates or legally 93322
binding obligations incurred or commitments made prior to the 93323
effective date of this act with respect to which the institution 93324
had identified such fee increases as the source of funds. Any 93325
increase required by such covenants and any such mandates, 93326
obligations, or commitments shall be reported by the Board of 93327
Regents to the Controlling Board. These limitations may also be 93328
modified by the Board of Regents, with the approval of the 93329
Controlling Board, to respond to exceptional circumstances as 93330
identified by the Board of Regents.93331

       The board of trustees of a state-assisted institution of93332
higher education shall not authorize a waiver or nonpayment of93333
instructional fees or general fees for any particular student or93334
any class of students other than waivers specifically authorized93335
by law or approved by the Chancellor. This prohibition is not93336
intended to limit the authority of boards of trustees to provide93337
for payments to students for services rendered the institution,93338
nor to prohibit the budgeting of income for staff benefits or for93339
student assistance in the form of payment of such instructional93340
and general fees. This prohibition is not intended to limit the 93341
authority of the board of trustees of Miami University in 93342
providing financial assistance to students in implementing the 93343
pilot tuition restructuring plan recognized by this act.93344

       Except for Miami University, in implementing the pilot 93345
tuition restructuring plan recognized by this act, each 93346
state-assisted institution of higher education in its statement of 93347
charges to students shall separately identify the instructional 93348
fee, the general fee, the tuition charge, and the tuition 93349
surcharge. Fee charges to students for instruction shall not be 93350
considered to be a price of service but shall be considered to be 93351
an integral part of the state government financing program in 93352
support of higher educational opportunity for students.93353

       In providing the appropriations in support of instructional93354
services at state-assisted institutions of higher education and93355
the appropriations for other instruction it is the intent of the93356
General Assembly that faculty members shall devote a proper and93357
judicious part of their work week to the actual instruction of93358
students. Total class credit hours of production per quarter per93359
full-time faculty member is expected to meet the standards set93360
forth in the budget data submitted by the Board of Regents.93361

       The authority of government vested by law in the boards of93362
trustees of state-assisted institutions of higher education shall93363
in fact be exercised by those boards. Boards of trustees may93364
consult extensively with appropriate student and faculty groups.93365
Administrative decisions about the utilization of available93366
resources, about organizational structure, about disciplinary93367
procedure, about the operation and staffing of all auxiliary93368
facilities, and about administrative personnel shall be the93369
exclusive prerogative of boards of trustees. Any delegation of93370
authority by a board of trustees in other areas of responsibility93371
shall be accompanied by appropriate standards of guidance93372
concerning expected objectives in the exercise of such delegated93373
authority and shall be accompanied by periodic review of the93374
exercise of this delegated authority to the end that the public93375
interest, in contrast to any institutional or special interest,93376
shall be served.93377

       The General Assembly recognizes the pilot tuition 93378
restructuring plan of the board of trustees of Miami University 93379
for undergraduate students enrolled at the Oxford campus. The 93380
purpose of this plan is to make higher education more affordable 93381
for moderate income Ohioans, encourage high-achieving Ohio 93382
students to stay in Ohio rather than attending colleges in other 93383
states, and provide incentives for Ohio students to major in areas 93384
crucial to Ohio's priorities and future economic development.93385

       Notwithstanding any limit on in-state undergraduate 93386
instructional and general fees imposed by this act, the General 93387
Assembly recognizes that the plan will provide that all 93388
undergraduate students enrolled at the Oxford campus will be 93389
charged combined instructional and general fees in an amount equal 93390
to the nonresident instructional and general fees and tuition 93391
surcharge. For both resident student first enrolling on or after 93392
the summer term of 2003 and resident students who enrolled prior 93393
to this date, any increases in fees approved thereafter by the 93394
board of trustees are subject to any instructional and general fee 93395
caps imposed by the General Assembly.93396

       The General Assembly recognizes that the plan provides that 93397
all students who are residents of Ohio will receive student 93398
financial assistance in an amount to be determined by the 93399
University.93400

       The General Assembly recognizes that the plan provides that, 93401
for any resident student who enrolls at the Miami University 93402
Oxford campus prior to August 2004, the plan will have no direct 93403
financial impact except for paper changes on invoices so that such 93404
a student would only pay instructional and general fees in an 93405
amount equivalent to what the student was charged in the preceding 93406
year in addition to any increases in fees approved by the board of 93407
trustees.93408

       Section 89.06. STUDENT SUPPORT SERVICES93409

       The foregoing appropriation item 235-502, Student Support93410
Services, shall be distributed by the Board of Regents to Ohio's93411
state-assisted colleges and universities that incur93412
disproportionate costs in the provision of support services to93413
disabled students.93414

       OHIO INSTRUCTIONAL GRANTS93415

       Notwithstanding section 3333.12 of the Revised Code, in lieu93416
of the tables in that section, instructional grants for all93417
full-time students shall be made for fiscal year 2004 using the93418
tables under this heading.93419

       The tables under this heading prescribe the maximum grant93420
amounts covering two semesters, three quarters, or a comparable93421
portion of one academic year. The grant amount for a full-time93422
student enrolled in an eligible institution for a semester or93423
quarter in addition to the portion of the academic year covered by93424
a grant determined under these tables shall be a percentage of the93425
maximum prescribed in the applicable table. The maximum grant for93426
a fourth quarter shall be one-third of the maximum amount93427
prescribed under the table. The maximum grant for a third semester93428
shall be one-half of the maximum amount prescribed under the93429
table.93430

       For a full-time student who is a dependent and enrolled in a93431
nonprofit educational institution that is not a state-assisted93432
institution and that has a certificate of authorization issued93433
pursuant to Chapter 1713. of the Revised Code, the amount of the93434
instructional grant for two semesters, three quarters, or a93435
comparable portion of the academic year shall be determined in93436
accordance with the following table:93437

Private Institution
93438

Table of Grants
93439

Maximum Grant $5,466 93440
Gross Income Number of Dependents 93441

1 2 3 4 5 or more 93442

$0 - $15,000 $5,466 $5,466 $5,466 $5,466 $5,466 93443
$15,001 - $16,000 4,920 5,466 5,466 5,466 5,466 93444
$16,001 - $17,000 4,362 4,920 5,466 5,466 5,466 93445
$17,001 - $18,000 3,828 4,362 4,920 5,466 5,466 93446
$18,001 - $19,000 3,288 3,828 4,362 4,920 5,466 93447
$19,001 - $22,000 2,736 3,288 3,828 4,362 4,920 93448
$22,001 - $25,000 2,178 2,736 3,288 3,828 4,362 93449
$25,001 - $28,000 1,626 2,178 2,736 3,288 3,828 93450
$28,001 - $31,000 1,344 1,626 2,178 2,736 3,288 93451
$31,001 - $32,000 1,080 1,344 1,626 2,178 2,736 93452
$32,001 - $33,000 984 1,080 1,344 1,626 2,178 93453
$33,001 - $34,000 888 984 1,080 1,344 1,626 93454
$34,001 - $35,000 444 888 984 1,080 1,344 93455
$35,001 - $36,000 -- 444 888 984 1,080 93456
$36,001 - $37,000 -- -- 444 888 984 93457
$37,001 - $38,000 -- -- -- 444 888 93458
$38,001 - $39,000 -- -- -- -- 444 93459

       For a full-time student who is financially independent and93460
enrolled in a nonprofit educational institution that is not a93461
state-assisted institution and that has a certificate of93462
authorization issued pursuant to Chapter 1713. of the Revised93463
Code, the amount of the instructional grant for two semesters,93464
three quarters, or a comparable portion of the academic year shall93465
be determined in accordance with the following table:93466

Private Institution
93467

Table of Grants
93468

Maximum Grant $5,466 93469
Gross Income Number of Dependents 93470

0 1 2 3 4 5 or more 93471

Under $4,800 $5,466 $5,466 $5,466 $5,466 $5,466 $5,466 93472
$4,801 - $5,300 4,920 5,466 5,466 5,466 5,466 5,466 93473
$5,301 - $5,800 4,362 5,028 5,466 5,466 5,466 5,466 93474
$5,801 - $6,300 3,828 4,584 5,028 5,466 5,466 5,466 93475
$6,301 - $6,800 3,288 4,158 4,584 5,028 5,466 5,466 93476
$6,801 - $7,300 2,736 3,726 4,158 4,584 5,028 5,466 93477
$7,301 - $8,300 2,178 3,282 3,726 4,158 4,584 5,028 93478
$8,301 - $9,300 1,626 2,838 3,282 3,726 4,158 4,584 93479
$9,301 - $10,300 1,344 2,394 2,838 3,282 3,726 4,158 93480
$10,301 - $11,800 1,080 2,166 2,394 2,838 3,282 3,726 93481
$11,801 - $13,300 984 1,956 2,166 2,394 2,838 3,282 93482
$13,301 - $14,800 888 1,878 1,956 2,166 2,394 2,838 93483
$14,801 - $16,300 444 1,692 1,878 1,956 2,166 2,394 93484
$16,301 - $19,300 -- 1,122 1,584 1,770 1,956 2,166 93485
$19,301 - $22,300 -- 546 1,014 1,476 1,662 1,848 93486
$22,301 - $25,300 -- 438 546 1,014 1,476 1,662 93487
$25,301 - $30,300 -- 324 438 546 1,014 1,476 93488
$30,301 - $35,300 -- 198 216 270 324 792 93489

       For a full-time student who is a dependent and enrolled in an93490
educational institution that holds a certificate of registration93491
from the state board of career colleges and schools or a private 93492
institution exempt from regulation under Chapter 3332. of the 93493
Revised Code as prescribed in section 3333.046 of the Revised 93494
Code, the amount of the instructional grant for two semesters, 93495
three quarters, or a comparable portion of the academic year shall 93496
be determined in accordance with the following table:93497

Career Institution
93498

Table of Grants
93499

Maximum Grant $4,632 93500
Gross Income Number of Dependents 93501

1 2 3 4 5 or more 93502

$0 - $15,000 $4,632 $4,632 $4,632 $4,632 $4,632 93503
$15,001 - $16,000 4,182 4,632 4,632 4,632 4,632 93504
$16,001 - $17,000 3,684 4,182 4,632 4,632 4,632 93505
$17,001 - $18,000 3,222 3,684 4,182 4,632 4,632 93506
$18,001 - $19,000 2,790 3,222 3,684 4,182 4,632 93507
$19,001 - $22,000 2,292 2,790 3,222 3,684 4,182 93508
$22,001 - $25,000 1,854 2,292 2,790 3,222 3,684 93509
$25,001 - $28,000 1,416 1,854 2,292 2,790 3,222 93510
$28,001 - $31,000 1,134 1,416 1,854 2,292 2,790 93511
$31,001 - $32,000 906 1,134 1,416 1,854 2,292 93512
$32,001 - $33,000 852 906 1,134 1,416 1,854 93513
$33,001 - $34,000 750 852 906 1,134 1,416 93514
$34,001 - $35,000 372 750 852 906 1,134 93515
$35,001 - $36,000 -- 372 750 852 906 93516
$36,001 - $37,000 -- -- 372 750 852 93517
$37,001 - $38,000 -- -- -- 372 750 93518
$38,001 - $39,000 -- -- -- -- 372 93519

       For a full-time student who is financially independent and93520
enrolled in an educational institution that holds a certificate of93521
registration from the state board of career colleges and schools 93522
or a private institution exempt from regulation under Chapter 93523
3332. of the Revised Code as prescribed in section 3333.046 of the 93524
Revised Code, the amount of the instructional grant for two93525
semesters, three quarters, or a comparable portion of the academic93526
year shall be determined in accordance with the following table:93527

Career Institution
93528

Table of Grants
93529

Maximum Grant $4,632 93530
Gross Income Number of Dependents 93531

0 1 2 3 4 5 or more 93532

Under $4,800 $4,632 $4,632 $4,632 $4,632 $4,632 $4,632 93533
$4,801 - $5,300 4,182 4,632 4,632 4,632 4,632 4,632 93534
$5,301 - $5,800 3,684 4,272 4,632 4,632 4,632 4,632 93535
$5,801 - $6,300 3,222 3,876 4,272 4,632 4,632 4,632 93536
$6,301 - $6,800 2,790 3,504 3,876 4,272 4,632 4,632 93537
$6,801 - $7,300 2,292 3,156 3,504 3,876 4,272 4,632 93538
$7,301 - $8,300 1,854 2,760 3,156 3,504 3,876 4,272 93539
$8,301 - $9,300 1,416 2,412 2,760 3,156 3,504 3,876 93540
$9,301 - $10,300 1,134 2,058 2,412 2,760 3,156 3,504 93541
$10,301 - $11,800 906 1,836 2,058 2,412 2,760 3,156 93542
$11,801 - $13,300 852 1,650 1,836 2,058 2,412 2,760 93543
$13,301 - $14,800 750 1,608 1,650 1,836 2,058 2,412 93544
$14,801 - $16,300 372 1,434 1,608 1,650 1,836 2,058 93545
$16,301 - $19,300 -- 942 1,338 1,518 1,650 1,836 93546
$19,301 - $22,300 -- 456 858 1,242 1,416 1,560 93547
$22,301 - $25,300 -- 372 456 858 1,242 1,416 93548
$25,301 - $30,300 -- 282 372 456 858 1,242 93549
$30,301 - $35,300 -- 168 180 228 282 666 93550

       For a full-time student who is a dependent and enrolled in a93551
state-assisted educational institution, the amount of the93552
instructional grant for two semesters, three quarters, or a93553
comparable portion of the academic year shall be determined in93554
accordance with the following table:93555

Public Institution
93556

Table of Grants
93557

Maximum Grant $2,190 93558
Gross Income Number of Dependents 93559

1 2 3 4 5 or more 93560

$0 - $15,000 $2,190 $2,190 $2,190 $2,190 $2,190 93561
$15,001 - $16,000 1,974 2,190 2,190 2,190 2,190 93562
$16,001 - $17,000 1,740 1,974 2,190 2,190 2,190 93563
$17,001 - $18,000 1,542 1,740 1,974 2,190 2,190 93564
$18,001 - $19,000 1,320 1,542 1,740 1,974 2,190 93565
$19,001 - $22,000 1,080 1,320 1,542 1,740 1,974 93566
$22,001 - $25,000 864 1,080 1,320 1,542 1,740 93567
$25,001 - $28,000 648 864 1,080 1,320 1,542 93568
$28,001 - $31,000 522 648 864 1,080 1,320 93569
$31,001 - $32,000 420 522 648 864 1,080 93570
$32,001 - $33,000 384 420 522 648 864 93571
$33,001 - $34,000 354 384 420 522 648 93572
$34,001 - $35,000 174 354 384 420 522 93573
$35,001 - $36,000 -- 174 354 384 420 93574
$36,001 - $37,000 -- -- 174 354 384 93575
$37,001 - $38,000 -- -- -- 174 354 93576
$38,001 - $39,000 -- -- -- -- 174 93577

       For a full-time student who is financially independent and93578
enrolled in a state-assisted educational institution, the amount93579
of the instructional grant for two semesters, three quarters, or a93580
comparable portion of the academic year shall be determined in93581
accordance with the following table:93582

Public Institution
93583

Table of Grants
93584

Maximum Grant $2,190 93585
Gross Income Number of Dependents 93586

0 1 2 3 4 5 or more 93587

Under $4,800 $2,190 $2,190 $2,190 $2,190 $2,190 $2,190 93588
$4,801 - $5,300 1,974 2,190 2,190 2,190 2,190 2,190 93589
$5,301 - $5,800 1,740 2,016 2,190 2,190 2,190 2,190 93590
$5,801 - $6,300 1,542 1,830 2,016 2,190 2,190 2,190 93591
$6,301 - $6,800 1,320 1,674 1,830 2,016 2,190 2,190 93592
$6,801 - $7,300 1,080 1,494 1,674 1,830 2,016 2,190 93593
$7,301 - $8,300 864 1,302 1,494 1,674 1,830 2,016 93594
$8,301 - $9,300 648 1,128 1,302 1,494 1,674 1,830 93595
$9,301 - $10,300 522 954 1,128 1,302 1,494 1,674 93596
$10,301 - $11,800 420 858 954 1,128 1,302 1,494 93597
$11,801 - $13,300 384 774 858 954 1,128 1,302 93598
$13,301 - $14,800 354 744 774 858 954 1,128 93599
$14,801 - $16,300 174 678 744 774 858 954 93600
$16,301 - $19,300 -- 450 630 702 774 858 93601
$19,301 - $22,300 -- 216 402 594 654 732 93602
$22,301 - $25,300 -- 174 216 402 594 654 93603
$25,301 - $30,300 -- 132 174 216 402 594 93604
$30,301 - $35,300 -- 78 84 102 132 312 93605

       The foregoing appropriation item 235-503, Ohio Instructional93606
Grants, shall be used to make the payments authorized by division93607
(C) of section 3333.26 of the Revised Code to the institutions93608
described in that division. In addition, this appropriation shall93609
be used to reimburse the institutions described in division (B) of93610
section 3333.26 of the Revised Code for the cost of the waivers93611
required by that division.93612

       The unencumbered balance of appropriation item 235-503, Ohio 93613
Instructional Grants, at the end of fiscal year 2004 shall be 93614
transferred to fiscal year 2005 for use under the same 93615
appropriation item. The amounts transferred are hereby 93616
appropriated.93617

       WAR ORPHANS SCHOLARSHIPS93618

       The foregoing appropriation item 235-504, War Orphans93619
Scholarships, shall be used to reimburse state-assisted93620
institutions of higher education for waivers of instructional fees93621
and general fees provided by them, to provide grants to93622
institutions that have received a certificate of authorization93623
from the Ohio Board of Regents under Chapter 1713. of the Revised93624
Code, in accordance with the provisions of section 5910.04 of the93625
Revised Code, and to fund additional scholarship benefits provided93626
by section 5910.032 of the Revised Code.93627

       Section 89.07. AIR FORCE INSTITUTE OF TECHNOLOGY93628

       The foregoing appropriation item 235-508, Air Force Institute 93629
of Technology, shall be used to strengthen the research and 93630
educational linkages between the Wright Patterson Air Force Base 93631
and institutions of higher education in Ohio. Of the foregoing 93632
appropriation item 235-508, Air Force Institute of Technology, 93633
$1,317,173 in fiscal year 2004 and $1,315,929 in fiscal year 2005 93634
shall be used for research projects that connect the Air Force 93635
Research Laboratories with university partners. The institute 93636
shall provide annual reports to the Third Frontier Commission, 93637
that discuss existing, planned, or possible collaborations between 93638
programs and funding recipients related to technology, research 93639
development, commercialization, and support for Ohio's economic 93640
development.93641

       Of the foregoing appropriation item 235-508, Air Force 93642
Institute of Technology, $477,237 in fiscal year 2004 and $476,786 93643
in fiscal year 2005 shall be used to match federal dollars to 93644
support the Wright Brothers Institute. Funds shall be used by the 93645
Wright Brothers Institute to create or expand Ohio-based 93646
technology and commercial development collaborations between 93647
industry, academia, and government in areas which include carbon 93648
nano-tube materials technology, genome-based biotechnology, 93649
knowledge-creation information technology, cognitive systems 93650
modeling and engineering, or other related projects as deemed 93651
appropriate by the institute.93652

       Of the foregoing appropriation item 235-508, Air Force 93653
Institute of Technology, $302,113 in fiscal year 2004 and $261,145 93654
in fiscal year 2005 shall be used to directly support 93655
collaborative research between academia, industry, and the Air 93656
Force for Wright Brothers Institute Nanomaterials and Advanced 93657
Data Management and Analysis.93658

       OHIO SUPERCOMPUTER CENTER93659

       The foregoing appropriation item 235-510, Ohio Supercomputer93660
Center, shall be used by the Board of Regents to support the93661
operation of the center, located at The Ohio State University, as93662
a statewide resource available to Ohio research universities both93663
public and private. It is also intended that the center be made93664
accessible to private industry as appropriate. Policies of the93665
center shall be established by a governance committee,93666
representative of Ohio's research universities and private93667
industry, to be appointed by the Chancellor of the Board of93668
Regents and established for this purpose.93669

       The Ohio Supercomputer Center shall report on expanding 93670
solutions-oriented, computational science services to industrial 93671
and other customers, including alignment programs and recipients, 93672
and develop a plan for a computational science initiative in 93673
collaboration with the Wright Centers of Innovation program and 93674
the Computer Science Graduate Studies Program.93675

       COOPERATIVE EXTENSION SERVICE93676

       The foregoing appropriation item 235-511, Cooperative 93677
Extension Service, shall be disbursed through the Board of Regents 93678
to The Ohio State University in monthly payments, unless otherwise 93679
determined by the Director of Budget and Management pursuant to 93680
section 126.09 of the Revised Code.93681

       Of the foregoing appropriation item 235-511, Cooperative93682
Extension Service, $182,842 in fiscal year 2004 and $178,271 in 93683
fiscal year 2005 shall be used for additional staffing for county93684
agents for expanded 4-H activities. Of the foregoing appropriation 93685
item 235-511, Cooperative Extension Service, $182,842 in fiscal 93686
year 2004 and $178,271 in fiscal year 2005 shall be used by the93687
Cooperative Extension Service, through the Enterprise Center for93688
Economic Development in cooperation with other agencies, for a93689
public-private effort to create and operate a small business93690
economic development program to enhance the development of93691
alternatives to the growing of tobacco, and implement, through93692
applied research and demonstration, the production and marketing93693
of other high-value crops and value-added products. Of the93694
foregoing appropriation item 235-511, Cooperative Extension93695
Service, $56,594 in fiscal year 2004 and $55,179 in fiscal year 93696
2005 shall be used for farm labor mediation and education93697
programs. Of the foregoing appropriation item 235-511, Cooperative 93698
Extension Service, $187,195 in fiscal year 2004 and $182,515 in 93699
fiscal year 2005 shall be used to support the Ohio State 93700
University Marion Enterprise Center.93701

       Of the foregoing appropriation item 235-511, Cooperative93702
Extension Service, $792,750 in fiscal year 2004 and $772,931 in 93703
fiscal year 2005 shall be used to support the Ohio Watersheds93704
Initiative.93705

       CENTRAL STATE SUPPLEMENT93706

       The foregoing appropriation item 235-514, Central State93707
Supplement, shall be used by Central State University to keep93708
undergraduate fees below the statewide average, consistent with93709
its mission of service to many first-generation college students93710
from groups historically underrepresented in higher education and93711
from families with limited incomes.93712

       PERFORMANCE STANDARDS FOR MEDICAL EDUCATION93713

       The Board of Regents, in consultation with the state-assisted 93714
medical colleges, shall develop performance standards for medical93715
education. Special emphasis in the standards shall be placed on 93716
attempting to ensure that at least 50 per cent of the aggregate 93717
number of students enrolled in state-assisted medical colleges 93718
continue to enter residency as primary care physicians. Primary 93719
care physicians are general family practice physicians, general 93720
internal medicine practitioners, and general pediatric care93721
physicians. The Board of Regents shall monitor medical school93722
performance in relation to their plans for reaching the 50 per93723
cent systemwide standard for primary care physicians.93724

       Section 89.08. CASE WESTERN RESERVE UNIVERSITY SCHOOL OF 93725
MEDICINE93726

       The foregoing appropriation item 235-515, Case Western93727
Reserve University School of Medicine, shall be disbursed to Case93728
Western Reserve University through the Board of Regents in93729
accordance with agreements entered into as provided for by section93730
3333.10 of the Revised Code, provided that the state support per93731
full-time medical student shall not exceed that provided to93732
full-time medical students at state universities.93733

       FAMILY PRACTICE, GERIATRIC MEDICINE, AND PRIMARY CARE 93734
RESIDENCIES93735

       The Board of Regents shall develop plans consistent with93736
existing criteria and guidelines as may be required for the93737
distribution of appropriation items 235-519, Family Practice,93738
235-525, Geriatric Medicine, and 235-526, Primary Care93739
Residencies.93740

       SHAWNEE STATE SUPPLEMENT93741

       The foregoing appropriation item 235-520, Shawnee State93742
Supplement, shall be used by Shawnee State University as detailed93743
by both of the following:93744

       (A) To allow Shawnee State University to keep its93745
undergraduate fees below the statewide average, consistent with93746
its mission of service to an economically depressed Appalachian93747
region;93748

       (B) To allow Shawnee State University to employ new faculty93749
to develop and teach in new degree programs that meet the needs of93750
Appalachians.93751

       POLICE AND FIRE PROTECTION93752

       The foregoing appropriation item 235-524, Police and Fire93753
Protection, shall be used for police and fire services in the93754
municipalities of Kent, Athens, Oxford, Fairborn, Bowling Green,93755
Portsmouth, Xenia Township (Greene County), Rootstown Township, 93756
and the City of Nelsonville that may be used to assist these local 93757
governments in providing police and fire protection for the 93758
central campus of the state-affiliated university located therein. 93759
Each participating municipality and township shall receive at 93760
least $5,000 each year. Funds shall be distributed according to 93761
the methodology employed by the Board of Regents in the previous 93762
biennium.93763

       PRIMARY CARE RESIDENCIES93764

       The foregoing appropriation item 235-526, Primary Care93765
Residencies, shall be distributed in each fiscal year of the93766
biennium, based on whether or not the institution has submitted 93767
and gained approval for a plan. If the institution does not have 93768
an approved plan, it shall receive five per cent less funding per93769
student than it would have received from its annual allocation.93770
The remaining funding shall be distributed among those93771
institutions that meet or exceed their targets.93772

       OHIO AEROSPACE INSTITUTE93773

       The foregoing appropriation item 235-527, Ohio Aerospace93774
Institute, shall be distributed by the Board of Regents under93775
section 3333.042 of the Revised Code.93776

       ACADEMIC SCHOLARSHIPS93777

       The foregoing appropriation item 235-530, Academic93778
Scholarships, shall be used to provide academic scholarships to93779
students under section 3333.22 of the Revised Code.93780

       STUDENT CHOICE GRANTS93781

       The foregoing appropriation item 235-531, Student Choice93782
Grants, shall be used to support the Student Choice Grant Program93783
created by section 3333.27 of the Revised Code. The unencumbered 93784
balance of appropriation item 235-531, Student Choice Grants, at 93785
the end of fiscal year 2004 shall be transferred to fiscal year 93786
2005 for use under the same appropriation item to maintain grant 93787
award amounts in fiscal year 2005 equal to the awards provided in 93788
fiscal year 2004. The amounts transferred are hereby appropriated.93789

       STUDENT WORKFORCE DEVELOPMENT GRANTS93790

       The foregoing appropriation item 235-534, Student Workforce93791
Development Grants, shall be used to support the Student Workforce93792
Development Grant Program. Of the appropriated funds available,93793
the Board of Regents shall distribute grants to each eligible93794
student in an academic year. The size of each grant award shall be 93795
determined by the Board of Regents based on the amount of funds93796
available for the program.93797

       OHIO AGRICULTURAL RESEARCH AND DEVELOPMENT CENTER93798

       The foregoing appropriation item 235-535, Ohio Agricultural 93799
Research and Development Center, shall be disbursed through the 93800
Board of Regents to The Ohio State University in monthly payments, 93801
unless otherwise determined by the Director of Budget and 93802
Management pursuant to section 126.09 of the Revised Code. The 93803
Ohio Agricultural Research and Development Center shall not be 93804
required to remit payment to The Ohio State University during the 93805
2003-2005 biennium for cost reallocation assessments. The cost 93806
reallocation assessments include, but are not limited to, any 93807
assessment on state appropriations to the center. The Ohio 93808
Agricultural Research and Development Center, in conjunction with 93809
the Third Frontier Commission, shall provide for an independently 93810
evaluated self-study of research excellence and commercial 93811
relevance in a manner to be prescribed by the Third Frontier 93812
Commission.93813

       Of the foregoing appropriation item 235-535, Ohio 93814
Agricultural Research and Development Center, $470,164 in fiscal 93815
year 2004 and $458,410 in fiscal year 2005 shall be used to 93816
purchase equipment.93817

       Of the foregoing appropriation item 235-535, Ohio93818
Agricultural Research and Development Center, $827,141 in fiscal 93819
year 2004 and $806,463 in fiscal year 2005 shall be distributed to 93820
the Piketon Agricultural Research and Extension Center.93821

       Of the foregoing appropriation item 235-535, Ohio93822
Agricultural Research and Development Center, $217,669 in fiscal 93823
year 2004 and $212,227 in fiscal year 2005 shall be distributed to 93824
the Raspberry/Strawberry-Ellagic Acid Research program at the Ohio93825
State University Medical College in cooperation with the Ohio93826
State University College of Agriculture.93827

       Of the foregoing appropriation item 235-535, Ohio93828
Agricultural Research and Development Center, $43,534 in fiscal 93829
year 2004 and $42,445 in fiscal year 2005 shall be used to support 93830
the Ohio Berry Administrator.93831

       Of the foregoing appropriation item 235-535, Ohio93832
Agricultural Research and Development Center, $87,067 in fiscal 93833
year 2004 and $84,890 in fiscal year 2005 shall be used for the 93834
development of agricultural crops and products not currently in 93835
widespread production in Ohio, in order to increase the income and 93836
viability of family farmers.93837

       STATE UNIVERSITY CLINICAL TEACHING93838

       The foregoing appropriation items 235-536, The Ohio State 93839
University Clinical Teaching; 235-537, University of Cincinnati 93840
Clinical Teaching; 235-538, Medical College of Ohio at Toledo 93841
Clinical Teaching; 235-539, Wright State University Clinical 93842
Teaching; 235-540, Ohio University Clinical Teaching; and 235-541, 93843
Northeastern Ohio Universities College of Medicine Clinical 93844
Teaching, shall be distributed through the Board of Regents.93845

       Of the foregoing appropriation item 235-539, Wright State 93846
University Clinical Teaching, $124,644 in each fiscal year of the 93847
biennium shall be for the use of Wright State University's Ellis 93848
Institute for Clinical Teaching Studies to operate the clinical 93849
facility to serve the Greater Dayton area.93850

       SCHOOL OF INTERNATIONAL BUSINESS93851

       Of the foregoing appropriation item 235-547, School of93852
International Business, $901,975 in fiscal year 2004 and $879,426 93853
in fiscal year 2005 shall be used for the continued development 93854
and support of the School of International Business of the state 93855
universities of northeast Ohio. The money shall go to the 93856
University of Akron. These funds shall be used by the university 93857
to establish a School of International Business located at the93858
University of Akron. It may confer with Kent State University,93859
Youngstown State University, and Cleveland State University as to 93860
the curriculum and other matters regarding the school.93861

       Of the foregoing appropriation item 235-547, School of93862
International Business, $181,318 in fiscal year 2004 and $176,785 93863
in fiscal year 2005 shall be used by the University of Toledo93864
College of Business for expansion of its international business 93865
programs.93866

       Of the foregoing appropriation item 235-547, School of93867
International Business, $181,318 in fiscal year 2004 and $176,785 93868
in fiscal year 2005 shall be used to support the Ohio State93869
University BioMEMS program.93870

       PART-TIME STUDENT INSTRUCTIONAL GRANTS93871

       The foregoing appropriation item 235-549, Part-time Student93872
Instructional Grants, shall be used to support a grant program for93873
part-time undergraduate students who are Ohio residents and who93874
are enrolled in degree granting programs.93875

       Eligibility for participation in the program shall include93876
degree granting educational institutions that hold a certificate93877
of registration from the State Board of Career Colleges and 93878
Schools, and nonprofit institutions that have a certificate of 93879
authorization issued pursuant to Chapter 1713. of the Revised93880
Code, as well as state-assisted colleges and universities. Grants93881
shall be given to students on the basis of need, as determined by93882
the college, which, in making these determinations, shall give93883
special consideration to single-parent heads-of-household and93884
displaced homemakers who enroll in an educational degree program93885
that prepares the individual for a career. In determining need,93886
the college also shall consider the availability of educational93887
assistance from a student's employer. It is the intent of the93888
General Assembly that these grants not supplant such assistance.93889

       Section 89.09. CAPITAL COMPONENT93890

       The foregoing appropriation item 235-552, Capital Component,93891
shall be used by the Board of Regents to implement the capital93892
funding policy for state-assisted colleges and universities93893
established in Am. H.B. No. 748 of the 121st General Assembly.93894
Appropriations from this item shall be distributed to all campuses93895
for which the estimated campus debt service attributable to new93896
qualifying capital projects is less than the campus's93897
formula-determined capital component allocation. Campus93898
allocations shall be determined by subtracting the estimated93899
campus debt service attributable to new qualifying capital93900
projects from the campus's formula-determined capital component93901
allocation. Moneys distributed from this appropriation item shall93902
be restricted to capital-related purposes.93903

       Any campus for which the estimated campus debt service 93904
attributable to qualifying capital projects is greater than the 93905
campus's formula-determined capital component allocation shall 93906
have the difference subtracted from its State Share of Instruction 93907
allocation in each fiscal year. The sum of all such amounts shall 93908
be transferred from appropriation item 235-501, State Share of 93909
Instruction, to appropriation item 235-552, Capital Component.93910

       DAYTON AREA GRADUATE STUDIES INSTITUTE93911

       The foregoing appropriation item 235-553, Dayton Area93912
Graduate Studies Institute, shall be used by the Board of Regents93913
to support the Dayton Area Graduate Studies Institute, an93914
engineering graduate consortium of three universities in the93915
Dayton area: Wright State University, the University of Dayton,93916
and the Air Force Institute of Technology, with the participation93917
of the University of Cincinnati and The Ohio State University.93918

       Of the foregoing appropriation item 235-553, Dayton Area 93919
Graduate Studies Institute, $497,666 in fiscal year 2004 and 93920
$417,053 in fiscal year 2005 shall be used by the Miami Valley 93921
Economic Development Research Corporation to support collaborative 93922
research between academia, industry, and the Air Force for the 93923
Wright Brothers Institute and related initiatives in nanomaterials 93924
and advanced data management and analysis.93925

       COMPUTER SCIENCE GRADUATE EDUCATION93926

       The foregoing appropriation item 235-554, Computer Science93927
Graduate Education, shall be used by the Board of Regents to93928
support improvements in graduate programs in computer science at93929
state-assisted universities. Up to $174,135 in fiscal year 2004, 93930
and up to $169,782 in fiscal year 2005, may be used to support 93931
collaborative efforts in graduate education in this program area. 93932
The collaborative program shall be coordinated by the Ohio 93933
Supercomputer Center.93934

       OHIO ACADEMIC RESOURCES NETWORK (OARNET)93935

       The foregoing appropriation item 235-556, Ohio Academic93936
Resources Network, shall be used to support the operations of the93937
Ohio Academic Resources Network, which shall include support for93938
Ohio's state-assisted colleges and universities in maintaining and93939
enhancing network connections. The network shall give priority to 93940
supporting the Third Frontier Network and allocating bandwidth to 93941
programs directly supporting Ohio's economic development.93942

       LONG-TERM CARE RESEARCH93943

       The foregoing appropriation item 235-558, Long-term Care93944
Research, shall be disbursed to Miami University for long-term93945
care research.93946

       BOWLING GREEN STATE UNIVERSITY CANADIAN STUDIES CENTER93947

       The foregoing appropriation item 235-561, Bowling Green State93948
University Canadian Studies Center, shall be used by the Canadian93949
Studies Center at Bowling Green State University to study93950
opportunities for Ohio and Ohio businesses to benefit from the93951
Free Trade Agreement between the United States and Canada.93952

       THE OHIO STATE UNIVERSITY CLINIC SUPPORT93953

       The foregoing appropriation item 235-572, The Ohio State93954
University Clinic Support, shall be distributed through the Board93955
of Regents to The Ohio State University for support of dental and93956
veterinary medicine clinics.93957

       Section 89.10. URBAN UNIVERSITY PROGRAMS93958

       Of the foregoing appropriation item 235-583, Urban University93959
Programs, universities receiving funds that are used to support an93960
ongoing university unit shall certify periodically in a manner93961
approved by the Board of Regents that program funds are being93962
matched on a one-to-one basis with equivalent resources. Overhead93963
support may not be used to meet this requirement. Where Urban93964
University Program funds are being used to support an ongoing93965
university unit, matching funds shall come from continuing rather93966
than one-time sources. At each participating state-assisted93967
institution of higher education, matching funds shall be within 93968
the substantial control of the individual designated by the93969
institution's president as the Urban University Program93970
representative.93971

       Of the foregoing appropriation item 235-583, Urban University93972
Programs, $301,218 in fiscal year 2004 and $293,300 in fiscal year 93973
2005 shall be used to support a public communication outreach 93974
program (WCPN). The primary purpose of the program shall be to 93975
develop a relationship between Cleveland State University and 93976
nonprofit communications entities.93977

       Of the foregoing appropriation item 235-583, Urban University93978
Programs, $142,682 in fiscal year 2004 and $138,932 in fiscal year 93979
2005 shall be used to support the Center for the Interdisciplinary 93980
Study of Education and the Urban Child at Cleveland State93981
University. These funds shall be distributed according to rules93982
adopted by the Board of Regents and shall be used by the center 93983
for interdisciplinary activities targeted toward increasing the 93984
chance of lifetime success of the urban child, including 93985
interventions beginning with the prenatal period. The primary 93986
purpose of the center is to study issues in urban education and to 93987
systematically map directions for new approaches and new solutions 93988
by bringing together a cadre of researchers, scholars, and 93989
professionals representing the social, behavioral, education, and 93990
health disciplines.93991

       Of the foregoing appropriation item 235-583, Urban University93992
Programs, $206,097 in fiscal year 2004 and $200,679 in fiscal year 93993
2005 shall be used to support the Kent State University Learning 93994
and Technology Project. This project is a kindergarten through 93995
university collaboration between schools surrounding Kent's eight 93996
campuses in northeast Ohio, and corporate partners who will assist 93997
in development and delivery.93998

       The Kent State University Project shall provide a faculty93999
member who has a full-time role in the development of94000
collaborative activities and teacher instructional programming94001
between Kent and the K-12th grade schools that surround its eight94002
campuses; appropriate student support staff to facilitate these94003
programs and joint activities; and hardware and software to94004
schools that will make possible the delivery of instruction to94005
pre-service and in-service teachers, and their students, in their94006
own classrooms or school buildings. This shall involve the94007
delivery of low-bandwidth streaming video and web-based94008
technologies in a distributed instructional model.94009

       Of the foregoing appropriation item 235-583, Urban University94010
Programs, $79,267 in fiscal year 2004 and $77,184 in fiscal year 94011
2005 year shall be used to support the Ameritech Classroom/Center 94012
for Research at Kent State University.94013

       Of the foregoing appropriation item 235-583, Urban University94014
Programs, $792,682 in fiscal year 2004 and $771,843 in fiscal year 94015
2005 year shall be used to support the Polymer Distance Learning94016
Project at the University of Akron.94017

       Of the foregoing appropriation item 235-583, Urban University94018
Programs, $39,634 in fiscal year 2004 and $38,592 in fiscal year 94019
2005 shall be distributed to the Kent State University/Cleveland 94020
Design Center program.94021

       Of the foregoing appropriation item 235-583, Urban University94022
Programs, $ 198,170 in fiscal year 2004 and $192,960 in fiscal 94023
year 2005 shall be used to support the Bliss Institute of Applied 94024
Politics at the University of Akron.94025

       Of the foregoing appropriation item 235-583, Urban University94026
Programs, $11,892 in fiscal year 2004 and $11,576 in fiscal year 94027
2005 shall be used for the Advancing-Up Program at the University 94028
of Akron.94029

       Of the foregoing appropriation item 235-583, Urban University94030
Programs, $1,744,404 in fiscal year 2004 and $1,698,546 in fiscal 94031
year 2005 shall be distributed by the Board of Regents to 94032
Cleveland State University in support of the Maxine Goodman Levin 94033
College of Urban Affairs.94034

       Of the foregoing appropriation item 235-583, Urban University94035
Programs, $1,744,404 in fiscal year 2004 and $1,698,546 in fiscal 94036
year 2005 shall be distributed to the Northeast Ohio Research 94037
Consortium, the Urban Linkages Program, and the Urban Research 94038
Technical Assistance Grant Program. The distribution among the 94039
three programs shall be determined by the chair of the Urban 94040
University Program.94041

       Of the foregoing appropriation item 235-583, Urban University 94042
Programs, $165,893 in fiscal year 2004 and $165,674 in fiscal year 94043
2005 shall be used to support the Strategic Economic Research 94044
Collaborative at the University of Toledo Urban Affairs Center.94045

        Of the foregoing appropriation item 235-583, Urban University 94046
Programs, $165,893 in fiscal year 2004 and $165,674 in fiscal year 94047
2005 shall be used to support the Institute for Collaborative 94048
Research and Public Humanities at The Ohio State University.94049

       Notwithstanding the other earmarks in this section, of the 94050
foregoing appropriation item 235-583, Urban University Programs, 94051
$100,000 in each fiscal year shall be used to support the Medina 94052
County University Center. The other earmarks of appropriation item 94053
235-583, Urban University Programs, shall be proportionately 94054
reduced. 94055

       Of the foregoing appropriation item 235-583, Urban University 94056
Programs, $100,000 in each fiscal year shall be used to support 94057
the Medina Learning Center.94058

       RURAL UNIVERSITY PROJECTS94059

       Of the foregoing appropriation item 235-587, Rural University94060
Projects, Bowling Green State University shall receive $281,391 in 94061
fiscal year 2004 and $281,391 in fiscal year 2005, Miami 94062
University shall receive $261,694 in fiscal year 2004 and $261,694 94063
in fiscal year 2005, and Ohio University shall receive $613,397 in 94064
fiscal year 2004 and $613,397 in fiscal year 2005. These funds94065
shall be used to support the Institute for Local Government94066
Administration and Rural Development at Ohio University, the94067
Center for Public Management and Regional Affairs at Miami94068
University, and the Center for Policy Analysis and Public Service 94069
at Bowling Green State University.94070

       A small portion of the funds provided to Ohio University94071
shall also be used for the Institute for Local Government94072
Administration and Rural Development State and Rural Policy94073
Partnership with the Governor's Office of Appalachia and the94074
Appalachian delegation of the General Assembly.94075

       Of the foregoing appropriation item 235-587, Rural University 94076
Projects, $17,007 in fiscal year 2004 and $17,007 in fiscal year 94077
2005 shall be used to support the Washington State Community 94078
College day care center.94079

        Of the foregoing appropriation item 235-587, Rural University 94080
Projects, $51,021 in fiscal year 2004 and $51,021 in fiscal year 94081
2005 shall be used to support the COAD/ILGARD/GOA Appalachian 94082
Leadership Initiative.94083

       Section 89.11. OHIO RESOURCE CENTER FOR MATHEMATICS, SCIENCE, 94084
AND READING94085

       The foregoing appropriation item 235-588, Ohio Resource94086
Center for Mathematics, Science, and Reading, shall be used to94087
support a resource center for mathematics, science, and reading to94088
be located at a state-assisted university for the purpose of94089
identifying best educational practices in primary and secondary94090
schools and establishing methods for communicating them to94091
colleges of education and school districts. The Ohio Resource 94092
Center for Mathematics, Science, and Reading shall not make 94093
available resources that are inconsistent with the K-12 science 94094
standards and policies as adopted by the State Board of Education.94095

       INTERNATIONAL CENTER FOR WATER RESOURCES DEVELOPMENT94096

       The foregoing appropriation item 235-595, International94097
Center for Water Resources Development, shall be used to support94098
the International Center for Water Resources Development at94099
Central State University. The center shall develop methods to94100
improve the management of water resources for Ohio and for94101
emerging nations.94102

       HAZARDOUS MATERIALS PROGRAM94103

       The foregoing appropriation item 235-596, Hazardous Materials94104
Program, shall be disbursed to Cleveland State University for the94105
operation of a program to certify firefighters for the handling of94106
hazardous materials. Training shall be available to all Ohio94107
firefighters.94108

       Of the foregoing appropriation item 235-596, Hazardous94109
Materials Program, $130,601 in fiscal year 2004 and $127,337 in 94110
fiscal year 2005 shall be used to support the Center for the 94111
Interdisciplinary Study of Education and Leadership in Public 94112
Service at Cleveland State University. These funds shall be 94113
distributed by the Board of Regents and shall be used by the 94114
center targeted toward increasing the role of special populations 94115
in public service and not-for-profit organizations. The primary 94116
purpose of the center is to study issues in public service and to 94117
guide strategies for attracting new communities into public 94118
service occupations by bringing together a cadre of researchers, 94119
scholars and professionals representing the public administration, 94120
social behavioral, and education disciplines.94121

       NATIONAL GUARD SCHOLARSHIP PROGRAM94122

       The Board of Regents shall disburse funds from appropriation94123
item 235-599, National Guard Scholarship Program, at the direction94124
of the Adjutant General.94125

       * PLEDGE OF FEES94126

       Any new pledge of fees, or new agreement for adjustment of94127
fees, made in the 2003-2005 biennium to secure bonds or notes of a94128
state-assisted institution of higher education for a project for94129
which bonds or notes were not outstanding on the effective date of94130
this section shall be effective only after approval by the Board94131
of Regents, unless approved in a previous biennium.94132

       HIGHER EDUCATION GENERAL OBLIGATION DEBT SERVICE94133

       The foregoing appropriation item 235-909, Higher Education94134
General Obligation Debt Service, shall be used to pay all debt94135
service and related financing costs at the times they are required 94136
to be made pursuant to sections 151.01 and 151.04 of the Revised 94137
Code during the period from July 1, 2003, to June 30, 2005. The 94138
Office of the Sinking Fund or the Director of Budget and 94139
Management shall effectuate the required payments by an intrastate 94140
transfer voucher.94141

       Section 89.12. SALES AND SERVICES94142

        The Board of Regents is authorized to charge and accept 94143
payment for the provision of goods and services generated by the 94144
Higher Education Information System. Such charges shall be 94145
reasonably related to the cost of producing the goods and 94146
services. No charges may be levied for goods or services that are 94147
produced as part of the routine responsibilities or duties of the 94148
Board. All revenues received by the Board of Regents shall be 94149
deposited into Fund 456, and may be used by the Board of Regents 94150
to pay for the costs of producing the goods and services.94151

        OHIO HIGHER EDUCATIONAL FACILITY COMMISSION SUPPORT94152

       The foregoing appropriation item 235-602, Higher Educational 94153
Facility Commission Administration, shall be used by the Board of 94154
Regents for operating expenses related to the Board of Regents' 94155
support of the activities of the Ohio Higher Educational Facility94156
Commission. Upon the request of the chancellor, the Director of94157
Budget and Management shall transfer up to $20,000 cash from Fund94158
461 to Fund 4E8 in each fiscal year of the biennium.94159

       PHYSICIAN LOAN REPAYMENT94160

       The foregoing appropriation item 235-604, Physician Loan94161
Repayment, shall be used in accordance with sections 3702.71 to94162
3702.81 of the Revised Code.94163

       NURSING LOAN PROGRAM94164

       The foregoing appropriation item 235-606, Nursing Loan94165
Program, shall be used to administer the nurse education94166
assistance program. Up to $159,600 in fiscal year 2004 and94167
$167,580 in fiscal year 2005 may be used for operating expenses94168
associated with the program. Any additional funds needed for the94169
administration of the program are subject to Controlling Board94170
approval.94171

       Section 89.13. SCIENCE AND TECHNOLOGY COLLABORATION94172

       The Board of Regents shall work in close collaboration with 94173
the Department of Development, the Air Quality Development 94174
Authority, and the Third Frontier Commission in relation to 94175
appropriation items and programs listed in the following 94176
paragraph, and other technology-related appropriations and 94177
programs in the Department of Development, Air quality Development 94178
Authority, and the Board of Regents as these agencies may 94179
designate, to ensure implementation of a coherent state strategy 94180
with respect to science and technology.94181

       Each of the following appropriations and programs: 195-401, 94182
Thomas Edison Program; 898-402, Coal Development Office; 195-422, 94183
Third Frontier Action Fund; 898-604, Coal Research and Development 94184
Fund; 235-454, Research Challenge; 235-508, Air Force Institute of 94185
Technology; 235-510, Ohio Supercomputer Center; 235-527, Ohio 94186
Aerospace Institute; 235-535, Ohio Agricultural Research and 94187
Development Center; 235-553, Dayton Area Graduate Studies 94188
Institute; 235-554, Computer Science Graduate Education; 235-556, 94189
Ohio Academic Resources Network; and 195-435, Biomedical Research 94190
and Technology Transfer Trust, shall be reviewed annually by the 94191
Third Frontier Commission with respect to its development of94192
complementary relationships within a combined state science and 94193
technology investment portfolio and its overall contribution to 94194
the state's science and technology strategy, including the 94195
adoption of appropriately consistent criteria for: (1) the 94196
scientific merit of activities supported by the program; (2) the 94197
relevance of the program's activities to commercial opportunities 94198
in the private sector; (3) the private sector's involvement in a 94199
process that continually evaluates commercial opportunities to use 94200
the work supported by the program; and (4) the ability of the 94201
program and recipients of grant funding from the program to engage 94202
in activities that are collaborative, complementary, and efficient 94203
with respect to the expenditure of state funds. All programs 94204
listed above shall provide annual reports to the Third Frontier 94205
Commission discussing existing, planned, or possible 94206
collaborations between programs and recipients of grant funding 94207
related to technology, development, commercialization, and 94208
supporting Ohio's economic development. The annual review by the94209
Third Frontier Commission shall be a comprehensive review of the 94210
entire state science and technology program portfolio rather than 94211
a review of individual programs.94212

        REPAYMENT OF RESEARCH FACILITY INVESTMENT FUND MONEYS94213

       Notwithstanding any provision of law to the contrary, all94214
repayments of Research Facility Investment Fund loans shall be94215
made to the Bond Service Trust Fund. All Research Facility94216
Investment Fund loan repayments made prior to the effective date94217
of this section shall be transferred by the Director of Budget and94218
Management to the Bond Service Trust Fund within sixty days of the94219
effective date of this section.94220

       Campuses shall make timely repayments of Research Facility94221
Investment Fund loans, according to the schedule established by94222
the Board of Regents. In the case of late payments, the Board of94223
Regents may deduct from an institution's periodic subsidy94224
distribution an amount equal to the amount of the overdue payment94225
for that institution, transfer such amount to the Bond Service94226
Trust Fund, and credit the appropriate institution for the94227
repayment.94228

       VETERANS' PREFERENCES94229

       The Board of Regents shall work with the Governor's Office of94230
Veterans' Affairs to develop specific veterans' preference94231
guidelines for higher education institutions. These guidelines94232
shall ensure that the institutions' hiring practices are in94233
accordance with the intent of Ohio's veterans' preference laws.94234

       Section 89.14. STUDY OF CO-LOCATED INSTITUTIONS94235

        The Board of Regents shall review the operation and 94236
effectiveness of co-located university branch campuses and 94237
technical colleges, with particular attention to improved 94238
responsiveness to community needs and improved transfer of 94239
coursework. The Board of Regents shall report its findings and 94240
recommendations to the General Assembly not later than May 15, 94241
2004.94242

       Section 89.15. On the effective date of this section, the 94243
Board of Regents shall recognize the conversion of Belmont 94244
Technical College from a technical college under Chapter 3358. of 94245
the Revised Code to a community college under Chapter 3354. of the 94246
Revised Code, and on and after the effective date of this section 94247
Belmont Technical College shall be known as Belmont Community 94248
College.94249

       Section 89.16. The Ohio Board of Regents shall approve the 94250
creation of a new joint vocational-community college-university 94251
pilot partnership at the Warren County Career Center on a pilot 94252
basis in fiscal years 2004 and 2005.94253

       (A) Before the pilot program may be implemented the following 94254
conditions shall be met:94255

       (1) The Warren County Career Center's joint vocational school 94256
district board of education approves, by resolution, the 94257
establishment of a joint vocational-community college-university 94258
pilot partnership program within the Career Center.94259

       (2) The Career Center's joint vocational school district 94260
board and the local workforce policy board submit to the Ohio 94261
Board of Regents a plan for the pilot partnership program similar 94262
to the Lorain County Community College's University Center.94263

       (B) The Career Center's joint vocational school district 94264
board shall do all of the following in implementing the pilot 94265
program:94266

       (1) Act as the host for programs offered by institutions of 94267
higher education;94268

       (2) Select programs from existing programs offered by 94269
institutions of higher education that may be provided at the 94270
Career Center;94271

       (3) Contract with institutions of higher education whereby 94272
the institutions may provide course offerings and programs at the 94273
Career Center. Under the contracts, the Career Center's joint 94274
vocational school district board shall do all of the following:94275

       (a) Provide facilities at the Career Center for classrooms, 94276
laboratories, a library, and any other necessary facilities;94277

       (b) Advertise the availability of classes and class schedules 94278
to the community;94279

       (c) Coordinate any other administrative functions necessary 94280
for the efficient operations of the pilot program.94281

       (C) Any institution of higher education that contracts with 94282
the Warren County Career Center shall compensate the Career Center 94283
at a reasonable rate for services provided by the Career Center.94284

       (D) The pilot program is ineligible to receive state 94285
financial assistance for capital improvements or any other state 94286
financial assistance available to institutions of higher 94287
education.94288

       Section 89.17. Notwithstanding section 3333.05 of the Revised 94289
Code, the Ohio Board of Regents shall issue a charter for a new 94290
community college, as defined in division (C) of section 3354.01 94291
of the Revised Code, to be operated jointly with the Warren County 94292
Career Center. However, the new community college shall not offer 94293
courses or request approval of appropriate associate degree 94294
programs from the Ohio Board of Regents until after July 1, 2005. 94295
Until July 1, 2005, the board of trustees of the new community 94296
college is authorized only to carry out activities for the 94297
organization of the new community college.94298

       (A) Before the Board of Regents issues a charter to the new 94299
community college the following conditions shall be met:94300

       (1) The Warren County Career Center's joint vocational school 94301
district board of education approves, by resolution, the 94302
establishment of a new community college within the Career Center.94303

       (2) The Warren County Career Center's joint vocational school 94304
district board and the local workforce policy board submit to the 94305
Ohio Board of Regents a community college plan that conforms to 94306
the requirements of section 3354.07 of the Revised Code and the 94307
plan is approved by the Board of Rengents pursuant to that 94308
section.94309

       (B) To administer the new community college, a board of 94310
trustees shall be appointed in accordance with section 3354.05 of 94311
the Revised Code.94312

       (C) After July 1, 2005, the joint vocational-community 94313
college established under this section shall function as:94314

       (1) A provider of career-technical education to secondary 94315
school students, subject to all laws applicable to joint 94316
vocational school districts under Title XXXIII of the Revised 94317
Code;94318

       (2) A provider of arts and sciences and technical 94319
instructional programs, not exceeding two years' duration, for 94320
postsecondary school students, subject to all laws applicable to 94321
community colleges under Chapters 3345. and 3354. of the Revised 94322
Code, unless this section provides otherwise; and94323

       (3) A provider of arts and sciences and technical 94324
instructional programs for secondary school students participating 94325
in the postsecondary enrollment options program under Chapter 94326
3365. of the Revised Code.94327

       (D) The community college district of the new community 94328
college is comprised of the territory included within the 94329
boundaries of Warren County.94330

       (E) All funds received by the joint vocational-community 94331
college to carry out its duties under division (C)(1) of this 94332
section shall be kept separate from all funds received by the 94333
joint vocational-community college to carry out its duties under 94334
divisions (C)(2) and (3) of this section. All revenues from taxes 94335
levied by the joint vocational school district shall be kept 94336
separate from all revenues of any taxes levied by the community 94337
college district.94338

       (F) The joint vocational-community college established under 94339
this section is ineligible to receive state financial assistance 94340
for capital improvements otherwise available to community colleges 94341
under Chapter 3345. or 3354. of the Revised Code. The joint 94342
vocational-community college is eligible to receive only classroom 94343
facilities assistance under sections 3318.40 to 3318.46 of the 94344
Revised Code, but only if the assistance would provide funds for a 94345
project to carry out the responsibilities of the Warren County 94346
Career Center specified in division (C)(1) of this section. The 94347
joint vocational-community college is ineligible for classroom 94348
facilities under sections 3318.40 to 3318.46 of the Revised Code 94349
for projects that when complete would be used exclusively for 94350
community college purposes, as prohibited by division (C) of 94351
section 3318.40 of the Revised Code.94352

       (G) By June 30, 2005, the board of education of the joint 94353
vocational school district and the board of trustees of the new 94354
community college shall submit a report to the Board of Regents on 94355
the status of the joint vocational-community college-university 94356
pilot partnership authorized by this act and the development of 94357
the new community college authorized by this section.94358

       Section 89.18. The General Assembly recognizes the pilot 94359
tuition restructuring plan of the board of trustees of Miami 94360
University for undergraduate students enrolled at the Oxford 94361
campus. The purpose of this plan is to make higher education more 94362
affordable for moderate income Ohioans, encourage high-achieving 94363
Ohio students to stay in Ohio rather than attending colleges in 94364
other states, and provide incentives for Ohio students to major in 94365
areas crucial to Ohio's priorities and future economic 94366
development.94367

       Notwithstanding any limit on in-state undergraduate 94368
instructional and general fees imposed by this act, the General 94369
Assembly recognizes that the plan provides that all undergraduate 94370
students enrolled at the Oxford campus will be charged combined 94371
instructional and general fees in an amount equal to the 94372
nonresident instructional and general fees and tuition surcharge. 94373
For both resident students first enrolling on or after the summer 94374
term of 2003 and resident students who enrolled prior to this 94375
date, any increases in fees approved thereafter by the board of 94376
trustees are subject to any instructional and general fee caps 94377
imposed by the General Assembly.94378

       In implementing the plan, all undergraduate students who are 94379
residents of Ohio shall receive student financial assistance in 94380
the form of an Ohio Resident Scholarship and an Ohio Leader 94381
Scholarship.94382

       Miami University established the Ohio Resident Scholarship in 94383
recognition of the support provided by this state to Miami 94384
University. Each enrolled student who is a resident of Ohio shall 94385
receive an Ohio Resident Scholarship. The Ohio Resident 94386
Scholarship shall be an award that is equal to, or in excess of, 94387
the per capita core funding, which is funding through the state 94388
share of instruction and success challenges, the University 94389
receives from this state. For fiscal year 2004, the board of 94390
trustees established the amount of an Ohio Resident Scholarship at 94391
$5,000. Each year, thereafter, the board of trustees of Miami 94392
University shall establish the amount of an Ohio Resident 94393
Scholarship for the entering class based upon increases or 94394
decreases in state core funding the University receives from this 94395
state and shall award such a scholarship to each undergraduate 94396
Ohio resident. The University shall guarantee the award will be 94397
renewed each year at not less than the initial amount until 94398
graduation or for six academic years, whichever occurs first.94399

       Miami University established the Ohio Leader Scholarship to 94400
make Miami University more affordable for low- and middle-income 94401
Ohio families, to encourage high-achieving students to attend 94402
college in Ohio, and to provide incentives for Ohio students to 94403
major in areas crucial to Ohio's economic development. To 94404
determine which families qualify as low- and middle-income, the 94405
University shall use federal financial aid guidelines but assume 94406
that generally families earning less than $110,000 annually 94407
qualify. Each enrolled student who is a resident of Ohio shall 94408
receive an Ohio Leader Scholarship. The board of trustees 94409
established the amount of an Ohio Leader Scholarship at $4,750 in 94410
fiscal year 2004. Each year thereafter, the board of trustees 94411
shall award an Ohio Leader Scholarship to each undergraduate Ohio 94412
resident student in an amount based on financial need, academic 94413
qualifications, or state priorities criteria. The amount of an 94414
award may vary from student to student. The initial award amount 94415
shall be guaranteed by the University to be renewed each year, 94416
assuming satisfactory academic progress, at an amount that is not 94417
less than the initial amount until graduation or six academic 94418
years, whichever occurs first. All Ohio Leader Scholarship awards 94419
shall use financial need as the first criteria in determining the 94420
award amount. For fiscal year 2005, the University shall offer 94421
one-third of accepted high-need Ohio residents above average Ohio 94422
Leader Scholarship awards, one-third of accepted low-need Ohio 94423
residents shall be offered below average Ohio Leader Scholarship 94424
awards, and one-third of accepted average-need Ohio residents 94425
shall be offered average Ohio Leader Scholarship awards.94426

       For fiscal year 2004, at the Oxford campus of Miami 94427
University where current instructional and general fee charges 94428
equal $18,103, the combined Ohio Resident Scholarship and Ohio 94429
Leader Scholarship amount totals $9,750. Based on instructional 94430
and general fee charges of $19,732 at the Oxford campus of Miami 94431
University in fiscal year 2005, Miami University projects the 94432
combined scholarship award will range from a minimum of $10,000 94433
for those with the least need who will receive the lowest Ohio 94434
Leader Scholarship award to a maximum of $11,256 for those 94435
students with the greatest need who will receive the highest Ohio 94436
Leader Scholarship award. These scholarship awards shall augment 94437
other University financial assistance. During fiscal years 2004 94438
and 2005, all funds generated by above average Ohio Leader 94439
Scholarship awards shall be utilized for the support of Ohio 94440
students.94441

       For any resident student who enrolls at the Miami University 94442
Oxford campus prior to August 2004, the plan shall have no direct 94443
financial impact except for paper changes on invoices so that such 94444
a student shall only pay instructional and general fees in an 94445
amount equivalent to what the student was charged in the preceding 94446
year in addition to any increases in fees approved by the board of 94447
trustees.94448

       Section 89.19. OIG RECONCILIATION94449

       By the first day of August in each fiscal year, or as soon 94450
thereafter as possible, the Ohio Board of Regents shall certify to 94451
the Director of Budget and Management the amount necessary to pay 94452
any outstanding prior year obligations to higher education 94453
institutions for the Ohio Instructional Grant Program. The amounts 94454
certified are hereby appropriated to appropriation item 235-618, 94455
OIG Reconciliation, from revenues received in the Instructional 94456
Grant Reconciliation Fund (Fund 5Y5).94457

       Section 89.20. BELMONT TECHNICAL COLLEGE94458

       Not later than one year after the effective date of this 94459
section, the Board of Regents shall consider a proposal from 94460
Belmont Technical College to convert to a community college.94461

       The Board shall consider the demonstrated need for such an 94462
institution, the most effective use of state resources to fund 94463
such a conversion, and the regional benefit of such a conversion.94464

       Section 90.  DRC DEPARTMENT OF REHABILITATION AND CORRECTION94465

General Revenue Fund 94466
GRF 501-321 Institutional Operations $ 848,631,155 $ 861,557,899 94467
GRF 501-403 Prisoner Compensation $ 8,455,052 $ 8,705,052 94468
GRF 501-405 Halfway House $ 36,890,139 $ 35,579,419 94469
GRF 501-406 Lease Rental Payments $ 141,997,000 $ 146,307,900 94470
GRF 501-407 Community Nonresidential Programs $ 15,161,353 $ 15,352,814 94471
GRF 501-408 Community Misdemeanor Programs $ 7,942,211 $ 8,041,489 94472
GRF 501-501 Community Residential Programs - CBCF $ 53,970,123 $ 52,872,875 94473
GRF 502-321 Mental Health Services $ 66,802,290 $ 68,265,662 94474
GRF 503-321 Parole and Community Operations $ 77,195,938 $ 78,845,845 94475
GRF 504-321 Administrative Operations $ 26,533,707 $ 27,420,848 94476
GRF 505-321 Institution Medical Services $ 118,406,940 $ 120,014,320 94477
GRF 506-321 Institution Education Services $ 24,335,287 $ 24,747,574 94478
GRF 507-321 Institution Recovery Services $ 7,018,500 $ 7,124,516 94479
TOTAL GRF General Revenue Fund $ 1,433,339,695 $ 1,454,836,213 94480

General Services Fund Group94481

4B0 501-601 Penitentiary Sewer Treatment Facility Services $ 1,693,129 $ 1,758,177 94482
4D4 501-603 Prisoner Programs $ 20,537,291 $ 20,967,703 94483
4L4 501-604 Transitional Control $ 1,348,740 $ 1,593,794 94484
4S5 501-608 Education Services $ 4,452,754 $ 4,564,072 94485
483 501-605 Property Receipts $ 383,894 $ 393,491 94486
5H8 501-617 Offender Financial Responsibility $ 1,335,000 $ 1,374,020 94487
5L6 501-611 Information Technology Services $ 3,650,712 $ 3,741,980 94488
571 501-606 Training Academy Receipts $ 73,356 $ 75,190 94489
593 501-618 Laboratory Services $ 4,707,730 $ 4,825,423 94490
TOTAL GSF General Services Fund Group $ 38,182,606 $ 39,293,850 94491

Federal Special Revenue Fund Group94492

3S1 501-615 Truth-In-Sentencing Grants $ 24,604,435 $ 25,517,173 94493
323 501-619 Federal Grants $ 10,759,329 $ 11,300,335 94494
TOTAL FED Federal Special Revenue 94495
Fund Group $ 35,363,764 $ 36,817,508 94496

Intragovernmental Service Fund Group94497

148 501-602 Services and Agricultural $ 95,207,653 $ 95,207,653 94498
200 501-607 Ohio Penal Industries $ 29,748,175 $ 31,491,879 94499
TOTAL ISF Intragovernmental 94500
Service Fund Group $ 124,955,828 $ 126,699,532 94501
TOTAL ALL BUDGET FUND GROUPS $ 1,631,841,893 $ 1,657,647,103 94502

       COMMUNITY CORRECTIONS TRANSFERS94503

       The Department of Rehabilitation and Correction shall seek 94504
the approval of the Controlling Board to transfer in FY 2005 from 94505
the unexpended, unobligated GRF appropriations made to the 94506
Department for fiscal years 2004 and 2005 at least $3,250,000 in 94507
appropriation authority to appropriation item 501-405, Halfway 94508
House, and at least $3,250,000 in appropriation authority to 94509
appropriation item 501-501, Community Residential Programs - CBCF.94510

       ZERO-BASED BUDGETING94511

        The Director of Budget and Management shall prepare a full 94512
zero-based budget for the biennium ending June 30, 2007, for the 94513
Department of Rehabilitation and Correction. The Director shall 94514
offer the Department substantial technical assistance throughout 94515
the process of preparing its zero-based budget. The Department 94516
shall prepare a full zero-based budget in such manner and 94517
according to such schedule as the Director of Budget and 94518
Management requires. The zero-based budget shall, as the Director 94519
of Budget and Management determines, be in addition to or in place 94520
of the estimates of revenue and proposed expenditures that the 94521
Department otherwise would be required to prepare under section 94522
126.02 of the Revised Code.94523

       OHIO BUILDING AUTHORITY LEASE PAYMENTS94524

       The foregoing appropriation item 501-406, Lease Rental94525
Payments, shall be used for payments to the Ohio Building94526
Authority for the period July 1, 2003, to June 30, 2005, pursuant94527
to the primary leases and agreements for those buildings made94528
under Chapter 152. of the Revised Code but limited to the 94529
aggregate amount of $288,304,900. This appropriation amount is the 94530
source of funds pledged for bond service charges on related94531
obligations issued pursuant to Chapter 152. of the Revised Code.94532

       PRISONER COMPENSATION94533

       Money from the foregoing appropriation item 501-403, Prisoner94534
Compensation, shall be transferred on a quarterly basis by94535
intrastate transfer voucher to the Services and Agricultural Fund 94536
(Fund 148) for the purposes of paying prisoner compensation.94537

       CASH TRANSFER TO THE OFFENDER FINANCIAL RESPONSIBILITY FUND94538

        On July 1, 2003, or as soon thereafter as possible, the 94539
Director of Budget and Management shall transfer the cash balance 94540
in the Adult Parole Authority Probation Services Fund (Fund 5A3) 94541
to the Offender Financial Responsibility Fund (Fund 5H8).94542

       Section 91.  RSC REHABILITATION SERVICES COMMISSION94543

General Revenue Fund94544

GRF 415-100 Personal Services $ 8,677,911 $ 8,851,468 94545
GRF 415-402 Independent Living Council $ 12,040 $ 12,280 94546
GRF 415-403 Mental Health Services $ 717,221 $ 717,221 94547
GRF 415-404 MR/DD Services $ 1,260,816 $ 1,260,816 94548
GRF 415-405 Vocational Rehabilitation/Job and Family Services $ 536,912 $ 536,912 94549
GRF 415-406 Assistive Technology $ 47,531 $ 47,531 94550
GRF 415-431 Office for People with Brain Injury $ 222,364 $ 226,012 94551
GRF 415-506 Services for People with Disabilities $ 11,830,306 $ 12,185,215 94552
GRF 415-508 Services for the Deaf $ 50,000 $ 50,000 94553
GRF 415-509 Services for the Elderly $ 359,377 $ 359,377 94554
GRF 415-520 Independent Living Services $ 50,000 $ 50,000 94555
TOTAL GRF General Revenue Fund $ 23,764,478 $ 24,296,832 94556

General Services Fund Group94557

4W5 415-606 Administrative Expenses $ 18,016,543 $ 18,557,040 94558
467 415-609 Business Enterprise Operating Expenses $ 1,584,545 $ 1,632,082 94559
TOTAL GSF General Services 94560
Fund Group $ 19,601,088 $ 20,189,122 94561

Federal Special Revenue Fund Group94562

3L1 415-601 Social Security Personal Care Assistance $ 3,984,486 $ 3,988,032 94563
3L1 415-605 Social Security Community Centers for the Deaf $ 1,100,488 $ 1,100,488 94564
3L1 415-607 Social Security Administration Cost $ 174,119 $ 175,860 94565
3L1 415-608 Social Security Special Programs/Assistance $ 6,941,158 $ 6,941,158 94566
3L1 415-610 Social Security Vocational Rehabilitation $ 1,338,324 $ 1,338,324 94567
3L1 415-614 Social Security Independent Living $ 385,917 $ 385,917 94568
3L4 415-612 Federal-Independent Living Centers or Services $ 663,687 $ 663,687 94569
3L4 415-615 Federal - Supported Employment $ 1,714,546 $ 1,714,546 94570
3L4 415-617 Independent Living/Vocational Rehabilitation Programs $ 1,582,484 $ 1,582,484 94571
317 415-620 Disability Determination $ 73,120,329 $ 76,776,343 94572
379 415-616 Federal-Vocational Rehabilitation $ 117,955,833 $ 125,520,457 94573
TOTAL FED Federal Special 94574
Revenue Fund Group $ 208,961,371 $ 220,187,296 94575

State Special Revenue Fund Group94576

4L1 415-619 Services for Rehabilitation $ 3,623,845 $ 3,176,070 94577
468 415-618 Third Party Funding $ 1,692,991 $ 2,392,991 94578
TOTAL SSR State Special 94579
Revenue Fund Group $ 5,316,836 $ 5,569,061 94580
TOTAL ALL BUDGET FUND GROUPS $ 257,643,773 $ 270,242,311 94581

       MR/DD SERVICES94582

       The foregoing appropriation item 415-404, MR/DD Services,94583
shall be used as state matching funds to provide vocational94584
rehabilitation services to mutually eligible clients between the94585
Rehabilitation Services Commission and the Department of Mental94586
Retardation and Developmental Disabilities. The Rehabilitation94587
Services Commission shall report to the Department of Mental94588
Retardation and Developmental Disabilities, as outlined in an94589
interagency agreement, on the number and status of mutually94590
eligible clients and the status of the funds and expenditures for94591
these clients.94592

       VOCATIONAL REHABILITATION/JOB AND FAMILY SERVICES94593

       The foregoing appropriation item 415-405, Vocational94594
Rehabilitation/Job and Family Services, shall be used as state94595
matching funds to provide vocational rehabilitation services to94596
mutually eligible clients between the Rehabilitation Services94597
Commission and the Department of Job and Family Services. The94598
Rehabilitation Services Commission shall report to the Department94599
of Job and Family Services, as outlined in an interagency94600
agreement, on the number and status of mutually eligible clients94601
and the status of the funds and expenditures for these clients.94602

       ASSISTIVE TECHNOLOGY94603

       The foregoing appropriation item 415-406, Assistive94604
Technology, shall be provided to Assistive Technology of Ohio and94605
shall be used only to provide grants under that program. No amount 94606
of the appropriation may be used for administrative costs.94607

       OFFICE FOR PEOPLE WITH BRAIN INJURY94608

       Of the foregoing appropriation item 415-431, Office for94609
People with Brain Injury, $50,000 in each fiscal year shall be94610
used for the state match for a federal grant awarded through the94611
Traumatic Brain Injury Act, Pub. L. No. 104-166, and up to $50,000 94612
in fiscal year 2004 and up to $50,000 in fiscal year 2005 shall be 94613
provided to the Brain Injury Trust Fund. The remaining94614
appropriation in this item shall be used to plan and coordinate94615
head-injury-related services provided by state agencies and other94616
government or private entities, to assess the needs for such94617
services, and to set priorities in this area.94618

       SERVICES FOR THE ELDERLY94619

       The foregoing appropriation item 415-509, Services for the94620
Elderly, shall be used as matching funds for vocational94621
rehabilitation services for eligible elderly citizens with a94622
disability.94623

       SOCIAL SECURITY REIMBURSEMENT FUNDS94624

       Reimbursement funds received from the Social Security94625
Administration, United States Department of Health and Human94626
Services, for the costs of providing services and training to94627
return disability recipients to gainful employment, shall be used94628
in the Social Security Reimbursement Fund (Fund 3L1), as follows:94629

       (A) Appropriation item 415-601, Social Security Personal Care 94630
Assistance, to provide personal care services in accordance with 94631
section 3304.41 of the Revised Code;94632

       (B) Appropriation item 415-605, Social Security Community94633
Centers for the Deaf, to provide grants to community centers for94634
the deaf in Ohio for services to individuals with hearing94635
impairments;94636

       (C) Appropriation item 415-607, Social Security94637
Administration Cost, to provide administrative services needed to94638
administer the Social Security reimbursement program;94639

       (D) Appropriation item 415-608, Social Security Special94640
Programs/Assistance, to provide vocational rehabilitation services94641
to individuals with severe disabilities, who are Social Security94642
beneficiaries, to achieve competitive employment. This item also94643
includes funds to assist the Personal Care Assistance, Community94644
Centers for the Deaf, and Independent Living Programs to pay their94645
share of indirect costs as mandated by federal OMB Circular A-87.94646

       (E) Appropriation item 415-610, Social Security Vocational94647
Rehabilitation, to provide vocational rehabilitation services to 94648
older blind individuals with severe disabilities to achieve a 94649
noncompetitive employment goal.94650

       ADMINISTRATIVE EXPENSES94651

       The foregoing appropriation item 415-606, Administrative94652
Expenses, shall be used to support the administrative functions of94653
the commission related to the provision of vocational94654
rehabilitation, disability determination services, and ancillary94655
programs.94656

       INDEPENDENT LIVING COUNCIL94657

       The foregoing appropriation item 415-402, Independent Living94658
Council, shall be used to fund the operations of the State94659
Independent Living Council.94660

       MENTAL HEALTH SERVICES94661

       The foregoing appropriation item 415-403, Mental Health94662
Services, shall be used for the provision of vocational94663
rehabilitation services to mutually eligible consumers of the94664
Rehabilitation Services Commission and the Department of Mental94665
Health.94666

       The Department of Mental Health shall receive a quarterly94667
report from the Rehabilitation Services Commission stating the94668
numbers served, numbers placed in employment, average hourly wage,94669
and average hours worked.94670

       SERVICES FOR THE DEAF94671

       The foregoing appropriation item 415-508, Services for the 94672
Deaf, shall be used to supplement Social Security reimbursement 94673
funds used to provide grants to community centers for the deaf. 94674
These funds shall not be used in lieu of Social Security 94675
reimbursement funds.94676

       INDEPENDENT LIVING SERVICES94677

       The foregoing appropriation items 415-520, Independent Living94678
Services, and 415-612, Federal-Independent Living Centers or94679
Services, shall be used to support state independent living94680
centers or independent living services pursuant to Title VII of94681
the Independent Living Services and Centers for Independent Living94682
of the Rehabilitation Act Amendments of 1992, 106 Stat. 4344, 2994683
U.S.C. 796d.94684

       INDEPENDENT LIVING/VOCATIONAL REHABILITATION PROGRAMS94685

       The foregoing appropriation item 415-617, Independent94686
Living/Vocational Rehabilitation Programs, shall be used to94687
support vocational rehabilitation programs, including, but not94688
limited to, Projects with Industry, Training Grants, and Brain 94689
Injury Grants.94690

       PILOT PROGRAM FOR VOCATIONAL REHABILITATION94691

       During fiscal years 2004 and 2005, the Rehabilitation 94692
Services Commission may conduct a pilot program to provide 94693
vocational rehabilitation and related services to entities, 94694
employers, or individuals that are not eligible for state or 94695
federally supported services through the commission. The 94696
commission shall propose fees to be collected from the entities, 94697
employers, or individuals served by the pilot program for the 94698
approval of the Controlling Board to support the costs for 94699
vocational rehabilitation and related services provided under the 94700
pilot program. Fee revenues collected under the program shall be 94701
credited to Fund 468 (Third Party Funding). Prior to the 94702
commencement of services through the pilot program, the 94703
Rehabilitation Services Commission shall develop a program plan to 94704
be submitted to the Controlling Board. Any plan revisions or 94705
updates shall be reported to the Controlling Board. During the 94706
implementation of the pilot program, the Rehabilitation Services 94707
Commission shall investigate and determine the possibility of 94708
utilizing this source of revenue to match federal funds. The 94709
Rehabilitation Services Commission shall evaluate the progress of 94710
the pilot program and issue a report of its findings to the 94711
Governor by December 15, 2005. The report shall include a 94712
recommendation to either continue or discontinue the pilot program 94713
in the next biennium.94714

       Section 92.  RCB RESPIRATORY CARE BOARD94715

General Services Fund Group94716

4K9 872-609 Operating Expenses $ 318,499 $ 315,481 94717
TOTAL GSF General Services 94718
Fund Group $ 318,499 $ 315,481 94719
TOTAL ALL BUDGET FUND GROUPS $ 318,499 $ 315,481 94720


       Section 93.  REVENUE DISTRIBUTION FUNDS94722

Volunteer Firefighters' Dependents Fund94723

085 800-900 Volunteer Firefighters' Dependents Fund $ 200,000 $ 200,000 94724
TOTAL 085 Volunteer Firefighters' 94725
Dependents Fund $ 200,000 $ 200,000 94726
Agency Fund Group 94727
062 110-900 Resort Area Excise Tax $ 500,000 $ 500,000 94728
063 110-900 Permissive Tax Distribution $ 1,397,512,400 $ 1,439,437,700 94729
067 110-900 School District Income Tax Fund $ 154,836,700 $ 161,030,200 94730
4P8 001-698 Cash Management Improvement Fund $ 2,500,000 $ 2,500,000 94731
608 001-699 Investment Earnings $ 174,300,000 $ 181,300,000 94732
TOTAL AGY Agency Fund Group $ 1,729,649,100 $ 1,784,767,900 94733

Holding Account Redistribution94734

R45 110-617 International Fuel Tax Distribution $ 36,400,000 $ 37,200,000 94735
TOTAL R45 Holding Account Redistribution Fund $ 36,400,000 $ 37,200,000 94736
Revenue Distribution Fund Group 94737
049 038-900 Indigent Drivers Alcohol Treatment $ 1,850,000 $ 1,850,000 94738
050 762-900 International Registration Plan Distribution $ 60,000,000 $ 60,000,000 94739
051 762-901 Auto Registration Distribution $ 475,000,000 $ 486,875,000 94740
054 110-900 Local Government Property Tax Replacement $ 75,000,000 $ 75,000,000 94741
060 110-900 Gasoline Excise Tax Fund $ 113,344,700 $ 115,611,600 94742
064 110-900 Local Government Revenue Assistance $ 98,500,000 $ 98,500,000 94743
065 110-900 Library/Local Government Support Fund $ 475,000,000 $ 475,000,000 94744
066 800-900 Undivided Liquor Permit Fund $ 13,500,000 $ 13,500,000 94745
068 110-900 State/Local Government Highway Distribution Fund $ 227,607,000 $ 232,159,100 94746
069 110-900 Local Government Fund $ 705,000,000 $ 705,000,000 94747
082 110-900 Horse Racing Tax $ 130,000 $ 130,000 94748
083 700-900 Ohio Fairs Fund $ 3,150,000 $ 3,150,000 94749
TOTAL RDF Revenue Distribution 94750
Fund Group $ 2,248,081,700 $ 2,266,775,700 94751
TOTAL ALL BUDGET FUND GROUPS $ 4,014,330,800 $ 4,088,943,600 94752

       ADDITIONAL APPROPRIATIONS94753

       Appropriation items in this section are to be used for the94754
purpose of administering and distributing the designated revenue94755
distributions fund according to the Revised Code. If it is94756
determined that additional appropriations are necessary, such94757
amounts are appropriated.94758

       Section 94.  SAN BOARD OF SANITARIAN REGISTRATION94759

General Services Fund Group94760

4K9 893-609 Operating Expenses $ 124,892 $ 125,612 94761
TOTAL GSF General Services 94762
Fund Group $ 124,892 $ 125,612 94763
TOTAL ALL BUDGET FUND GROUPS $ 124,892 $ 125,612 94764


       Section 95.  OSB OHIO STATE SCHOOL FOR THE BLIND94766

General Revenue Fund94767

GRF 226-100 Personal Services $ 6,287,483 $ 6,456,616 94768
GRF 226-200 Maintenance $ 685,256 $ 685,256 94769
GRF 226-300 Equipment $ 121,355 $ 121,355 94770
TOTAL GRF General Revenue Fund $ 7,094,094 $ 7,263,227 94771

General Services Fund Group94772

4H8 226-602 Education Reform Grants $ 61,476 $ 61,476 94773
TOTAL GSF General Services 94774
Fund Group $ 61,476 $ 61,476 94775

Federal Special Revenue Fund Group94776

3P5 226-643 Medicaid Professional Services Reimbursement $ 143,600 $ 143,600 94777
310 226-626 Coordinating Unit $ 1,390,000 $ 1,384,000 94778
TOTAL FED Federal Special 94779
Revenue Fund Group $ 1,533,600 $ 1,527,600 94780

State Special Revenue Fund Group94781

4M5 226-601 Work Study & Technology Investments $ 42,919 $ 42,919 94782
TOTAL SSR State Special Revenue 94783
Fund Group $ 42,919 $ 42,919 94784
TOTAL ALL BUDGET FUND GROUPS 8,732,089 8,895,222 94785


       Section 96.  OSD OHIO STATE SCHOOL FOR THE DEAF94787

General Revenue Fund94788

GRF 221-100 Personal Services $ 8,071,660 $ 8,391,704 94789
GRF 221-200 Maintenance $ 1,012,561 $ 1,032,813 94790
GRF 221-300 Equipment $ 269,377 $ 269,377 94791
TOTAL GRF General Revenue Fund $ 9,353,598 $ 9,693,894 94792

General Services Fund Group94793

4M1 221-602 Education Reform Grants $ 70,701 $ 70,701 94794
TOTAL GSF General Services 94795
Fund Group $ 70,701 $ 70,701 94796

Federal Special Revenue Fund Group94797

3R0 221-684 Medicaid Professional $ 111,377 $ 111,377 94798
Services Reimbursement 94799
311 221-625 Coordinating Unit $ 949,899 $ 974,649 94800
3Y1 221-686 Early Childhood Grant $ 248,235 $ 262,275 94801
TOTAL FED Federal Special 94802
Revenue Fund Group $ 1,309,511 $ 1,348,301 94803

State Special Revenue Fund Group94804

4M0 221-601 Educational Program $ 33,188 $ 33,188 94805
Expenses 94806
5H6 221-609 Even Start Fees & Gifts $ 98,500 $ 98,500 94807
TOTAL SSR State Special Revenue 94808
Fund Group $ 131,688 $ 131,688 94809
TOTAL ALL BUDGET FUND GROUPS 10,865,498 11,244,584 94810


       Section 97.  SFC SCHOOL FACILITIES COMMISSION94812

General Revenue Fund94813

GRF 230-428 Lease Rental Payments $ 31,776,500 $ 31,704,700 94814
GRF 230-908 Common Schools General Obligation Debt Service $ 106,322,300 $ 145,989,300 94815
TOTAL GRF General Revenue Fund $ 138,098,800 $ 177,694,000 94816

Federal Special Revenue Fund Group94817

3X9 230-601 Federal School Facilities Grant $ 28,214,058 $ 28,214,058 94818
TOTAL FED Federal Special Revenue Fund Group $ 28,214,058 $ 28,214,058 94819

State Special Revenue Fund Group94820

5E3 230-644 Operating Expenses $ 7,009,766 $ 7,009,766 94821
TOTAL SSR State Special Revenue 94822
Fund Group $ 7,009,766 $ 7,009,766 94823
TOTAL ALL BUDGET FUND GROUPS $ 173,322,624 $ 212,917,824 94824


       Section 97.01. LEASE RENTAL PAYMENTS94826

       The foregoing appropriation item 230-428, Lease Rental94827
Payments, shall be used to meet all payments at the times they are94828
required to be made during the period from July 1, 2003, to June94829
30, 2005, by the School Facilities Commission pursuant to leases94830
and agreements made under section 3318.26 of the Revised Code, but94831
limited to the aggregate amount of $63,481,200. Nothing in this94832
act shall be deemed to contravene the obligation of the state to94833
pay, without necessity for further appropriation, from the sources94834
pledged thereto, the bond service charges on obligations issued94835
pursuant to Chapter 3318. of the Revised Code.94836

       COMMON SCHOOLS GENERAL OBLIGATION DEBT SERVICE94837

       The foregoing appropriation item 230-908, Common Schools94838
General Obligation Debt Service, shall be used to pay all debt94839
service and related financing costs at the times they are required 94840
to be made pursuant to sections 151.01 and 151.03 of the Revised 94841
Code during the period from July 1, 2003, to June 30, 2005. The 94842
Office of the Sinking Fund or the Director of Budget and 94843
Management shall effectuate the required payments by an intrastate 94844
transfer voucher.94845

       OPERATING EXPENSES94846

       The foregoing appropriation item 230-644, Operating Expenses,94847
shall be used by the Ohio School Facilities Commission to carry94848
out its responsibilities pursuant to this section and Chapter94849
3318. of the Revised Code.94850

       Within ten days after the effective date of this section, or94851
as soon as possible thereafter, the Executive Director of the Ohio94852
School Facilities Commission shall certify to the Director of94853
Budget and Management the amount of cash from interest earnings to 94854
be transferred from the School Building Assistance Fund (Fund 032)94855
or the Public School Building Fund (Fund 021) to the Ohio School 94856
Facilities Commission Fund (Fund 5E3).94857

       By July 10, 2004, the Executive Director of the Ohio School94858
Facilities Commission shall certify to the Director of Budget and94859
Management the amount of cash from interest earnings to be 94860
transferred from the School Building Assistance Fund (Fund 032) or 94861
the Public School Building Fund (Fund 021) to the Ohio School 94862
Facilities Commission Fund (Fund 5E3). The amount transferred may 94863
not exceed investment earnings credited to the School Building 94864
Assistance Fund (Fund 032) less any amount required to be paid for 94865
federal arbitrage rebate purposes.94866

       SCHOOL FACILITIES ENCUMBRANCES AND REAPPROPRIATION94867

       At the request of the Executive Director of the Ohio School94868
Facilities Commission, the Director of Budget and Management may94869
cancel encumbrances for school district projects from a previous94870
biennium if the district has not raised its local share of project94871
costs within one year of receiving Controlling Board approval in94872
accordance with section 3318.05 of the Revised Code. The Executive 94873
Director of the Ohio School Facilities Commission shall certify 94874
the amounts of these canceled encumbrances to the Director of 94875
Budget and Management on a quarterly basis. The amounts of the94876
canceled encumbrances are appropriated.94877

       Section 97.02. COMMUNITY SCHOOL CLASSROOM FACILITIES LOAN 94878
GUARANTEE94879

       The unencumbered and unallotted balances as of June 30, 2003, 94880
in appropriation item 230-602, Community School Loan Guarantee, 94881
are hereby reappropriated in fiscal year 2004 to support loan 94882
guarantees to community schools under section 3318.50 of the 94883
Revised Code. The unencumbered an unallotted balances of the 94884
appropriation at the end of fiscal year 2004 are hereby 94885
reappropriated in fiscal year 2005 to support loan guarantees to 94886
community schools under section 3318.50 of the Revised Code.94887

       Section 97.03.  EXTREME ENVIRONMENTAL CONTAMINATION OF SCHOOL94888
FACILITIES94889

       Notwithstanding any other provision of law to the contrary,94890
the School Facilities Commission may provide assistance under the94891
Exceptional Needs School Facilities Program established in section 94892
3318.37 of the Revised Code to any school district, and not94893
exclusively to a school district in the lowest fifty per cent of94894
adjusted valuation per pupil on the current ranking of school 94895
districts established pursuant to section 3317.02 of the Revised 94896
Code, for the purpose of the relocation or replacement of school 94897
facilities required as a result of extreme environmental94898
contamination.94899

       The School Facilities Commission shall contract with an94900
independent environmental consultant to conduct a study and to94901
report to the commission as to the seriousness of the94902
environmental contamination, whether the contamination violates94903
applicable state and federal standards, and whether the facilities94904
are no longer suitable for use as school facilities. The94905
commission then shall make a determination regarding funding for94906
the relocation or replacement of the school facilities. If the94907
federal government or other public or private entity provides94908
funds for restitution of costs incurred by the state or school94909
district in the relocation or replacement of the school94910
facilities, the school district shall use such funds in excess of94911
the school district's share to refund the state for the state's94912
contribution to the environmental contamination portion of the94913
project. The school district may apply an amount of such94914
restitution funds up to an amount equal to the school district's94915
portion of the project, as defined by the commission, toward94916
paying its portion of that project to reduce the amount of bonds94917
the school district otherwise must issue to receive state94918
assistance under sections 3318.01 to 3318.20 of the Revised Code.94919

       Section 97.04.  (A) The Ohio School Facilities Commission may94920
commit up to thirty-five million dollars to the Canton City School94921
District for construction of a facility described in this section,94922
in lieu of a high school that would otherwise be authorized under94923
Chapter 3318. of the Revised Code. The commission shall not commit 94924
funds under this section unless all of the following conditions 94925
are met:94926

       (1) The district has entered into a cooperative agreement94927
with a state-assisted technical college.94928

       (2) The district has received an irrevocable commitment of94929
additional funding from nonpublic sources.94930

       (3) The facility is intended to serve both secondary and94931
postsecondary instructional purposes.94932

       (B) The commission shall enter into an agreement with the94933
district for the construction of the facility authorized under94934
this section that is separate from and in addition to the94935
agreement required for the district's participation in the94936
Classroom Facilities Assistance Program under section 3318.08 of94937
the Revised Code. Notwithstanding that section and sections94938
3318.03, 3318.04, and 3318.083 of the Revised Code, the additional94939
agreement shall provide, but not be limited to, the following:94940

       (1) The commission shall not have any oversight94941
responsibilities over the construction of the facility.94942

       (2) The facility need not comply with the specifications for94943
plans and materials for high schools adopted by the commission.94944

       (3) The commission may decrease the basic project cost that94945
would otherwise be calculated for a high school under Chapter94946
3318. of the Revised Code.94947

       (4) The state shall not share in any increases in the basic94948
project cost for the facility above the amount authorized under94949
this section.94950

       All other provisions of Chapter 3318. of the Revised Code94951
apply to the approval and construction of a facility authorized94952
under this section.94953

       The state funds committed to the facility authorized by this94954
section shall be part of the total amount the state commits to the94955
Canton City School District under Chapter 3318. of the Revised94956
Code. All additional state funds committed to the Canton City94957
School District for classroom facilities assistance shall be94958
subject to all provisions of Chapter 3318. of the Revised Code.94959

       Section 98.  NET OHIO SCHOOLNET COMMISSION94960

General Revenue Fund94961

GRF 228-404 Operating Expenses $ 5,961,208 $ 5,961,208 94962
GRF 228-406 Technical and Instructional Professional Development $ 7,691,831 $ 7,691,831 94963
GRF 228-539 Education Technology $ 6,989,315 $ 6,989,315 94964
Total GRF General Revenue Fund $ 20,642,354 $ 20,642,354 94965

General Services Fund Group94966

5D4 228-640 Conference/Special Purpose Expenses $ 1,350,000 $ 1,350,000 94967
TOTAL GSF General Services 94968
Fund Group $ 1,350,000 $ 1,350,000 94969

Federal Special Revenue Fund Group94970

3X8 228-604 Individuals With Disabilities Education Act $ 1,500,000 $ 1,500,000 94971
TOTAL FED Federal Special Revenue 94972
Fund Group $ 1,500,000 $ 1,500,000 94973

State Special Revenue Fund Group94974

4W9 228-630 Ohio SchoolNet Telecommunity Fund $ 400,000 $ 400,000 94975
4X1 228-634 Distance Learning $ 1,750,000 $ 1,750,000 94976
5T3 228-605 Gates Foundation Grants $ 1,194,908 $ 1,194,908 94977
TOTAL SSR State Special Revenue 94978
Fund Group $ 3,344,908 $ 3,344,908 94979
TOTAL ALL BUDGET FUND GROUPS 26,837,262 26,837,262 94980


       Section 98.01. TECHNICAL AND INSTRUCTIONAL PROFESSIONAL94982
DEVELOPMENT94983

       The foregoing appropriation item 228-406, Technical and94984
Instructional Professional Development, shall be used by the Ohio94985
SchoolNet Commission to make grants or provide services to94986
qualifying schools, including the State School for the Blind and94987
the Ohio School for the Deaf, for the provision of hardware,94988
software, telecommunications services, and staff development to94989
support educational uses of technology in the classroom.94990

       The Ohio SchoolNet Commission shall consider the professional94991
development needs associated with the OhioReads Program when94992
making funding allocations and program decisions.94993

       Of the foregoing appropriation item 228-406, Technical and 94994
Instructional Professional Development, $1,260,000 in each fiscal 94995
year shall be allocated equally among the 12 Ohio Educational 94996
Television Stations and, used with the advice of the Ohio 94997
SchoolNet Commission, for the production of interactive 94998
instructional programming series and teleconferences to support 94999
the SchoolNet Commission. The programming shall be targeted to the 95000
needs of the poorest two hundred school districts as determined by 95001
the district's adjusted valuation per pupil as defined in section 95002
3317.0213 of the Revised Code.95003

       Of the foregoing appropriation item 228-406, Technical and 95004
Instructional Professional Development, $818,322 in each fiscal 95005
year shall be used by the INFOhio Network, with the advice of the 95006
Ohio SchoolNet Commission, to support the provision of electronic 95007
resources to all public schools with preference given to 95008
elementary schools. Consideration shall be given by the Commission 95009
to coordinating the allocation of these moneys with the efforts of 95010
OhioLINK and the Ohio Public Information Network.95011

       Of the foregoing appropriation item 228-406, Technical and 95012
Instructional Professional Development, $300,000 in each fiscal 95013
year shall be used by the JASON project, with the advice of the 95014
Ohio SchoolNet Commission, to provide statewide access and a 75 95015
per cent subsidy for statewide licensing of JASON content for 95016
90,000 middle school students statewide, and professional 95017
development for teachers participating in the program.95018

       The remaining appropriation allocated in appropriation item95019
228-406, Technical and Instructional Professional Development,95020
shall be used by the Ohio SchoolNet Commission for professional95021
development for teachers and administrators for the use of95022
educational technology. The commission may make grants to provide95023
technical assistance and professional development on the use of95024
educational technology to school districts.95025

       Eligible recipients of grants include regional training95026
centers, county offices of education, data collection sites,95027
instructional technology centers, institutions of higher95028
education, public television stations, special education resource95029
centers, area media centers, or other nonprofit educational95030
organizations. Services provided through these grants may include95031
use of private entities subcontracting through the grant95032
recipient.95033

       Grants shall be made to entities on a contractual basis with95034
the Ohio SchoolNet Commission. Contracts shall include provisions95035
that demonstrate how services will benefit technology use in the95036
schools, and in particular will support Ohio SchoolNet efforts to95037
support technology in the schools. Contracts shall specify the95038
scope of assistance being offered and the potential number of95039
professionals who will be served. Contracting entities may be95040
awarded more than one grant at a time.95041

       Grants shall be awarded in a manner consistent with the goals95042
of Ohio SchoolNet. Special emphasis in the award of grants shall 95043
be placed on collaborative efforts among service providers.95044

       Application for grants from this appropriation in95045
appropriation item 228-406, Technical and Instructional95046
Professional Development, shall be consistent with a school95047
district's technology plan that shall meet the minimum95048
specifications for school district technology plans as prescribed95049
by the Ohio SchoolNet Commission. Funds allocated through these95050
grants may be combined with funds received through other state or95051
federal grants for technology so long as the school district's95052
technology plan specifies the use of these funds.95053

       EDUCATION TECHNOLOGY95054

       The foregoing appropriation item 228-539, Education95055
Technology, shall be used to provide funding to suppliers of95056
information services to school districts for the provision of95057
hardware, software, and staff development in support of95058
educational uses of technology in the classroom as prescribed by95059
the State Plan for Technology pursuant to section 3301.07 of the95060
Revised Code, and to support assistive technology for children and95061
youth with disabilities.95062

       Of the foregoing appropriation item 228-539, Education 95063
Technology, up to $1,946,000 in each fiscal year shall be used by 95064
the Ohio SchoolNet Commission to link all public K-12 classrooms 95065
to each other and the Internet, and to provide access to voice, 95066
video, and data educational resources for students and teachers 95067
through the OneNet Ohio Program.95068

       Up to $4,403,778 in each fiscal year shall be used by the95069
Ohio SchoolNet Commission to contract with instructional95070
television, and $639,537 in each fiscal year shall be used by the 95071
commission to contract with education media centers to provide 95072
Ohio schools with instructional resources and services.95073

       Resources may include, but not be limited to, the following:95074
pre-recorded video materials (including videotape, laser discs,95075
and CD-ROM discs); computer software for student use or student95076
access to electronic communication, databases, spreadsheet, and95077
word processing capability; live student courses or courses95078
delivered electronically; automated media systems; and95079
instructional and professional development materials for teachers.95080
The commission shall cooperate with education technology agencies95081
in the acquisition, development, and delivery of such educational95082
resources to ensure high-quality and educational soundness at the95083
lowest possible cost. Delivery of such resources may utilize a95084
variety of technologies, with preference given to a high-speed95085
integrated information network that can transport video, voice,95086
data, and graphics simultaneously.95087

       Services shall include presentations and technical assistance95088
that will help students and teachers integrate educational95089
materials that support curriculum objectives, match specific95090
learning styles, and are appropriate for individual interests and95091
ability levels.95092

       Such instructional resources and services shall be made95093
available for purchase by chartered nonpublic schools or by public95094
school districts for the benefit of pupils attending chartered95095
nonpublic schools.95096

       TELECOMMUNITY95097

       The foregoing appropriation item 228-630, Ohio SchoolNet 95098
Telecommunity Fund, shall be distributed by the Ohio SchoolNet 95099
Commission on a grant basis to eligible school districts to 95100
establish "distance learning" through interactive video 95101
technologies in the school district. Per agreements with eight 95102
Ohio local telephone companies: ALLTEL Ohio, CENTURY Telephone of 95103
Ohio, Chillicothe Telephone Company, Cincinnati Bell Telephone 95104
Company, Orwell Telephone Company, Sprint North Central Telephone, 95105
VERIZON, and Western Reserve Telephone Company, school districts 95106
are eligible for funds if they are within one of the listed 95107
telephone company service areas. Funds to administer the program 95108
shall be expended by the commission up to the amount specified in 95109
agreements with the listed telephone companies.95110

       Within 30 days after the effective date of this section, the 95111
Director of Budget and Management shall transfer to Fund 4W9 in 95112
the State Special Revenue Fund Group any investment earnings from 95113
moneys paid to the Ohio SchoolNet Commission by any telephone 95114
company as part of any settlement agreement between the listed 95115
companies and the Public Utilities Commission in fiscal years 1996 95116
and beyond. 95117

       DISTANCE LEARNING95118

       Appropriation item 228-634, Distance Learning, shall be95119
distributed by the Ohio SchoolNet Commission on a grant basis to95120
eligible school districts to establish "distance learning" in the95121
school district. Per the agreement with Ameritech, school95122
districts are eligible for funds if they are within an Ameritech95123
service area. Funds to administer the program shall be expended by 95124
the commission up to the amount specified in the agreement with95125
Ameritech.95126

       Within thirty days after the effective date of this section, 95127
the Director of Budget and Management shall transfer to fund 4X195128
in the State Special Revenue Fund Group any investment earnings95129
from moneys paid to the office or to the SchoolNet Commission by 95130
any telephone company as part of a settlement agreement between 95131
the company and the Public Utilities Commission in fiscal year 95132
1995.95133

       GATES FOUNDATION GRANTS95134

       The foregoing appropriation item 228-605, Gates Foundation 95135
Grants, shall be used by the Ohio SchoolNet Commission to provide 95136
professional development to school district principals, 95137
superintendents, and other administrative staff for the use of 95138
education technology. The appropriation is made possible through a 95139
grant from the Bill and Melinda Gates foundation.95140

       Section 99.  SOS SECRETARY OF STATE95141

General Revenue Fund95142

GRF 050-321 Operating Expenses $ 2,750,000 $ 2,750,000 95143
GRF 050-403 Election Statistics $ 110,570 $ 110,570 95144
GRF 050-407 Pollworkers Training $ 295,742 $ 295,742 95145
GRF 050-409 Litigation Expenditures $ 4,949 $ 4,949 95146
TOTAL GRF General Revenue Fund $ 3,161,261 $ 3,161,261 95147

General Services Fund Group95148

4S8 050-610 Board of Voting Machine Examiners $ 7,200 $ 7,200 95149
412 050-609 Notary Commission $ 178,124 $ 185,249 95150
413 050-601 Information Systems $ 163,418 $ 169,955 95151
414 050-602 Citizen Education Fund $ 72,800 $ 75,712 95152
TOTAL General Services Fund Group $ 421,542 $ 438,116 95153

Federal Special Revenue Fund Group95154

3X4 050-612 Ohio Cntr/Law Related Educ Grant $ 41,000 $ 41,000 95155
TOTAL FED Federal Special Revenue 95156
Fund Group $ 41,000 $ 41,000 95157

State Special Revenue Fund Group95158

5N9 050-607 Technology Improvements $ 124,582 $ 129,565 95159
599 050-603 Business Services Operating Expenses $ 13,889,462 $ 14,241,966 95160
TOTAL SSR State Special Revenue 95161
Fund Group $ 14,014,044 $ 14,371,531 95162

Holding Account Redistribution Fund Group95163

R01 050-605 Uniform Commercial Code Refunds $ 65,000 $ 65,000 95164
R02 050-606 Corporate/Business Filing Refunds $ 100,000 $ 100,000 95165
TOTAL 090 Holding Account 95166
Redistribution Fund Group $ 165,000 $ 165,000 95167
TOTAL ALL BUDGET FUND GROUPS $ 17,802,847 $ 18,176,908 95168

       BOARD OF VOTING MACHINE EXAMINERS95169

       The foregoing appropriation item 050-610, Board of Voting95170
Machine Examiners, shall be used to pay for the services and95171
expenses of the members of the Board of Voting Machine Examiners,95172
and for other expenses that are authorized to be paid from the95173
Board of Voting Machine Examiners Fund, which is created in95174
section 3506.05 of the Revised Code. Moneys not used shall be95175
returned to the person or entity submitting the equipment for95176
examination. If it is determined that additional appropriations95177
are necessary, such amounts are appropriated.95178

       HOLDING ACCOUNT REDISTRIBUTION GROUP95179

       The foregoing appropriation items 050-605 and 050-606,95180
Holding Account Redistribution Fund Group, shall be used to hold95181
revenues until they are directed to the appropriate accounts or95182
until they are refunded. If it is determined that additional95183
appropriations are necessary, such amounts are appropriated.95184

       Section 100.  SEN THE OHIO SENATE95185

General Revenue Fund95186

GRF 020-321 Operating Expenses $ 10,887,655 $ 11,432,037 95187
TOTAL GRF General Revenue Fund $ 10,887,655 $ 11,432,037 95188

General Services Fund Group95189

102 020-602 Senate Reimbursement $ 422,881 $ 444,025 95190
409 020-601 Miscellaneous Sales $ 32,529 $ 34,155 95191
TOTAL GSF General Services 95192
Fund Group $ 455,410 $ 478,180 95193
TOTAL ALL BUDGET FUND GROUPS $ 11,343,065 $ 11,910,217 95194


       Section 101.  CSF COMMISSIONERS OF THE SINKING FUND95196

Debt Service Fund Group95197

071 155-901 Highway Obligations Bond Retirement Fund $ 35,536,300 $ 10,450,000 95198
072 155-902 Highway Capital Improvements Bond Retirement Fund $ 153,559,600 $ 173,238,200 95199
073 155-903 Natural Resources Bond Retirement $ 23,808,300 $ 26,914,300 95200
074 155-904 Conservation Projects Bond Service Fund $ 9,743,500 $ 11,235,700 95201
076 155-906 Coal Research and Development Bond Retirement Fund $ 7,231,200 $ 9,185,100 95202
077 155-907 State Capital Improvements Bond Retirement Fund $ 156,974,400 $ 152,069,700 95203
078 155-908 Common Schools Bond Retirement Fund $ 106,322,300 $ 145,989,300 95204
079 155-909 Higher Education Bond Retirement Fund $ 97,668,000 $ 130,967,600 95205
TOTAL DSF Debt Service Fund Group $ 590,843,600 $ 660,049,900 95206
TOTAL ALL BUDGET FUND GROUPS $ 590,843,600 $ 660,049,900 95207

       ADDITIONAL APPROPRIATIONS95208

       Appropriation items in this section are for the purpose of95209
paying debt service and financing costs on bonds or notes of the95210
state issued pursuant to the Ohio Constitution and acts of the95211
General Assembly. If it is determined that additional95212
appropriations are necessary, such amounts are appropriated.95213

       Section 102.  SPE BOARD OF SPEECH-LANGUAGE PATHOLOGY & 95214
AUDIOLOGY95215

General Services Fund Group95216

4K9 886-609 Operating Expenses $ 390,966 $ 403,554 95217
TOTAL GSF General Services 95218
Fund Group $ 390,966 $ 403,554 95219
TOTAL ALL BUDGET FUND GROUPS $ 390,966 $ 403,554 95220


       Section 103.  BTA BOARD OF TAX APPEALS95222

General Revenue Fund95223

GRF 116-321 Operating Expenses $ 2,171,760 $ 2,171,760 95224
TOTAL GRF General Revenue Fund $ 2,171,760 $ 2,171,760 95225
TOTAL ALL BUDGET FUND GROUPS $ 2,171,760 $ 2,171,760 95226


       Section 104. TAX DEPARTMENT OF TAXATION95228

General Revenue Fund95229

GRF 110-321 Operating Expenses $ 92,501,007 $ 94,267,788 95230
GRF 110-412 Child Support Administration $ 74,215 $ 74,215 95231
GRF 110-901 Property Tax Allocation - Taxation $ 434,650,000 $ 462,640,000 95232
GRF 110-906 Tangible Tax Exemption - Taxation $ 26,590,000 $ 25,090,000 95233
TOTAL GRF General Revenue Fund $ 553,815,222 $ 582,072,003 95234

Agency Fund Group95235

095 110-901 Municipal Income Tax $ 12,000,000 $ 12,000,000 95236
425 110-635 Tax Refunds $ 1,296,756,200 $ 1,337,119,600 95237
TOTAL AGY Agency Fund Group $ 1,308,756,200 $ 1,349,119,600 95238

General Services Fund Group95239

433 110-602 Tape File Account $ 96,165 $ 96,165 95240
TOTAL GSF General Services 95241
Fund Group $ 96,165 $ 96,165 95242

Federal Special Revenue Fund Group95243

3J6 110-601 Motor Fuel Compliance $ 33,300 $ 25,000 95244
TOTAL FED Federal Special Revenue 95245
Fund Group $ 33,300 $ 25,000 95246

State Special Revenue Fund Group95247

4C6 110-616 International Registration Plan $ 706,855 $ 706,855 95248
4R6 110-610 Tire Tax Administration $ 65,000 $ 65,000 95249
435 110-607 Local Tax Administration $ 13,600,000 $ 13,700,000 95250
436 110-608 Motor Vehicle Audit $ 1,350,000 $ 1,350,000 95251
437 110-606 Litter Tax and Natural Resource Tax Administration $ 625,232 $ 625,232 95252
438 110-609 School District Income Tax $ 2,599,999 $ 2,599,999 95253
5N5 110-605 Municipal Income Tax Administration $ 650,000 $ 650,000 95254
5N6 110-618 Kilowatt Hour Tax Administration $ 85,000 $ 85,000 95255
5V7 110-622 Motor Fuel Tax Administration $ 3,734,036 $ 3,833,091 95256
5V8 110-623 Property Tax Administration $ 11,569,719 $ 11,938,362 95257
5W4 110-625 Centralized Tax Filing and Payment $ 3,000,000 $ 3,000,000 95258
639 110-614 Cigarette Tax Enforcement $ 168,925 $ 168,925 95259
642 110-613 Ohio Political Party Distributions $ 600,000 $ 600,000 95260
688 110-615 Local Excise Tax Administration $ 300,000 $ 300,000 95261
TOTAL SSR State Special Revenue 95262
Fund Group $ 39,054,766 $ 39,622,464 95263

Holding Account Redistribution Fund Group95264

R10 110-611 Tax Distributions $ 50,000 $ 50,000 95265
R11 110-612 Miscellaneous Income Tax Receipts $ 50,000 $ 50,000 95266
TOTAL 090 Holding Account 95267
Redistribution Fund Group $ 100,000 $ 100,000 95268
TOTAL ALL BUDGET FUND GROUPS $ 1,901,855,653 $ 1,971,035,232 95269

       TRAVEL EXPENSES FOR THE STREAMLINED SALES TAX PROJECT95270

        Of the foregoing appropriation item 110-607, Local Tax 95271
Administration, the Tax Commissioner may disburse funds, if 95272
available, for the purposes of paying travel expenses incurred by 95273
members of Ohio's delegation to the Streamlined Sales Tax Project, 95274
as appointed under section 5740.02 of the Revised Code. Any travel 95275
expense reimbursement paid for by the Department of Taxation shall 95276
be done in accordance with applicable state laws and guidelines.95277

       LITTER CONTROL TAX ADMINISTRATION FUND95278

       Notwithstanding section 5733.12 of the Revised Code, during95279
the period from July 1, 2003, to June 30, 2004, the amount of95280
$625,232, and during the period from July 1, 2004, to June 30,95281
2005, the amount of $625,232, received by the Tax Commissioner95282
under Chapter 5733. of the Revised Code, shall be credited to the95283
Litter Control Tax Administration Fund (Fund 437).95284

       CENTRALIZED TAX FILING AND PAYMENT FUND95285

       The Director of Budget and Management pursuant to a plan 95286
submitted by the Tax Commissioner, or as otherwise determined by 95287
the Director of Budget and Management, shall set a schedule to 95288
transfer cash from the General Revenue Fund to the credit of the 95289
Centralized Tax Filing and Payment Fund. Such transfers of cash 95290
shall not exceed $3,000,000 in any fiscal year.95291

       INTERNATIONAL REGISTRATION PLAN AUDIT95292

       The foregoing appropriation item 110-616, International95293
Registration Plan, shall be used pursuant to section 5703.12 of95294
the Revised Code for audits of persons with vehicles registered95295
under the International Registration Plan.95296

       HOMESTEAD EXEMPTION, PROPERTY TAX ROLLBACK, AND TANGIBLE TAX95297
EXEMPTION95298

       The foregoing appropriation item 110-901, Property Tax95299
Allocation - Taxation, is appropriated to pay for the state's95300
costs incurred due to the Homestead Exemption, the Manufactured95301
Home Property Tax Rollback, and the Property Tax Rollback. The Tax 95302
Commissioner shall distribute these funds directly to the95303
appropriate local taxing districts of the state, except for school95304
districts, notwithstanding the provisions in sections 321.24 and95305
323.156 of the Revised Code, which provide for payment of the95306
Homestead Exemption, the Manufactured Home Property Tax Rollback,95307
and Property Tax Rollback by the Tax Commissioner to the95308
appropriate county treasurer and the subsequent redistribution of95309
these funds to the appropriate local taxing districts by the95310
county auditor.95311

       The foregoing appropriation item 110-906, Tangible Tax95312
Exemption - Taxation, is appropriated to pay for the state's costs95313
incurred due to the tangible personal property tax exemption95314
required by division (C)(3) of section 5709.01 of the Revised95315
Code. The Tax Commissioner shall distribute to each county95316
treasurer the total amount appearing in the notification from the 95317
county treasurer pursuant to division (G) of section 321.24 of the 95318
Revised Code for all local taxing districts located in the county 95319
except for school districts, notwithstanding the provision in 95320
section 321.24 of the Revised Code which provides for payment of 95321
the $10,000 tangible personal property tax exemption by the Tax95322
Commissioner to the appropriate county treasurer for all local95323
taxing districts located in the county including school districts.95324
Pursuant to division (G) of section 321.24 of the Revised Code,95325
the county auditor shall distribute the amount paid by the Tax95326
Commissioner among the appropriate local taxing districts except95327
for school districts.95328

       Upon receipt of these amounts, each local taxing district95329
shall distribute the amount among the proper funds as if it had95330
been paid as real or tangible personal property taxes. Payments95331
for the costs of administration shall continue to be paid to the95332
county treasurer and county auditor as provided for in sections95333
319.54, 321.26, and 323.156 of the Revised Code.95334

       Any sums, in addition to the amounts specifically95335
appropriated in appropriation items 110-901, Property Tax95336
Allocation - Taxation, for the Homestead Exemption, the95337
Manufactured Home Property Tax Rollback, and the Property Tax95338
Rollback payments, and 110-906, Tangible Tax Exemption - Taxation,95339
for the $10,000 tangible personal property tax exemption payments,95340
which are determined to be necessary for these purposes, are95341
hereby appropriated.95342

       MUNICIPAL INCOME TAX95343

       The foregoing appropriation item 110-901, Municipal Income 95344
Tax, shall be used to make payments to municipal corporations as 95345
provided in section 5745.05 of the Revised Code. If it is 95346
determined that additional appropriations are necessary to make 95347
such payments, such amounts are hereby appropriated.95348

       TAX REFUNDS95349

       The foregoing appropriation item 110-635, Tax Refunds, shall95350
be used to pay refunds as provided in section 5703.052 of the95351
Revised Code. If it is determined that additional appropriations95352
are necessary, such amounts are appropriated.95353

       Section 105.  DOT DEPARTMENT OF TRANSPORTATION95354

Transportation Modes
95355

General Revenue Fund95356

GRF 775-451 Public Transportation - State $ 18,875,595 $ 19,525,595 95357
GRF 776-465 Ohio Rail Development Commission $ 3,116,889 $ 2,936,056 95358
GRF 776-466 Railroad Crossing/Grade Separation $ 500,000 $ 840,000 95359
GRF 777-471 Airport Improvements - State $ 1,908,495 $ 1,908,495 95360
GRF 777-473 Rickenbacker Lease Payments - State $ 591,600 $ 591,500 95361
TOTAL GRF General Revenue Fund $ 24,992,579 $ 25,801,646 95362

Federal Special Revenue Fund Group95363

3B9 776-662 Rail Transportation - Federal $ 50,000 $ 50,000 95364
TOTAL FSR Federal Special Revenue 95365
Fund Group $ 50,000 $ 50,000 95366

State Special Revenue Fund Group95367

4N4 776-663 Panhandle Lease Reserve Payments $ 770,000 $ 770,000 95368
4N4 776-664 Rail Transportation - Other $ 1,919,500 $ 2,111,500 95369
5W8 773-605 Roadside Rest Area Improvement 250,000 250,000 95370
5W9 777-615 County Airport Maintenance Assistance 570,000 570,000 95371
TOTAL SSR State Special Revenue 95372
Fund Group $ 3,509,500 $ 3,701,500 95373
TOTAL ALL BUDGET FUND GROUPS $ 28,552,079 $ 29,553,146 95374

       ELDERLY AND DISABLED FARE ASSISTANCE95375

       Of the foregoing appropriation item 775-451, Public 95376
Transportation - State, up to $4,012,780 in fiscal year 2004 and 95377
$5,015,975 in fiscal year 2005 may be used to make grants to 95378
county transit boards, regional transit authorities, regional 95379
transit commissions, counties, municipal corporations, and private 95380
nonprofit organizations that operate or will operate public 95381
transportation systems, for the purpose of reducing the transit 95382
fares of elderly or disabled persons. Pursuant to division (B) of 95383
section 5501.07 of the Revised Code, the Director of 95384
Transportation shall establish criteria for the distribution of 95385
these grants.95386

       AVIATION LEASE PAYMENTS95387

       The foregoing appropriation item 777-473, Rickenbacker Lease95388
Payments - State, shall be used to meet scheduled payments for the95389
Rickenbacker Port Authority. The Director of Transportation shall95390
certify to the Director of Budget and Management any95391
appropriations in appropriation item 777-473, Rickenbacker Lease95392
Payments - State, that are not needed to make lease payments for95393
the Rickenbacker Port Authority. Notwithstanding section 127.14 of 95394
the Revised Code, the amount certified may be transferred by the 95395
Director of Budget and Management to appropriation item 777-471, 95396
Airport Improvements - State.95397

       Section 106.  TOS TREASURER OF STATE95398

General Revenue Fund95399

GRF 090-321 Operating Expenses $ 9,329,082 $ 9,619,082 95400
GRF 090-401 Office of the Sinking $ 554,868 $ 554,868 95401
Fund 95402
GRF 090-402 Continuing Education $ 463,585 $ 463,585 95403
GRF 090-524 Police and Fire $ 35,000 $ 30,000 95404
Disability Pension Fund 95405
GRF 090-534 Police & Fire Ad Hoc Cost $ 225,000 $ 230,000 95406
of Living 95407
GRF 090-544 Police and Fire State $ 1,200,000 $ 1,200,000 95408
Contribution 95409
GRF 090-554 Police and Fire Survivor $ 1,320,000 $ 1,260,000 95410
Benefits 95411
GRF 090-575 Police and Fire Death $ 24,000,000 $ 25,000,000 95412
Benefits 95413
TOTAL GRF General Revenue Fund $ 37,127,535 $ 38,357,535 95414

Agency Fund Group95415

425 090-635 Tax Refunds $ 31,000,000 $ 31,000,000 95416
TOTAL Agency Fund Group $ 31,000,000 $ 31,000,000 95417

General Services Fund Group95418

4E9 090-603 Securities Lending Income $ 2,400,000 $ 2,100,000 95419
577 090-605 Investment Pool $ 600,000 $ 550,000 95420
Reimbursement 95421
605 090-609 Treasurer of State $ 600,000 $ 700,000 95422
Administrative Fund 95423
TOTAL GSF General Services 95424
Fund Group $ 3,600,000 $ 3,350,000 95425

State Special Revenue Fund Group95426

5C5 090-602 County Treasurer Education $ 175,000 $ 135,000 95427
TOTAL SSR State Special Revenue 95428
Fund Group $ 175,000 $ 135,000 95429
TOTAL ALL BUDGET FUND GROUPS $ 71,902,535 $ 72,842,535 95430


       Section 106.01.  OFFICE OF THE SINKING FUND95432

       The foregoing appropriation item 090-401, Office of the95433
Sinking Fund, shall be used for financing and other costs incurred95434
by or on behalf of the Commissioners of the Sinking Fund, the Ohio95435
Public Facilities Commission or its secretary, or the Treasurer of95436
State, with respect to State of Ohio general obligation bonds or95437
notes, including, but not limited to, printing, advertising,95438
delivery, rating fees and the procurement of ratings, professional95439
publications, membership in professional organizations, and95440
services referred to in division (D) of section 151.01 of the95441
Revised Code. The General Revenue Fund shall be reimbursed for95442
such costs by intrastate transfer voucher pursuant to a95443
certification by the Office of the Sinking Fund of the actual95444
amounts used. The amounts necessary to make such reimbursements95445
are appropriated from the general obligation bond retirement funds95446
created by the Constitution and laws to the extent such costs are95447
incurred.95448

       POLICE AND FIRE DEATH BENEFIT FUND95449

       The foregoing appropriation item 090-575, Police and Fire95450
Death Benefits, shall be disbursed annually by the Treasurer of95451
State at the beginning of each fiscal year to the Board of95452
Trustees of the Ohio Police and Fire Pension Fund. By the95453
twentieth day of June of each year, the Board of Trustees of the95454
Ohio Police and Fire Pension Fund shall certify to the Treasurer95455
of State the amount disbursed in the current fiscal year to make95456
the payments required by section 742.63 of the Revised Code and95457
shall return to the Treasurer of State moneys received from this95458
item but not disbursed.95459

       The foregoing appropriation item 090-635, Tax Refunds, shall 95460
be used to pay refunds as provided in section 5703.052 of the 95461
Revised Code. If it is determined by the Director of Budget and 95462
Management that additional amounts are necessary, such amounts are 95463
appropriated.95464

       Section 107.  UST PETROLEUM UNDERGROUND STORAGE TANK RELEASE 95465
COMPENSATION BOARD95466

State Special Revenue Fund Group95467

691 810-632 PUSTRCB Staff $ 1,075,158 $ 1,075,158 95468
TOTAL SSR State Special Revenue 95469
Fund Group $ 1,075,158 $ 1,075,158 95470
TOTAL ALL BUDGET FUND GROUPS $ 1,075,158 $ 1,075,158 95471


       Section 108.  TTA OHIO TUITION TRUST AUTHORITY95473

State Special Revenue Fund Group95474

5P3 095-602 Variable Savings Plan $ 1,639,747 $ 1,690,213 95475
645 095-601 Operating Expenses $ 3,570,614 $ 3,689,101 95476
TOTAL SSR State Special Revenue 95477
Fund Group $ 5,210,361 $ 5,379,314 95478
TOTAL ALL BUDGET FUND GROUPS $ 5,210,361 $ 5,379,314 95479


       Section 109.  OVH OHIO VETERANS' HOME95481

General Revenue Fund95482

GRF 430-100 Personal Services $ 20,664,311 $ 18,877,112 95483
GRF 430-200 Maintenance $ 6,912,553 $ 6,546,928 95484
TOTAL GRF General Revenue Fund $ 27,576,864 $ 25,424,040 95485

General Services Fund Group95486

484 430-603 Rental and Service Revenue $ 709,737 $ 709,737 95487
TOTAL GSF General Services Fund Group $ 709,737 $ 709,737 95488

Federal Special Revenue Fund Group95489

3L2 430-601 Federal Grants $ 12,220,340 $ 14,696,578 95490
TOTAL FED Federal Special Revenue 95491
Fund Group $ 12,220,340 $ 14,696,578 95492

State Special Revenue Fund Group95493

4E2 430-602 Veterans Home Operating $ 6,719,938 $ 7,769,277 95494
604 430-604 Veterans Home Improvement $ 770,096 $ 770,096 95495
TOTAL SSR State Special Revenue 95496
Fund Group $ 7,490,034 $ 8,539,373 95497
TOTAL ALL BUDGET FUND GROUPS $ 47,996,975 $ 49,369,728 95498


       Section 110.  VET VETERANS' ORGANIZATIONS95500

General Revenue Fund95501

VAP AMERICAN EX-PRISONERS OF WAR
95502

GRF 743-501 State Support $ 25,030 $ 25,030 95503

VAN ARMY AND NAVY UNION, USA, INC.
95504

GRF 746-501 State Support $ 55,012 $ 55,012 95505

VKW KOREAN WAR VETERANS
95506

GRF 747-501 State Support $ 53,953 $ 49,453 95507

VJW JEWISH WAR VETERANS
95508

GRF 748-501 State Support $ 29,715 $ 29,715 95509

VCW CATHOLIC WAR VETERANS
95510

GRF 749-501 State Support $ 57,990 $ 57,990 95511

VPH MILITARY ORDER OF THE PURPLE HEART
95512

GRF 750-501 State Support $ 56,377 $ 56,377 95513

VVV VIETNAM VETERANS OF AMERICA
95514

GRF 751-501 State Support $ 185,954 $ 185,954 95515

VAL AMERICAN LEGION OF OHIO
95516

GRF 752-501 State Support $ 252,328 $ 252,328 95517

VII AMVETS
95518

GRF 753-501 State Support $ 237,919 $ 237,919 95519

VAV DISABLED AMERICAN VETERANS
95520

GRF 754-501 State Support $ 166,308 $ 166,308 95521

VMC MARINE CORPS LEAGUE
95522

GRF 756-501 State Support $ 85,972 $ 85,972 95523

V37 37TH DIVISION AEF VETERANS' ASSOCIATION
95524

GRF 757-501 State Support $ 5,946 $ 5,946 95525

VFW VETERANS OF FOREIGN WARS
95526

GRF 758-501 State Support $ 196,615 $ 196,615 95527

TOTAL GRF General Revenue Fund $ 1,409,119 $ 1,404,619 95528
TOTAL ALL BUDGET FUND GROUPS $ 1,409,119 $ 1,404,619 95529

       RELEASE OF FUNDS95530

       The foregoing appropriation items 743-501, 746-501, 747-501,95531
748-501, 749-501, 750-501, 751-501, 752-501, 753-501, 754-501,95532
756-501, 757-501, and 758-501, State Support, shall be released95533
upon approval by the Director of Budget and Management.95534

       50th ANNIVERSARY COMMEMORATION OF THE KOREAN WAR95535

       Of the foregoing appropriation item 747-501, State Support, 95536
Korean War Veterans, up to $4,500 in fiscal year 2004 shall be 95537
used for activities to commemorate the 50th anniversary of the 95538
Korean War. Commemorative activities shall be carried out by the 95539
Korean War Veterans Organization with input from the Governor's 95540
Office of Veterans Affairs and the other veterans organizations 95541
representing Korean War veterans.95542

       AMERICAN EX-PRISONERS OF WAR95543

       The American Ex-Prisoners of War shall be permitted to share95544
an office with the Veterans of World War I.95545

       CENTRAL OHIO UNITED SERVICES ORGANIZATION95546

       Of the foregoing appropriation item 751-501, State Support,95547
Vietnam Veterans of America, $50,000 in each fiscal year shall be95548
used to support the activities of the Central Ohio USO.95549

       VETERANS SERVICE COMMISSION EDUCATION95550

       Of the foregoing appropriation item 753-501, State Support,95551
AMVETS, up to $20,000 in each fiscal year may be used to provide 95552
moneys to the Association of County Veterans Service Commissioners 95553
to reimburse its member county veterans service commissions for 95554
costs incurred in carrying out educational and outreach duties 95555
required under divisions (E) and (F) of section 5901.03 of the 95556
Revised Code. The Director of Budget and Management shall release 95557
these funds upon the presentation of an itemized receipt from the 95558
association for reasonable and appropriate expenses incurred while 95559
performing these duties. The association shall establish uniform 95560
procedures for reimbursing member commissions.95561

       Section 111.  DVM STATE VETERINARY MEDICAL BOARD95562

General Services Fund Group95563

4K9 888-609 Operating Expenses $ 444,208 $ 453,043 95564
TOTAL GSF General Services 95565
Fund Group $ 444,208 $ 453,043 95566
TOTAL ALL BUDGET FUND GROUPS $ 444,208 $ 453,043 95567


       Section 112.  DYS DEPARTMENT OF YOUTH SERVICES95569

General Revenue Fund95570

GRF 470-401 RECLAIM Ohio $ 164,637,416 $ 167,697,792 95571
GRF 470-412 Lease Rental Payments $ 21,110,100 $ 21,110,000 95572
GRF 470-510 Youth Services $ 18,608,587 $ 18,608,587 95573
GRF 472-321 Parole Operations $ 15,347,154 $ 14,841,872 95574
GRF 477-321 Administrative Operations $ 14,427,323 $ 14,166,008 95575
TOTAL GRF General Revenue Fund $ 234,130,580 $ 236,424,259 95576

General Services Fund Group95577

175 470-613 Education Reimbursement $ 8,817,598 $ 8,817,598 95578
4A2 470-602 Child Support $ 311,302 $ 320,641 95579
4G6 470-605 General Operational Funds $ 10,000 $ 10,000 95580
479 470-609 Employee Food Service $ 118,454 $ 122,008 95581
523 470-621 Wellness Program $ 197,778 $ 197,778 95582
TOTAL GSF General Services 95583
Fund Group $ 9,455,132 $ 9,468,025 95584

Federal Special Revenue Fund Group95585

3V5 470-604 Juvenile Justice/Delinquency Prevention $ 4,091,100 $ 4,254,744 95586
3W0 470-611 Federal Juvenile Programs FFY 02 $ 4,500,000 $ 0 95587
3Z8 470-625 Federal Juvenile Programs FFY 04 $ 7,828,899 $ 4,500,000 95588
3Z9 470-626 Federal Juvenile Programs FFY 05 $ 0 $ 7,828,899 95589
321 470-601 Education $ 1,491,587 $ 1,555,147 95590
321 470-603 Juvenile Justice Prevention $ 1,558,138 $ 1,558,138 95591
321 470-606 Nutrition $ 2,389,587 $ 2,485,170 95592
321 470-610 Rehabilitation Programs $ 585,000 $ 585,000 95593
321 470-614 Title IV-E Reimbursements $ 4,776,002 $ 4,919,282 95594
321 470-617 Americorps Programs $ 460,000 $ 460,000 95595
TOTAL FED Federal Special Revenue 95596
Fund Group $ 27,680,313 $ 28,146,380 95597

State Special Revenue Fund Group95598

147 470-612 Vocational Education $ 2,523,653 $ 2,630,612 95599
4W3 470-618 Help Me Grow $ 11,587 $ 11,587 95600
5J7 470-623 Residential Treatment Services $ 500,000 $ 500,000 95601
TOTAL SSR State Special Revenue 95602
Fund Group $ 3,035,240 $ 3,142,199 95603
TOTAL ALL BUDGET FUND GROUPS $ 274,301,265 $ 277,180,863 95604

       ZERO-BASED BUDGETING95605

        The Director of Budget and Management shall prepare a full 95606
zero-based budget for the biennium beginning July 1, 2005, for the 95607
Department of Youth Services. The Director shall offer the 95608
Department substantial technical assistance throughout the process 95609
of preparing their zero-based budget. The Department shall prepare 95610
a full zero-based budget in such manner and according to such 95611
schedule as the Director of Budget and Management requires. The 95612
zero-based budget shall, as the Director of Budget and Management 95613
determines, be in addition to or in place of the estimates of 95614
revenue and proposed expenditures that the Department otherwise 95615
would be required to prepare under section 126.02 of the Revised 95616
Code.95617

       OHIO BUILDING AUTHORITY LEASE PAYMENTS95618

       The foregoing appropriation item 470-412, Lease Rental95619
Payments, in the Department of Youth Services, shall be used for95620
payments to the Ohio Building Authority for the period from July 95621
1, 2003, to June 30, 2005, pursuant to the primary leases and 95622
agreements for facilities made under Chapter 152. of the Revised 95623
Code, but limited to the aggregate amount of $42,220,100. This 95624
appropriation is the source of funds pledged for bond service 95625
charges on related obligations issued pursuant to Chapter 152. of 95626
the Revised Code.95627

       YOUTH SERVICES BLOCK GRANT95628

        Of the foregoing appropriation item 470-510, Youth Services, 95629
$50,000 in each fiscal year shall be distributed directly to 95630
Lighthouse Youth Services.95631

       EMPLOYEE FOOD SERVICE AND EQUIPMENT95632

       Notwithstanding section 125.14 of the Revised Code, the95633
foregoing appropriation item 470-609, Employee Food Service, may95634
be used to purchase any food operational items with funds received95635
into the fund from reimbursement for state surplus property.95636

       EDUCATION REIMBURSEMENT95637

       The foregoing appropriation item 470-613, Education95638
Reimbursement, shall be used to fund the operating expenses of95639
providing educational services to youth supervised by the95640
Department of Youth Services. Operating expenses include, but are95641
not limited to, teachers' salaries, maintenance costs, and95642
educational equipment. This appropriation item shall not be used95643
for capital expenses.95644

       FEDERAL JUVENILE JUSTICE PROGRAM TRANSFER FROM THE OFFICE OF95645
CRIMINAL JUSTICE SERVICES TO THE DEPARTMENT OF YOUTH SERVICES95646

       Any business relating to the funds associated with the Office 95647
of Criminal Justice Services' appropriation item 196-602, Criminal 95648
Justice Federal Programs, commenced but not completed by the 95649
Office of Criminal Justice Services or its director shall be 95650
completed by the Department of Youth Services or its director in 95651
the same manner, and with the same effect, as if completed by the 95652
Office of Criminal Justice Services or its director. No 95653
validation, cure, right, privilege, remedy, obligation, or 95654
liability is lost or impaired by reason of the transfer and shall 95655
be administered by the Department of Youth Services.95656

       Any action or proceeding against the Office of Criminal 95657
Justice Services pending on the effective date of this section 95658
shall not be affected by the transfer of responsibility to the 95659
Department of Youth Services, and shall be prosecuted or defended 95660
in the name of the Department of Youth Services or its director. 95661
In all such actions and proceedings, the Department of Youth 95662
Services or its director upon application of the court shall be 95663
substituted as party.95664

       Section 113. EXPENDITURES AND APPROPRIATION INCREASES95665
APPROVED BY THE CONTROLLING BOARD95666

       Any money that the Controlling Board approves for expenditure95667
or any increase in appropriation authority that the Controlling95668
Board approves pursuant to the provisions of sections 127.14,95669
131.35, and 131.39 of the Revised Code or any other provision of95670
law is appropriated for the period ending June 30, 2005.95671

       Section 114. PERSONAL SERVICE EXPENSES95672

       Unless otherwise prohibited by law, any appropriation from95673
which personal service expenses are paid shall bear the employer's95674
share of public employees' retirement, workers' compensation,95675
disabled workers' relief, and all group insurance programs; the95676
costs of centralized accounting, centralized payroll processing,95677
and related personnel reports and services; the cost of the Office95678
of Collective Bargaining; the cost of the Personnel Board of95679
Review; the cost of the Employee Assistance Program; the cost of95680
the affirmative action and equal employment opportunity programs 95681
administered by the Department of Administrative Services; the 95682
costs of interagency information management infrastructure; and 95683
the cost of administering the state employee merit system as 95684
required by section 124.07 of the Revised Code. These costs shall 95685
be determined in conformity with appropriate sections of law and95686
paid in accordance with procedures specified by the Office of95687
Budget and Management. Expenditures from appropriation item 95688
070-601, Public Audit Expense - Local Government, in Fund 422 may 95689
be exempted from the requirements of this section.95690

       Section 115. REISSUANCE OF VOIDED WARRANTS95691

       In order to provide funds for the reissuance of voided95692
warrants pursuant to section 117.47 of the Revised Code, there is95693
appropriated, out of moneys in the state treasury from the fund95694
credited as provided in section 117.47 of the Revised Code, that95695
amount sufficient to pay such warrants when approved by the Office95696
of Budget and Management.95697

       Section 116. * CAPITAL PROJECT SETTLEMENTS95698

       This section specifies an additional and supplemental95699
procedure to provide for payments of judgments and settlements if95700
the Director of Budget and Management determines, pursuant to95701
division (C)(4) of section 2743.19 of the Revised Code, that95702
sufficient unencumbered moneys do not exist in the particular95703
appropriation to pay the amount of a final judgment rendered95704
against the state or a state agency, including the settlement of a95705
claim approved by a court, in an action upon and arising out of a95706
contractual obligation for the construction or improvement of a95707
capital facility if the costs under the contract were payable in95708
whole or in part from a state capital projects appropriation. In95709
such a case, the director may either proceed pursuant to division95710
(C)(4) of section 2743.19 of the Revised Code, or apply to the95711
Controlling Board to increase an appropriation or create an95712
appropriation out of any unencumbered moneys in the state treasury95713
to the credit of the capital projects fund from which the initial95714
state appropriation was made. The Controlling Board may approve or 95715
disapprove the application as submitted or modified. The amount of 95716
an increase in appropriation or new appropriation specified in an 95717
application approved by the Controlling Board is hereby 95718
appropriated from the applicable capital projects fund and made 95719
available for the payment of the judgment or settlement.95720

       If the director does not make the application authorized by95721
this section or the Controlling Board disapproves the application,95722
and the director does not make application pursuant to division95723
(C)(4) of section 2743.19 of the Revised Code, the director shall95724
for the purpose of making that payment make a request to the 95725
General Assembly as provided for in division (C)(5) of that 95726
section.95727

       Section 117. INCOME TAX DISTRIBUTION TO COUNTIES95728

       There are hereby appropriated out of any moneys in the state95729
treasury to the credit of the General Revenue Fund, which are not95730
otherwise appropriated, funds sufficient to make any payment95731
required by division (B)(2) of section 5747.03 of the Revised95732
Code.95733

       Section 118. SATISFACTION OF JUDGMENTS AND SETTLEMENTS95734
AGAINST THE STATE95735

       Any appropriation may be used for the purpose of satisfying95736
judgments or settlements in connection with civil actions against95737
the state in federal court not barred by sovereign immunity or the95738
Eleventh Amendment to the Constitution of the United States, or95739
for the purpose of satisfying judgments, settlements, or95740
administrative awards ordered or approved by the Court of Claims95741
in connection with civil actions against the state, pursuant to95742
section 2743.15, 2743.19, or 2743.191 of the Revised Code. This95743
authorization does not apply to appropriations to be applied to or95744
used for payment of guarantees by or on behalf of the state, for95745
or relating to lease payments or debt service on bonds, notes, or95746
similar obligations and those from the Sports Facilities Building95747
Fund (Fund 024), the Highway Safety Building Fund (Fund 025), the95748
Administrative Building Fund (Fund 026), the Adult Correctional95749
Building Fund (Fund 027), the Juvenile Correctional Building Fund95750
(Fund 028), the Transportation Building Fund (Fund 029), the Arts95751
Facilities Building Fund (Fund 030), the Natural Resources95752
Projects Fund (Fund 031), the School Building Program Assistance95753
Fund (Fund 032), the Mental Health Facilities Improvement Fund95754
(Fund 033), the Higher Education Improvement Fund (Fund 034), the95755
Parks and Recreation Improvement Fund (Fund 035), the State95756
Capital Improvements Fund (Fund 038), the Highway Obligation Fund95757
(Fund 041), the Coal Research/Development Fund (Fund 046), and any95758
other fund into which proceeds of obligations are deposited. 95759
Nothing contained in this section is intended to subject the state95760
to suit in any forum in which it is not otherwise subject to suit,95761
nor is it intended to waive or compromise any defense or right95762
available to the state in any suit against it.95763

       Section 119. * UTILITY RADIOLOGICAL SAFETY BOARD ASSESSMENTS95764

       The maximum amounts that may be assessed against nuclear95765
electric utilities in accordance with division (B)(2) of section95766
4937.05 of the Revised Code are as follows:95767

FY 2004 FY 2005 95768
Department of Agriculture 95769
Fund 4E4 Utility Radiological Safety $73,059 $73,059 95770
Department of Health 95771
Fund 610 Radiation Emergency Response $923,315 $923,315 95772
Environmental Protection Agency 95773
Fund 644 ER Radiological Safety $281,424 $286,114 95774
Emergency Management Agency 95775
Fund 657 Utility Radiological Safety $1,200,000 $1,260,000 95776

       Section 120. UNCLAIMED FUNDS TRANSFER95777

       Notwithstanding division (A) of section 169.05 of the Revised95778
Code, prior to June 30, 2004, upon the request of the Director of95779
Budget and Management, the Director of Commerce shall transfer to95780
the General Revenue Fund up to $25,000,000 of the unclaimed funds95781
that have been reported by the holder of unclaimed funds as95782
provided by section 169.05 of the Revised Code, irrespective of95783
the allocation of the unclaimed funds under that section.95784

       Section 121. GRF TRANSFER TO FUND 5N4, OAKS PROJECT95785
IMPLEMENTATION95786

       On July 1, 2003, or as soon thereafter as possible, the95787
Director of Budget and Management shall transfer up to $1,250,000 95788
in cash from the General Revenue Fund to Fund 5N4, OAKS Project95789
Implementation. On July 1, 2004, or as soon thereafter as95790
possible, the Director of Budget and Management shall transfer up 95791
to $1,250,000 in cash from the General Revenue Fund to Fund 5N4, 95792
OAKS Project Implementation.95793

       Section 122. FUND 4K9 TRANSFER TO GRF95794

        On July 31, 2003, or as soon thereafter as possible, the 95795
Director of Budget and Management shall transfer $2,000,000 in 95796
cash from Fund 4K9, Occupational Licensing and Regulatory Fund, to 95797
the General Revenue Fund.95798

       Section 123. CORPORATE AND UCC FILING FUND TRANSFER TO GRF95799

       Not later than the first day of June in each year of the95800
biennium, the Director of Budget and Management shall transfer95801
$1,000,000 from the Corporate and Uniform Commercial Code Filing95802
Fund to the General Revenue Fund.95803

       Section 124. GENERAL OBLIGATION DEBT SERVICE PAYMENTS95804

       Certain appropriations are in this act for the purpose of95805
paying debt service and financing costs on general obligation95806
bonds or notes of the state issued pursuant to the Ohio95807
Constitution and acts of the General Assembly. If it is determined 95808
that additional appropriations are necessary for this purpose, 95809
such amounts are appropriated.95810

       Section 125.  LEASE PAYMENTS TO OPFC, OBA, AND TREASURER OF95811
STATE95812

       Certain appropriations are in this act for the purpose of95813
making lease payments pursuant to leases and agreements relating95814
to bonds or notes issued by the Ohio Building Authority or the95815
Treasurer of State or, previously, by the Ohio Public Facilities95816
Commission, pursuant to the Ohio Constitution and acts of the95817
General Assembly. If it is determined that additional95818
appropriations are necessary for this purpose, such amounts are95819
appropriated.95820

       Section 126. AUTHORIZATION FOR TREASURER OF STATE AND OBM TO95821
EFFECTUATE CERTAIN DEBT SERVICE PAYMENTS95822

       The Office of Budget and Management shall initiate and95823
process disbursements from general obligation and lease rental 95824
payment appropriation items during the period from July 1, 2003, 95825
to June 30, 2005, relating to bonds or notes issued under Sections 95826
2i, 2k, 2l, 2m, 2n, 2o, and 15 of Article VIII, Ohio Constitution, 95827
and Chapters 151., 154., and 3318. of the Revised Code. 95828
Disbursements shall be made upon certification by the Treasurer of 95829
State of the dates and amounts due on those dates.95830

       Section 127.  STATE AND LOCAL REBATE AUTHORIZATION95831

       There is hereby appropriated, from those funds designated by95832
or pursuant to the applicable proceedings authorizing the issuance95833
of state obligations, amounts computed at the time to represent95834
the portion of investment income to be rebated or amounts in lieu95835
of or in addition to any rebate amount to be paid to the federal95836
government in order to maintain the exclusion from gross income95837
for federal income tax purposes of interest on those state95838
obligations pursuant to section 148(f) of the Internal Revenue95839
Code.95840

       Rebate payments shall be approved and vouchered by the Office95841
of Budget and Management.95842

       Section 128.  APPROPRIATIONS RELATED TO CASH TRANSFERS AND95843
REESTABLISHMENT OF ENCUMBRANCES95844

       Any cash transferred by the Director of Budget and Management95845
as provided by section 126.15 of the Revised Code is appropriated.95846
Any amounts necessary to reestablish appropriations or95847
encumbrances as provided in section 126.15 of the Revised Code are95848
appropriated.95849

       Section 129.  FEDERAL CASH MANAGEMENT IMPROVEMENT ACT95850

       Pursuant to the plan for compliance with the Federal Cash95851
Management Improvement Act required by section 131.36 of the95852
Revised Code, the Director of Budget and Management is authorized95853
to cancel and reestablish all or parts of encumbrances in like95854
amounts within the funds identified by the plan. The amounts95855
necessary to reestablish all or parts of encumbrances are95856
appropriated.95857

       Section 130. STATEWIDE INDIRECT COST RECOVERY95858

       Whenever the Director of Budget and Management determines95859
that an appropriation made to a state agency from a fund of the95860
state is insufficient to provide for the recovery of statewide95861
indirect costs pursuant to section 126.12 of the Revised Code, the95862
amount required for such purpose is appropriated from the95863
available receipts of such fund.95864

       Section 131.  GRF TRANSFERS ON BEHALF OF THE STATEWIDE95865
INDIRECT COST ALLOCATION PLAN95866

       The total transfers made from the General Revenue Fund by the95867
Director of Budget and Management pursuant to this section shall95868
not exceed the amounts transferred into the General Revenue Fund95869
pursuant to division (B) of section 126.12 of the Revised Code.95870

       A director of an agency may certify to the Director of Budget95871
and Management the amount of expenses not allowed to be included95872
in the Statewide Indirect Cost Allocation plan pursuant to federal95873
regulations, from any fund included in the Statewide Indirect Cost95874
Allocation plan, prepared as required by section 126.12 of the95875
Revised Code.95876

       Upon determining that no alternative source of funding is95877
available to pay for such expenses, the Director of Budget and95878
Management may transfer from the General Revenue Fund into the95879
fund for which the certification is made, up to the amount of the95880
certification. The director of the agency receiving such funds95881
shall include, as part of the next budget submission prepared95882
pursuant to section 126.02 of the Revised Code, a request for95883
funding for such activities from an alternative source such that95884
further federal disallowances would not be required.95885

       Section 132.  REAPPROPRIATION OF UNEXPENDED ENCUMBERED95886
BALANCES OF OPERATING APPROPRIATIONS95887

       An unexpended balance of an operating appropriation or95888
reappropriation that a state agency lawfully encumbered prior to95889
the close of a fiscal year is reappropriated on the first day of95890
July of the following fiscal year from the fund from which it was95891
originally appropriated or reappropriated for the following period95892
and shall remain available only for the purpose of discharging the95893
encumbrance:95894

       (A) For an encumbrance for personal services, maintenance,95895
equipment, or items for resale, other than an encumbrance for an95896
item of special order manufacture not available on term contract95897
or in the open market or for reclamation of land or oil and gas95898
wells for a period of not more than five months from the end of95899
the fiscal year;95900

       (B) For an encumbrance for an item of special order95901
manufacture not available on term contract or in the open market,95902
for a period of not more than five months from the end of the95903
fiscal year or, with the written approval of the Director of95904
Budget and Management, for a period of not more than twelve months95905
from the end of the fiscal year;95906

       (C) For an encumbrance for reclamation of land or oil and gas 95907
wells, for a period ending when the encumbered appropriation is 95908
expended or for a period of two years, whichever is less;95909

       (D) For an encumbrance for any other expense, for such period 95910
as the director approves, provided such period does not exceed two 95911
years.95912

       Any operating appropriations for which unexpended balances95913
are reappropriated beyond a five-month period from the end of the95914
fiscal year, pursuant to division (B) of this section, shall be95915
reported to the Controlling Board by the Director of Budget and95916
Management by the thirty-first day of December of each year. The95917
report on each such item shall include the item, the cost of the95918
item, and the name of the vendor. This report to the board shall95919
be updated on a quarterly basis for encumbrances remaining open.95920

       Upon the expiration of the reappropriation period set out in95921
divisions (A), (B), (C), or (D) of this section, a reappropriation95922
made pursuant to this section lapses, and the Director of Budget95923
and Management shall cancel the encumbrance of the unexpended95924
reappropriation not later than the end of the weekend following 95925
the expiration of the reappropriation period.95926

       Notwithstanding the preceding paragraph, with the approval of95927
the Director of Budget and Management, an unexpended balance of an95928
encumbrance that was reappropriated on the first day of July95929
pursuant to this section for a period specified in division (C) or95930
(D) of this section and that remains encumbered at the close of95931
the fiscal biennium is hereby reappropriated pursuant to this95932
section on the first day of July of the following fiscal biennium95933
from the fund from which it was originally appropriated or95934
reappropriated for the applicable period specified in division (C)95935
or (D) of this section and shall remain available only for the95936
purpose of discharging the encumbrance.95937

       If the Controlling Board approved a purchase, that approval95938
remains in effect as long as the appropriation used to make that95939
purchase remains encumbered.95940

       Section 133.  FEDERAL GOVERNMENT INTEREST REQUIREMENTS95941

       Notwithstanding any provision of law to the contrary, on or95942
before the first day of September of each fiscal year, the95943
Director of Budget and Management, in order to reduce the payment95944
of adjustments to the federal government, as determined by the95945
plan prepared pursuant to division (A) of section 126.12 of the95946
Revised Code, may designate such funds as the director considers95947
necessary to retain their own interest earnings.95948

       Section 134.01. That Sections 11 and 11.04 of Am. Sub. H.B. 95949
87 of the 125th General Assembly be amended to read as follows:95950

       Sec. 11.  DOT DEPARTMENT OF TRANSPORTATION95951

FUND TITLE FY 2004 FY 2005 95952

Transportation Planning and Research
95953

Highway Operating Fund Group95954

002 771-411 Planning and Research - State $ 14,548,950 $ 15,070,100 95955
002 771-412 Planning and Research - Federal $ 35,193,300 $ 35,644,900 95956
TOTAL HOF Highway Operating 95957
Fund Group $ 49,742,250 $ 50,715,000 95958
TOTAL ALL BUDGET FUND GROUPS - 95959
Transportation Planning 95960
and Research $ 49,742,250 $ 50,715,000 95961

Highway Construction
95962

Highway Operating Fund Group95963

002 772-421 Highway Construction - State $ 485,577,430 $ 442,367,300 95964
002 772-422 Highway Construction - Federal $ 762,964,700 $ 766,001,700 95965
002 772-424 Highway Construction - Other $ 70,000,000 $ 51,000,000 95966
212 770-005 Infrastructure Debt Service - Federal $ 72,064,200 $ 78,696,100 95967
212 772-423 Infrastructure Lease Payments - Federal $ 12,537,800 $ 12,537,300 95968
212 772-426 Highway Infrastructure Bank - Federal $ 2,740,000 $ 2,620,000 95969
212 772-427 Highway Infrastructure Bank - State $ 11,000,000 $ 11,000,000 95970
TOTAL HOF Highway Operating 95971
Fund Group $ 1,416,884,130 $ 1,364,222,400 95972

Highway Capital Improvement Fund Group95973

042 772-723 Highway Construction - Bonds $ 220,000,000 $ 220,000,000 95974
TOTAL 042 Highway Capital 95975
Improvement Fund Group $ 220,000,000 $ 220,000,000 95976
Infrastructure Bank Obligations Fund Group 95977
045 772-428 Highway Infrastructure Bank - Bonds $ 40,000,000 $ 40,000,000 95978
TOTAL 045 Infrastructure Bank 95979
Obligations Fund Group $ 40,000,000 $ 40,000,000 95980
TOTAL ALL BUDGET FUND GROUPS - 95981
Highway Construction $ 1,678,384,130 $ 1,627,222,400 95982

Highway Maintenance
95983

Highway Operating Fund Group95984

002 773-431 Highway Maintenance - State $ 394,605,100 $ 413,082,600 95985
TOTAL HOF Highway Operating 95986
Fund Group $ 394,605,100 $ 413,082,600 95987

TOTAL ALL BUDGET FUND GROUPS - 95988
Highway Maintenance $ 394,605,100 $ 413,082,600 95989

Public Transportation
95990

Highway Operating Fund Group95991

002 775-452 Public Transportation - Federal $ 27,000,000 $ 27,000,000 95992
002 775-454 Public Transportation - Other $ 1,500,000 $ 1,500,000 95993
002 775-459 Elderly and Disabled Special Equipment - Federal $ 4,230,000 $ 4,230,000 95994
TOTAL HOF Highway Operating 95995
Fund Group $ 32,730,000 $ 32,730,000 95996
TOTAL ALL BUDGET FUND GROUPS - 95997
Public Transportation $ 32,730,000 $ 32,730,000 95998

Rail Transportation
95999

Highway Operating Fund Group96000

002 776-462 Grade Crossings - Federal $ 15,000,000 $ 15,000,000 96001
TOTAL HOF Highway Operating 96002
Fund Group $ 15,000,000 $ 15,000,000 96003

State Special Revenue Fund Group96004

4A3 776-665 Railroad Crossing Safety Devices $ 1,000,000 $ 0 96005
TOTAL SSR State Special Revenue Fund Group $ 1,000,000 $ 0 96006
TOTAL ALL BUDGET FUND GROUPS - 96007
Rail Transportation $ 16,000,000 $ 15,000,000 96008
15,000,000 96009

Aviation
96010

Highway Operating Fund Group96011

002 777-472 Airport Improvements - Federal $ 405,000 $ 405,000 96012
002 777-475 Aviation Administration $ 4,064,700 $ 4,139,000 96013
TOTAL HOF Highway Operating 96014
Fund Group $ 4,469,700 $ 4,544,000 96015
TOTAL ALL BUDGET FUND GROUPS - 96016
Aviation $ 4,469,700 $ 4,544,000 96017

Administration
96018

State Special Revenue Fund Group96019

4T5 770-609 Administration Memorial Fund $ 5,000 $ 5,000 96020
TOTAL SSR State Special Revenue 96021
Fund Group $ 5,000 $ 5,000 96022

Highway Operating Fund Group96023

002 779-491 Administration - State $ 116,449,900 $ 121,986,500 96024
TOTAL HOF Highway Operating 96025
Fund Group $ 116,449,900 $ 121,986,500 96026
TOTAL ALL BUDGET FUND GROUPS - 96027
Administration $ 116,454,900 $ 121,991,500 96028

Debt Service
96029

Highway Operating Fund Group96030

002 770-003 Administration - State - Debt Service $ 13,802,600 $ 13,395,900 96031
TOTAL HOF Highway Operating 96032
Fund Group $ 13,802,600 $ 13,395,900 96033
TOTAL ALL BUDGET FUND GROUPS - 96034
Debt Service $ 13,802,600 $ 13,395,900 96035

TOTAL Department of Transportation
96036

TOTAL HOF Highway Operating 96037
Fund Group $ 2,043,683,680 $ 2,015,676,400 96038
TOTAL 042 Highway Capital 96039
Improvement Fund Group $ 220,000,000 $ 220,000,000 96040
TOTAL 045 Infrastructure Bank 96041
Obligations Fund Group $ 40,000,000 $ 40,000,000 96042
TOTAL SSR State Special Revenue 96043
Fund Group $ 1,005,000 $ 5,000 96044
5,000 96045
TOTAL ALL BUDGET FUND GROUPS $ 2,304,688,680 $ 2,275,681,400 96046
2,303,688,680 96047


       Sec. 11.04.  PUBLIC ACCESS ROADS FOR STATE FACILITIES96049

       Of the foregoing appropriation item 772-421, Highway96050
Construction - State, $3,145,500 is to be used each fiscal year96051
during the 2003-2005 biennium by the Department of Transportation96052
for the construction, reconstruction, or maintenance of public96053
access roads, including support features, to and within state96054
facilities owned or operated by the Department of Natural96055
Resources, as requested by the Director of Natural Resources.96056

       Notwithstanding section 5511.06 of the Revised Code, of the96057
foregoing appropriation item 772-421, Highway Construction -96058
State, $2,228,000 in each fiscal year of the 2003-2005 biennium96059
shall be used by the Department of Transportation for the96060
construction, reconstruction, or maintenance of park drives or96061
park roads within the boundaries of metropolitan parks.96062

       Included in the foregoing appropriation item 772-421, Highway96063
Construction - State, the department may perform related road work96064
on behalf of the Ohio Expositions Commission at the state96065
fairgrounds, including reconstruction or maintenance of public96066
access roads, including support features, to and within the96067
facilities as requested by the commission and approved by the96068
Director of Transportation.96069

       LIQUIDATION OF UNFORESEEN LIABILITIES96070

       Any appropriation made to the Department of Transportation,96071
Highway Operating Fund, not otherwise restricted by law, is96072
available to liquidate unforeseen liabilities arising from96073
contractual agreements of prior years when the prior year96074
encumbrance is insufficient.96075

       RUMBLE STRIPS AT RAILROAD CROSSINGS96076

       Of the foregoing appropriation item 776-665, Railroad 96077
Crossing Safety Devices, $1,000,000 in fiscal year 2004 shall be 96078
used by the Department of Transportation to fund competitive 96079
grants to political subdivisions for the cost of putting rumble 96080
strips at active railroad crossings without gates or lights. The 96081
maximum amount of a competitive grant is $50,000 for any single 96082
crossing. Each political subdivision with jurisdiction over a 96083
crossing may apply to the Department for a competitive grant for 96084
the costs of putting rumble strips at crossings. Those political 96085
subdivisions awarded grants shall install the rumble strips by 96086
December 1, 2004. Those political subdivisions awarded such grants 96087
shall not use the moneys as matching funds for any other state 96088
rail safety programs.96089

       If rumble strips are not appropriate for a crossing, the 96090
Department may allow the political subdivision which is awarded 96091
the grant to use the funding for a safety device or technology 96092
more appropriate for the crossing.96093

       The Department shall notify each political subdivision with 96094
jurisdiction over a crossing of the requirements of this section 96095
that funding is available for rumble strips at crossings and for 96096
other rail crossing safety improvements. The Department also shall 96097
notify associations representing political subdivisions of the 96098
availability of the funding.96099

       The Department shall spend no more than five per cent of the 96100
appropriation item on Department administrative expenses.96101

       The Department shall issue a report on or before June 30, 96102
2005, describing the activities carried out by the Department to 96103
comply with the provisions of this section. The report shall 96104
include the number of crossings at which rumble strip installation 96105
was completed, the cost of each installation to date, the number 96106
of active crossings without gates or lights that still do not have 96107
rumble strips, and a geographic breakdown of where the crossings 96108
are that have and have not yet received rumble strips.96109

       All appropriations in Fund 4A3, appropriation item 776-665, 96110
Railroad Crossing Safety Devices, remaining unencumbered on June 96111
30, 2004, are hereby reappropriated for the same purpose in fiscal 96112
year 2005. The Department shall report all such appropriations to 96113
the Controlling Board.96114

       Section 134.02. That existing Sections 11 and 11.04 of Am. 96115
Sub. H.B. 87 of the 125th General Assembly are hereby repealed.96116

       Section 134.03.  That Section 13.05 of Am. Sub. H.B. 87 of 96117
the 125th General Assembly be amended to read as follows:96118

       Sec. 13.05.  EMERGENCY MANAGEMENT96119

Federal Special Revenue Fund Group96120

3N5 763-644 U.S. DOE Agreement $ 266,000 $ 275,000 96121
329 763-645 Individual/Family Grant - Fed $ 303,504 $ 303,504 96122
337 763-609 Federal Disaster Relief $ 5,000,000 $ 3,000,000 96123
23,000,000 96124
339 763-647 Emergency Management Assistance and Training $ 129,622,000 $ 129,622,000 96125
111,622,000 111,622,000 96126
TOTAL FED Federal Special 96127
Revenue Fund Group $ 135,191,504 $ 133,200,504 96128
115,200,504 96129

General Services Fund Group96130

4V3 763-662 EMA Service and Reimbursement $ 696,446 $ 696,446 96131
533 763-601 State Disaster Relief $ 7,500,000 $ 7,500,000 96132
TOTAL GSF General Services 96133
Fund Group $ 8,196,446 $ 8,196,446 96134

State Special Revenue Fund Group96135

657 763-652 Utility Radiological Safety $ 1,200,000 $ 1,260,000 96136
681 763-653 SARA Title III HAZMAT Planning $ 264,510 $ 271,510 96137
TOTAL SSR State Special Revenue 96138
Fund Group $ 1,464,510 $ 1,531,510 96139
TOTAL ALL BUDGET FUND GROUPS - 96140
Emergency Management $ 144,852,460 $ 142,928,460 96141
124,928,460 96142

       SARA TITLE III HAZMAT PLANNING96143

       The SARA Title III HAZMAT Planning Fund (Fund 681) shall96144
receive grant funds from the Emergency Response Commission to96145
implement the Emergency Management Agency's responsibilities under96146
Chapter 3750. of the Revised Code.96147

       STATE DISASTER RELIEF96148

       The foregoing appropriation item 763-601, State Disaster96149
Relief, may accept transfers of cash and appropriations from96150
Controlling Board appropriation items to reimburse eligible local96151
governments and private nonprofit organizations for costs related96152
to disasters that have been declared by local governments or the96153
Governor. The Ohio Emergency Management Agency shall publish and96154
make available an application packet outlining eligible items and96155
application procedures for entities requesting state disaster96156
relief.96157

       Individuals may be eligible for reimbursement of costs96158
related to disasters that have been declared by the Governor and96159
the Small Business Administration. The funding in appropriation96160
item 763-601, State Disaster Relief, shall be used in accordance96161
with the principles of the federal Individual and Family Grant96162
Program, which provides grants to households that have been96163
affected by a disaster to replace basic living items. The Ohio96164
Emergency Management Agency shall publish and make available an96165
application procedure for individuals requesting assistance under96166
the state Individual Assistance Program.96167

       EMA SERVICE AND REIMBURSEMENT FUND96168

       On July 1, 2003, or as soon as possible thereafter, the 96169
Director of Budget and Management shall transfer the cash balances 96170
in the EMA Utility Payment Fund (Fund 4Y0) and the Salvage and 96171
Exchange-EMA Fund (Fund 4Y1) to the EMA Service and Reimbursement 96172
Fund (Fund 4V3), created in section 5502.39 of the Revised Code. 96173
Upon the completion of the transfer, notwithstanding any other 96174
provision of law to the contrary, the EMA Utility Payment Fund 96175
(Fund 4Y0) and the Salvage and Exchange-EMA Fund (Fund 4Y1) are 96176
abolished. The director shall cancel any existing encumbrances 96177
against appropriation items 763-654, EMA Utility Payment, and 96178
763-655, Salvage and Exchange-EMA, and reestablish them against 96179
appropriation item 763-662, EMA Service and Reimbursement. The 96180
amounts of the reestablished encumbrances are hereby appropriated.96181

       Section 134.04. That existing Section 13.05 of Am. Sub. H.B. 96182
87 of the 125th General Assembly is hereby repealed.96183

       Section 134.05. That section 7 of Am. Sub. H.B. 512 of the 96184
124th General Assembly be amended to read as follows:96185

       Sec.  7. Division (A) (4) of section 2915.08 of the Revised 96186
Code shall not be applied until one year after the effective date 96187
of this actJanuary 31, 2004. 96188

       Section 134.06. That existing Section 7 of Am. Sub. H.B. 512 96189
of the 124th General Assembly is hereby repealed.96190

       Section 134.07. That Sections 1.09 and 35.03 of H.B. 675 of 96191
the 124th General Assembly be amended to read as follows:96192

       Sec. 1.09. Sections 1.07 and 1.08 of this actH.B. 675 of the 96193
124th General Assembly take effect JulyJanuary 1, 20032004.96194

       Sec. 35.03. Section 5739.031 of the Revised Code takes effect 96195
July 1, 2003January 1, 2004.96196

       Section 134.08. That existing Sections 1.09 and 35.03 of H.B. 96197
675 of the 124th General Assembly are hereby repealed.96198

       Section 134.09. The amendment by this act of Sections 1.09 96199
and 35.03 of H.B. 675 of the 124th General Assembly provides for 96200
or is essential to the implementation of a tax levy. Therefore, 96201
under Ohio Constitution, Article II, Section 1d, the amendment is 96202
not subject to the referendum and goes into immediate effect when 96203
this act becomes law.96204

       Section 134.10.  That Sections 18.03, 18.04, 19.39, and 19.52 96205
of H.B. 675 of the 124th General Assembly be amended to read as 96206
follows:96207

Appropriations

       Sec. 18.03.  DMH DEPARTMENT OF MENTAL HEALTH96208

CAP-479 Community Assistance Projects $ 3,912,500 3,662,500 96209
CAP-906 Campus Consolidation/Automation $ 12,040,000 96210
CAP-978 Infrastructure Improvements $ 3,460,000 96211
Total Department of Mental Health $ 19,412,500 19,162,500 96212

       COMMUNITY ASSISTANCE PROJECTS96213

       Of the foregoing appropriation item CAP-479, Community96214
Assistance Projects, $500,000 shall be used for the Achievement96215
Centers for Children in Cuyahoga County$250,000 shall be used for 96216
the Berea Children's Home.96217

       Sec. 18.04.  DMR DEPARTMENT OF MENTAL RETARDATION AND96218
DEVELOPMENTAL DISABILITIES96219

Appropriations

STATEWIDE AND CENTRAL OFFICE PROJECTS
96220

CAP-480 Community Assistance Projects $ 9,441,000 9,691,000 96221
CAP-955 Statewide Development Centers $ 3,959,000 96222
Total Statewide and Central Office Projects $ 13,400,000 13,650,000 96223
TOTAL Department of Mental Retardation and 96224
Developmental Disabilities $ 13,400,000 13,650,000 96225
TOTAL MENTAL HEALTH FACILITIES IMPROVEMENT FUND $ 33,079,012 96226

       COMMUNITY ASSISTANCE PROJECTS96227

       The foregoing appropriation item CAP-480, Community96228
Assistance Projects, may be used to provide community assistance96229
funds for the development, purchase, construction, or renovation96230
of facilities for day programs or residential programs that96231
provide services to persons eligible for services from the96232
Department of Mental Retardation and Developmental Disabilities or96233
county boards of mental retardation and developmental96234
disabilities. Any funds provided to nonprofit agencies for the96235
construction or renovation of facilities for persons eligible for96236
services from the Department of Mental Retardation and96237
Developmental Disabilities and county boards of mental retardation96238
and developmental disabilities shall be governed by the prevailing96239
wage provisions in section 176.05 of the Revised Code.96240

       Of the foregoing appropriation item CAP-480, Community96241
Assistance Projects, $150,000 shall be used for the Fostoria Area96242
Community Childhood and Family Center; $250,000 shall be used for96243
the Berea Children's Home; and $1,000,000 shall be used for the96244
Bellefaire Jewish Children's Bureau; and $500,000 shall be used 96245
for the Achievement Centers for Children in Cuyahoga County.96246

Appropriations

       Sec. 19.39.  BTC BELMONT TECHNICALCOMMUNITY COLLEGE96247

CAP-008 Basic Renovations $ 214,638 96248
Total Belmont Technical Community College $ 214,638 96249


       Sec. 19.52.  The requirements of Chapters 123. and 153. of96251
the Revised Code, with respect to the powers and duties of the96252
Director of Administrative Services, and the requirements of96253
section 127.16 of the Revised Code, with respect to the96254
Controlling Board, shall not apply to projects of community96255
college districts, which include Belmont Community College,96256
Cuyahoga Community College, Jefferson Community College, Lakeland 96257
Community College, Lorain County Community College, Rio Grande 96258
Community College, and Sinclair Community College; and technical 96259
college districts which include Belmont Technical College, Central 96260
Ohio Technical College, Hocking Technical College, Lima Technical 96261
College, Marion Technical College, Muskingum Area Technical 96262
College, North Central Technical College, and Stark Technical 96263
College.96264

       Section 134.11.  That existing Sections 18.03, 18.04, 19.39, 96265
and 19.52 of H.B. 675 of the 124th General Assembly are hereby 96266
repealed.96267

       Section 134.12.  That Section 63.37 of Am. Sub. H.B. 94 of 96268
the 124th General Assembly, as most recently amended by Am. Sub. 96269
S.B. 261 of the 124th General Assembly, be amended to read as 96270
follows:96271

       Sec. 63.37. NURSING FACILITY STABILIZATION FUND96272

       (A) As used in this section:96273

       (1) "InpatientFranchise permit fee" means the fee imposed by 96274
sections 3721.50 to 3721.58 of the Revised Code.96275

       (2) "Inpatient days" and "nursing facility" have the same96276
meanings as in section 5111.20 of the Revised Code.96277

       (2)(3) "Medicaid day" means all days during which a resident96278
who is a Medicaid recipient occupies a bed in a nursing facility96279
that is included in the facility's certified capacity under Title96280
XIX of the "Social Security Act," 79 Stat. 286 (1965), 42 U.S.C.A.96281
1396, as amended. Therapeutic or hospital leave days for which96282
payment is made under section 5111.33 of the Revised Code are96283
considered Medicaid days proportionate to the percentage of the96284
nursing facility's per resident per day rate paid for those days.96285

       (B) The Department of Job and Family Services shall use money 96286
in the Nursing Facility Stabilization Fund created under section 96287
3721.56 of the Revised Code to do all of the following:96288

       (1) Make payments to nursing facilities under sections96289
5111.20 to 5111.32Chapter 5111. of the Revised Code;96290

       (2) Beginning with payments made to nursing facilities in96291
August 2001, make payments to each nursing facility for each96292
Medicaid day in fiscal year 2002 in an amount equal to sixty-nine 96293
and seven-tenths per cent of the franchise permit fee the nursing 96294
facility pays under section 3721.53 of the Revised Code for the 96295
fiscal year the department makes the payment divided by the 96296
nursing facility's inpatient days for the calendar year preceding 96297
the calendar year in which that fiscal year begins;96298

       (3) Beginning with payments made to nursing facilities in96299
August 2002, make payments to each nursing facility for each96300
Medicaid day in fiscal years 2003, 2004, and 2005 in an amount96301
equal to seventy-six and seventy-four-hundredths per cent of the96302
franchise permit fee the nursing facility pays under section96303
3721.53 of the Revised Code for the fiscal year the department96304
makes the payment divided by the nursing facility's inpatient days96305
for the calendar year preceding the calendar year in which that96306
fiscal year begins;96307

       (4) Beginning with payments made to nursing facilities in96308
August 2001, make payments to each nursing facility for fiscal 96309
year 2002 in an amount equal to one dollar and fifty cents per96310
Medicaid day for the purpose of enhancing quality of care;96311

       (5) Beginning with payments made to nursing facilities in96312
August 2002, make payments to each nursing facility for fiscal96313
years 2003, 2004, and 2005 in an amount equal to two dollars and96314
twenty-five cents per Medicaid day for the purpose of enhancing96315
quality of care.96316

       (C) Any money remaining in the Nursing Facility Stabilization 96317
Fund after payments specified in division (B) of this section are 96318
made for fiscal years 2002, 2003, 2004, and 2005 shall be retained 96319
in the fund. Any interest or other investment proceeds earned on 96320
money in the fund shall be credited to the fund and used to make 96321
payments in accordance with division (B) of this section.96322

       (D) Notwithstanding division (N) of section 5111.20 of the96323
Revised Code, the Department of Job and Family Services, in making96324
Medicaid payments to a nursing facility under sections 5111.20 to96325
5111.32Chapter 5111. of the Revised Code, shall do both of the96326
following:96327

       (1) Exclude from a nursing facility's other protected costs96328
the cost of sixty-nine and seven-tenths per cent of the franchise96329
permit fee that the nursing facility pays under section 3721.53 of96330
the Revised Code for fiscal year 2002 if the nursing facility96331
receives payments under division (B)(2) of this section for96332
sixty-nine and seven-tenths per cent of those franchise permit96333
fees;96334

       (2) Exclude from a nursing facility's other protected costs96335
the cost of seventy-six and seventy-four-hundredths per cent of96336
the franchise permit fee that the nursing facility pays under96337
section 3721.53 of the Revised Code for fiscal years 2003, 2004,96338
and 2005 if the nursing facility receives payments under division96339
(B)(2) of this section for seventy-six and seventy-four-hundredths96340
per cent of those franchise permit feesA nursing facility filing 96341
its cost report with the Department of Job and Family Services 96342
under section 5111.26 of the Revised Code shall do all of the 96343
following:96344

       (1) For the nursing facility's cost report covering calendar 96345
year 2003, report as a non-reimbursable expense the cost of 96346
seventy-six and seventy-four hundredths per cent of the franchise 96347
permit fee that the nursing facility pays for the second half of 96348
fiscal year 2003 and the first half of fiscal year 2004.96349

       (2) For the nursing facility's cost report covering calendar 96350
year 2004, report as a non-reimbursable expense the cost of 96351
seventy-six and seventy-four hundredths per cent of the franchise 96352
permit fee that the nursing facility pays for the second half of 96353
fiscal year 2004 and the first half of fiscal year 2005.96354

       (3) For the nursing facility's cost report covering calendar 96355
year 2005, report, for the first half of the calendar year, as a 96356
non-reimbursable expense the cost of seventy-six and seventy-four 96357
hundredths per cent of the franchise permit fee that the nursing 96358
facility pays for the second half of fiscal year 2005.96359

       (E) The limitation of Section 230 of Am. Sub. H.B. 94 of the96360
124th General Assembly is not applicable to the amendments made by96361
this act to this section.96362

       Section 134.13. That existing Section 63.37 of Am. Sub. H.B. 96363
94 of the 124th General Assembly, as most recently amended by Am. 96364
Sub. S.B. 261 of the 124th General Assembly, is hereby repealed.96365

       Section 134.14. That Section 3 of Am. Sub. S.B. 143 of the 96366
124th General Assembly be amended to read as follows:96367

       Sec. 3. Sections 5739.021, 5739.023, 5739.026, 5739.03,96368
5739.031, 5739.033, 5739.12, 5741.02, and 5741.12, and division96369
(I)(7) of section 5741.01 of the Revised Code, as amended by this96370
actAm. Sub. S.B. 143 of the 124th General Assembly, and sections 96371
306.73, 5703.65, 5739.04, 5739.06, 5741.05, and 5741.08 of the 96372
Revised Code, as enacted by this actAm. Sub. S.B. 143 of the 96373
124th General Assembly, shall take effect July 1, 2003. Sections 96374
5739.021, 5739.023, 5739.026, 5739.031, and 5739.033 of the 96375
Revised Code, as amended by Am. Sub. S.B. 143 of the 124th General 96376
Assembly, shall take effect January 1, 2004.96377

       Section 134.15. That existing Section 3 of Am. Sub. S.B. 143 96378
of the 124th General Assembly is hereby repealed.96379

       Section 134.16. The amendment by this act of Section 3 of Am. 96380
Sub. S.B. 143 of the 124th General Assembly provides for or is 96381
essential to the implementation of a tax levy. Therefore, under 96382
Ohio Constitution, Article II, Section 1d, the amendment is not 96383
subject to the referendum and goes into immediate effect when this 96384
act becomes law.96385

       Section 135. The amendments to sections 5739.021, 5739.023, 96386
and 5739.026 of the Revised Code by Am. Sub. S.B. 143 of the 124th 96387
General Assembly apply to levies proposed by a resolution adopted 96388
on or after January 1, 2004, and do not apply to levies proposed 96389
by a resolution adopted before that date.96390

       Section 136. Sections 131G, 131H, 131I, and 131J of this act 96391
intend to delay the scheduled July 1, 2003, effective date of 96392
sections 5739.021, 5739.023, 5739.026, 5739.031, and 5739.033 of 96393
the Revised Code until January 1, 2004.96394

       Section 137.01.  That Sections 10 and 14 of Am. Sub. S.B. 242 96395
of the 124th General Assembly be amended to read as follows:96396

       Sec. 10. NET SCHOOLNET COMMISSION96397

Tobacco Master Settlement Agreement Fund Group96398

S87 228-602 Education Technology Trust Fund $ 16,500,000 $ 16,500,000 96399
TOTAL TSF Tobacco Master 96400
Settlement Agreement Fund 96401
Group $ 16,500,000 $ 16,500,000 96402
TOTAL ALL BUDGET FUND GROUPS $ 16,500,000 $ 16,500,000 96403

       EDUCATION TECHNOLOGY TRUST FUND96404

       The foregoing appropriation item 228-602, Education96405
Technology Trust Fund, shall be used by the SchoolNet Commission96406
for grants to school districts and other entities and for the96407
costs of administering these grants. Of the total amount for96408
grants, $1,917,293 in fiscal year 2003 shall be used for the Ohio96409
ONEnet project, $909,247 in fiscal year 2003 shall be used for the96410
INFOhio Network, $298,750 in fiscal year 2003 shall be used for96411
the JASON Project, $1,000,000 in fiscal year 2003 shall be used96412
for RISE Learning Solutions, and $200,000 in fiscal year 200396413
shall be used for the Stark County School Teacher Technical96414
Training Center. The remaining amount for grants shall be made to96415
school districts.96416

       The JASON Project shall provide funding for statewide access96417
and a seventy-five per cent subsidy for statewide licensing of96418
JASON content for 90,000 middle school students statewide, and96419
professional development for teachers participating in the JASON96420
Project.96421

       It is the intent of the General Assembly that the SchoolNet96422
Commission, in conjunction with RISE Learning Solutions, shall96423
develop a program that may be conducted in conjunction with96424
state-supported technology programs, including, but not limited96425
to, SchoolNet Commission appropriation item 228-406, Technical and96426
Instructional Professional Development, and appropriation item96427
228-539, Education Technology, and that shall be designed to96428
educate preschool staff members and providers on developmentally96429
appropriate teaching methods, behavior guidance, and literacy and96430
to involve parents more closely in the education and development96431
of their children. The program shall include an interactive96432
instructional component, delivered using satellite television,96433
Internet, and with facilitation, and shall be distributed to96434
program participants using the established satellite receiver96435
dishes on public schools, Head Start centers, and childcare96436
centers at up to 100 locations throughout the state. The96437
interactive instructional component of the program shall be96438
developed to enhance the professional development, training, and96439
performance of preschool staff members, the education and96440
care-giving skills of the parents of preschool children, and the96441
preparation of preschool-age children for learning.96442

       The program shall utilize the grant to continue a96443
direct-service component that shall include at least three96444
teleconferences that may be distributed by Ohio-based public96445
television utilizing satellite or microwave technology in a manner96446
designed to promote interactive communications between the program96447
participants located at subsites within the Ohio Educational96448
Broadcast Network or as determined by the commission. Program96449
participants shall communicate with trainers and participants at96450
other program sites through telecommunications and facsimile and96451
on-line computer technology. As much as possible, the96452
direct-service component shall utilize systems currently available96453
in state-supported technology programs and conduct the component96454
in a manner that promotes innovative, interactive communications96455
between program participants at all the sites. Parent support96456
groups and teacher training sessions shall supplement the96457
teleconferences and shall occur on a local basis.96458

       RISE Learning Solutions may subcontract components of the96459
program.96460

       Individuals eligible to participate in the program include96461
those children, their parents, custodians, or guardians, and96462
preschool staff members who are eligible to participate in a96463
preschool program as defined in division (A) of section 3301.5296464
and section 5104.02 of the Revised Code.96465

       The components of the program, including two that shall be96466
developed in support of teacher proficiency in teaching reading to96467
prekindergarten and kindergarten to third grade students, at the96468
direction of the Department of Education, may include: two96469
three-hour broadcast seminars from a central up-link station,96470
distributed in up to 88 counties; high production-value video96471
sought in various locations; and direct interactive adult learning96472
activities. These two components shall include development of96473
workbooks and involve at least three small, group-facilitated96474
follow-up discussion workshops and development and distribution of96475
at least two home videos. The program shall also provide Internet96476
access, interactive lines, bulletin board, and CD-ROM.96477

       Upon completion of each of the school years for which the96478
grant was made, RISE Learning Solutions shall issue a report to96479
the commission and members of the General Assembly explaining the96480
goals and objectives determined, the activities implemented, the96481
progress made toward the achievement of the goals and objectives,96482
and the outcome of the program.96483

       The commission shall use the remaining appropriation96484
authority in fiscal year 2003 and appropriation authority granted96485
in fiscal year 2004 to establish and equip, through the SchoolNet96486
Plus Program, at least one interactive computer station for each96487
five children enrolled in the sixth grade as determined by a96488
three-year average adjusted per pupil property valuation pursuant96489
to division (A) of section 3317.03 of the Revised Code. Districts96490
in the first two quartiles of wealth shall receive up to $380 per 96491
pupil for students in grade six to purchase classroom computers 96492
for the sixth grade. Districts in the third and fourth quartile 96493
shall receive approximatelyup to $188 per sixth grade pupil. If a 96494
district has met the state's goal of one computer to every five 96495
students, the district may use funds provided through the 96496
SchoolNet Plus Program to purchase computers for grade seven or to 96497
fulfill educational technology needs on other grades as specified 96498
in the district's technology plan. When there is at least one 96499
computer for each five children enrolled in the sixth grade, 96500
SchoolNet shall use any remaining funds appropriated to establish 96501
and equip at least one interactive computer workstation for each 96502
five children enrolled in the seventh grade as determined by the96503
previously defined formula.96504

       Sec. 14.  All items set forth in this section are hereby96505
appropriated out of any moneys in the state treasury to the credit96506
of the Education Facilities Trust Fund (Fund N87) that are not96507
otherwise appropriated.96508

Appropriations

SFC SCHOOL FACILITIES COMMISSION
96509

CAP-780 Classroom Facilities Assistance Program $ 148,400,000 25,600,000 96510
Total School Facilities Commission $ 148,400,000 25,600,000 96511
TOTAL Education Facilities Trust Fund $ 148,400,000 25,600,000 96512


       Section 137.02.  That existing Sections 10 and 14 of Am. Sub. 96514
S.B. 242 of the 124th General Assembly is hereby repealed.96515

       Section 137.03. That Section 24.43 of Am. Sub. H.B. 524 of 96516
the 124th General Assembly be amended to read as follows:96517

Reappropriations

       Sec. 24.43. BTC BELMONT TECHNICALCOMMUNITY COLLEGE96518

CAP-008 Basic Renovations $ 653,372 96519
CAP-014 Main Building Renovation - Phase 3 $ 49,137 96520
CAP-019 ADA Modifications $ 45,915 96521
Total Belmont Technical Community College $ 748,424 96522


       Section 137.04. That existing Section 24.43 of Am. Sub. H.B. 96524
524 of the 124th General Assembly is hereby repealed.96525

       Section 137.05.  That Section 3 of Am. Sub. H.B. 215 of the96526
122nd General Assembly, as most recently amended by Am. Sub. H.B.96527
94 of the 124th General Assembly, be amended to read as follows:96528

       Sec. 3.  Section 1751.68 of the Revised Code is hereby96529
repealed, effective October 16, 20032005.96530

       Section 137.06.  That existing Section 3 of Am. Sub. H.B. 215 96531
of the 122nd General Assembly, as most recently amended by Am. 96532
Sub. H.B. 94 of the 124th General Assembly, is hereby repealed.96533

       Section 137.07. * That Section 3 of Am. Sub. H.B. 621 of the96534
122nd General Assembly, as most recently amended by Am. Sub. H.B.96535
94 of the 124th General Assembly, be amended to read as follows:96536

       Sec. 3.  That sections 166.031, 901.80, 901.81, 901.82, and96537
901.83 of the Revised Code are hereby repealed, effective July 1,96538
2003October 15, 2005.96539

       Section 137.08. * That existing Section 3 of Am. Sub. H.B. 96540
621 of the 122nd General Assembly, as most recently amended by Am. 96541
Sub. H.B. 94 of the 124th General Assembly, is hereby repealed.96542

       Section 137.09.  That Section 153 of Am. Sub. H.B. 117 of the96543
121st General Assembly, as most recently amended by Am. Sub. H.B.96544
94 of the 124th General Assembly, be amended to read as follows:96545

       Sec. 153.  (A) Sections 5112.01, 5112.03, 5112.04, 5112.05,96546
5112.06, 5112.07, 5112.08, 5112.09, 5112.10, 5112.11, 5112.18, 96547
5112.19, 5112.21, and 5112.99 of the Revised Code are hereby96548
repealed, effective October 16, 20032005.96549

       (B) Any money remaining in the Legislative Budget Services96550
Fund on October 16, 20032005, the date that section 5112.19 of 96551
the Revised Code is repealed by division (A) of this section, 96552
shall be used solely for the purposes stated in then former 96553
section 5112.19 of the Revised Code. When all money in the96554
Legislative Budget Services Fund has been spent after then former96555
section 5112.19 of the Revised Code is repealed under division (A)96556
of this section, the fund shall cease to exist.96557

       Section 137.10.  That existing Section 153 of Am. Sub. H.B. 96558
117 of the 121st General Assembly, as most recently amended by Am.96559
Sub. H.B. 94 of the 124th General Assembly, is hereby repealed.96560

       Section 137.11. * That Section 27 of Sub. H.B. 670 of the 96561
121st General Assembly, as amended by Sub. H.B. 548 of the 123rd 96562
General Assembly, be amended to read as follows:96563

       Sec. 27.  The following agencies shall be retained pursuant96564
to division (D) of section 101.83 of the Revised Code and shall96565
expire on December 31, 2004:96566

REVISED CODE OR 96567
UNCODIFEID UNCODIFIED 96568
AGENCY NAME SECTION 96569

Advisory Council on Amusement Ride Safety 1711.51 96570
Advisory Board of Directors for Prison Labor 5145.162 96571
Appalachian Public Facilities Council Sec. 3, H.B. 280, 121st GA 96572
Apprenticeship Council 4111.26 96573
Armory Board of Control 5911.09 96574
Banking Commission 1123.01 96575
Board of Voting Machine Examiners 3506.05(B) 96576
Board of Governors, Medical Malpractice Joint Underwriting Association 3929.77 96577
Board of Tax Appeals 5703.02 96578
Brain Injury Advisory Committee Committee 3304.231 3304.231 96579
Capitol Square Review and Advisory Board 105.41 96580
Child Support Guideline Advisory Council 3113.215(G) 96581
Children's Trust Fund Board 3109.15 96582
Citizen's Advisory Council (Dept. of Mental Retardation and Developmental Disabilities) 5123.092 96583
Citizen's Advisory Council (Dept. of Mental Health) 5119.81 96584
Civilian Conservation Advisory Committee 1553.10 96585
Coastal Resources Advisory Council 1506.12 96586
Commission on African-American Males 4112.12 96587
Commission on Hispanic-Latino Affairs 121.31 96588
Commodity Advisory Commission 926.32 96589
Community Mental Retardation and Developmental Disabilities Trust Fund Advisory Council 5123.353 96590
Continuing Education Committee (for sheriffs) 109.80 96591
Controlling Board 127.12 96592
Council on Alcohol and Drug Addiction Services 3793.09 96593
Council on Unreclaimed Strip Mine Lands 1513.29 96594
County Sheriffs' Standard Car Marking and Uniform Commission 311.25 96595
Criminal Sentencing Advisory Committee 181.22 96596
Day-Care Advisory Council 5104.08 96597
Development Financing Advisory Council 122.40 96598
Electrical Safety Inspector Advisory Committee 3783.08 96599
Engineering Experiment Station Advisory Committee 3335.27 96600
Environmental Review Appeals Commission 3745.02 96601
Environmental Education Council 3745.21 96602
Forestry Advisory Council 1503.40 96603
Governor's Community Service Council 121.40 96604
Governor's Council on People with Disabilities 3303.41 96605
Hazardous Waste Facility Board 3734.05 96606
Health Care Quality Advisory Council 4121.442 96607
Health Data Advisory Committee 3729.61 96608
Hemophilia Advisory Council 3701.145 96609
Historic Site Preservation Advisory Board 149.301 96610
Hospital Advisory Committee and the Medical Advisory Committee of the Joint Underwriting Association Board of Governors 3929.76 96611
Industrial Commission 4121.02 96612
Industrial Commission Nominating Council 4121.04 96613
Industrial Technology and Enterprise Advisory Council 122.29 96614
Insurance Agent Education Advisory Council 3905.483 96615
Interagency Recycling Market Development Workgroup 1502.10 96616
Joint Select Committee on Volume Cap 133.021 96617
Labor-Management Government Advisory Council 4121.70 96618
Legal Rights Service Commission 5123.60 96619
Martha Kinney Cooper Ohioana Library Association Board of Trustees 3375.62 96620
Maternal and Child Health Council 3701.025 96621
Medicaid Long-Term Care Reimbursement Study Council 5111.34 96622
Medically Handicapped Children's Medical Advisory Council 3701.025 96623
Milk Sanitation Board 917.03 96624
Mine Subsidence Insurance Governing Board 3929.51 96625
Multi-Agency Radio Communication Systems Steering Committee Sec. 21, H.B. 790, 120th GA 96626
Multidisciplinary Council 3746.03 96627
National Museum of Afro-American History and Culture Planning Committee 149.303 96628
Nursing Facility Reimbursement Study Council 5111.34 96629
Ohio Advisory Council for the Aging 173.03 96630
Ohio Arts Council 3379.02 96631
Ohio Arts and Sports Facilities Commission 3383.02 96632
Ohio Benefit Systems Data Linkage Committee 125.24 96633
Ohio Bicentennial Commission 149.32 96634
Ohio Cemetery Dispute Resolution Commission 4767.05 96635
Ohio Commission on Dispute Resolution and Conflict Management 179.02 96636
Ohio Educational Telecommunications Network Commission 3353.02 96637
Ohio Ethics Commission 102.05 96638
Ohio Expositions Commission 991.02 96639
Ohio Family and Children First Cabinet Council 121.37 96640
Ohio Geology Advisory Council 1505.11 96641
Ohio Grape Industries Committee 924.51 96642
Ohio Historical Society Board of Trustees 149.30 96643
Ohio Lake Erie Commission 1506.21 96644
Ohio Medical Quality Foundation 3701.89 96645
Ohio Natural Areas Council 1517.03 96646
Ohio Parks and Recreation Council 1541.40 96647
Ohio Peace Officer Training Commission 109.71 96648
Ohio Public Defender Commission 120.01 96649
Ohio Quarter Horse Development Commission 3769.086 96650
Ohio Scenic Rivers Advisory Councils 1517.18 96651
Ohio Small Government Capital Improvements Commission 164.02 96652
Ohio Soil and Water Conservation Commission 1515.02 96653
Ohio Standardbred Development Commission 3769.085 96654
Ohio Steel Industry Advisory Council 122.97 96655
Ohio Teacher Education and Licensure Advisory Council 3319.28(D) 96656
Ohio Thoroughbred Racing Advisory Committee 3769.084 96657
Ohio Tuition Trust Authority 3334.03 96658
Ohio University College of Osteopathic Medicine Advisory Committee 3337.10 96659
Ohio Vendors Representative Committee 3304.34 96660
Ohio Veterans' Home Board of Trustees 5907.02 96661
Ohio War Orphans Scholarship Board 5910.02 96662
Ohio Water Advisory Council 1521.031 96663
Oil and Gas Commission 1509.35 96664
Organized Crime Investigations Commission 177.01 96665
Parole Board 5149.10 96666
Pharmacy and Therapeutics Committee of the Dept. of Human Services 5111.81 96667
Physical Fitness and Sports Advisory Board 3701.77 96668
Power Siting Board 4906.02 96669
Private Water Systems Advisory Council 3701.346 96670
Public Employment Risk Reduction Advisory Commission 4167.02 96671
Public Utilities Commission Nominating Council 4901.021 96672
Reclamation Commission 1513.05 96673
Recreation and Resources Commission 1501.04 96674
Recycling and Litter Prevention Advisory Council 1502.04 96675
Rehabilitation Services Commission Consumer Advisory Committee 3304.24 96676
Select Commission on Pyrotechnics Sec. 3, H.B. 508, 119th GA 96677
Services Committee of the Workers' Compensation System 4121.06 96678
Set Aside Review Board 123.151(C)(4) 96679
Small Business Stationary Source Technical and Environmental Compliance Assistance Council 3704.19 96680
Solid Waste Management Advisory Council 3734.51 96681
State Board of Deposit 135.02 96682
State Board of Library Examiners 3375.47 96683
State Council of Uniform State Laws 105.21 96684
State Committee for the Purchase of Products and Services of Persons with Severe Disabilities 4115.32 96685
State Criminal Sentencing Commission 181.21 96686
State Fire Commission 3737.81 96687
State and Local Government Commission of Ohio 105.45 96688
State Victims Assistance Advisory Committee 109.91 96689
Student Tuition Recovery Authority 3332.081 96690
Subcommittee of the State Board of Emergency Medical Services for Firefighter and Fire Safety Inspector Training 4765.55 96691
Submerged Lands Advisory Council 1506.37 96692
Tax Credit Authority 122.17 96693
Technical Advisory Committee to assist the Director of the Ohio Coal Development Office 1551.35 96694
Technical Advisory Council on Oil and Gas 1509.38 96695
Technology Advisory Committee (for Education) Sec. 45.01, H.B. 117, 121st GA 96696
Unemployment Compensation Review Commission 4141.06 96697
Unemployment Compensation Advisory Council 4141.08 96698
Utility Radiological Safety Board 4937.02 96699
Veterans Advisory Committee 5902.02(K) 96700
Water and Sewer Commission 1525.11(C) 96701
Waterways Safety Council 1547.73 96702
Welfare Oversight Council 5101.93 96703
Wildlife Council 1531.03 96704
Workers' Compensation System Oversight Committee Sec. 10, H.B. 222, 118th GA 96705
Wright-Dunbar State Heritage Commission 149.321 96706

       Section 137.12. * That existing Section 27 of Sub. H.B. 670 96707
of the 121st General Assembly, as amended by Sub. H.B. 548 of the 96708
123rd General Assembly, is hereby repealed.96709

       Section 137.13. That Section 5 of Am. Sub. S.B. 50 of the96710
121st General Assembly, as most recently amended by Am. Sub. H.B.96711
94 of the 124th General Assembly, be amended to read as follows:96712

       Sec. 5.  Sections 3 and 4 of Am. Sub. S.B. 50 of the 121st96713
General Assembly shall take effect July 1, 20032005.96714

       Section 137.14.  That existing Section 5 of Am. Sub. S.B. 50 96715
of the 121st General Assembly, as most recently amended by Am. 96716
Sub. H.B. 94 of the 124th General Assembly, is hereby repealed.96717

       Section 137.15. That Section 2 of Am. Sub. H.B. 71 of the 96718
120th General Assembly be amended to read as follows:96719

       Sec. 2. Sections 1742.42, 3901.49, and 3901.50 of the Revised 96720
Code are hereby repealed, effective ten years after the effective 96721
date of this actFebruary 9, 2014. The repeal of these sections 96722
shall apply only to contracts and policies that are delivered, 96723
issued for delivery, or renewed in this state on or after that 96724
date, and to plans of self-insurance that are established or 96725
modified in this state on or after that date.96726

       Section 137.16. That existing Section 2 of Am. Sub. H.B. 71 96727
of the 120th General Assembly is hereby repealed.96728

       Section 137.17. That Section 6 of Am. Sub. S.B. 67 of the 96729
122nd General Assembly be amended to read as follows:96730

       Sec. 6. Section 1751.64 of the Revised Code is hereby96731
repealed, effective February 9, 20042014. The repeal of that96732
section shall apply only to contracts that are delivered, issued96733
for delivery, or renewed in this state on or after that date.96734

       Section 137.18. That existing Section 6 of Am. Sub. S.B. 67 96735
of the 122nd General Assembly is hereby repealed.96736

       Section 137.19. Section 129 of Am. Sub. H.B. 283 of the 123rd 96737
General Assembly as amended by Am. Sub. H.B. 94 of the 124th 96738
General Assembly is hereby repealed.96739

       Section 137.20. Section 3 of Sub. H.B. 403 of the 123rd 96740
General Assembly is hereby repealed.96741

       Section 137.21. Section 16 of Am. Sub. H.B. 87 of the 125th 96742
General Assembly is hereby repealed.96743

       Section 137.22. * (A) Section 3 of Am. Sub. S.B. 272 of the 96744
123rd General Assembly, as amended by Am. Sub. H.B. 768 of the 96745
123rd General Assembly, is hereby repealed.96746

       (B) Notwithstanding the repeal of Section 3 of Am. Sub. S.B. 96747
272 of the 123rd General Assembly, as subsequently amended, 96748
prescribed in division (A) of this section, a school district that 96749
is participating in the School Building Assistance Expedited Local 96750
Partnership Program under section 3318.36 of the Revised Code may 96751
apply as local resources under that program those expenditures 96752
described in Section 3 of Am. Sub. S.B. 272 of the 123rd General 96753
Assembly, as subsequently amended, if, and only if, all the 96754
following conditions are satisfied:96755

        (1) The school district's project was conditionally approved 96756
by the Ohio School Facilities Commission and subsequently approved 96757
by the Controlling Board under division (D)(1) of section 3318.36 96758
of the Revised Code not later than one hundred eighty days after 96759
the effective date of this section.96760

        (2) The school district board of education and the Commission 96761
entered into an agreement under section 3318.36 of the Revised 96762
Code, not later than one hundred eighty days after the effective 96763
date of this section, for the district to acquire the discrete 96764
part of the project under the Expedited Local Partnership Program, 96765
as identified by the school district board under division (D)(1) 96766
of section 3318.36 of the Revised Code.96767

       Section 137.23. That Section 11 of Am. Sub. S.B. 50 of the 96768
121st General Assembly, as amended by Am. Sub. H.B. 405 of the 96769
124th General Assembly, is hereby repealed.96770

       Section 137.24. That Section 3 of Am. Sub. S.B. 238 of the 96771
123rd General Assembly is hereby repealed. The intent of this 96772
repeal is to remove the limitation upon the continued existence of 96773
sections 4779.01 to 4779.13, 4779.15 to 4779.33, and 4779.99 of 96774
the Revised Code. This intent is not affected by the rule of 96775
statutory interpretation contained in section 1.57 of the Revised 96776
Code.96777

       Section 137.25.  That Section 72 of Am. Sub. H.B. 850 of the 96778
122nd General Assembly is hereby repealed.96779

       Section 138. TRANSFERS FROM THE TOBACCO MASTER SETTLEMENT 96780
AGREEMENT FUND TO THE GENERAL REVENUE FUND96781

       Notwithstanding section 183.02 of the Revised Code, on or 96782
before June 30, 2004, the Director of Budget and Management may 96783
transfer up to $242,800,000 to the General Revenue Fund from the 96784
Tobacco Master Settlement Agreement Fund (Fund 087), as provided 96785
in divisions (A) and (B) of this section:96786

       (A) Up to $120,000,000 of the revenue that otherwise would be 96787
transferred from the Tobacco Master Settlement Agreement Fund to 96788
the Tobacco Use Prevention and Cessation Trust Fund (Fund H87) 96789
shall instead be transferred to the General Revenue Fund. Of the 96790
tobacco revenue that is credited to the Tobacco Master Settlement 96791
Agreement Fund in fiscal year 2004, the share that is determined 96792
pursuant to section 183.02 of the Revised Code to be the amount to 96793
be transferred by the Director of Budget and Management from the 96794
Tobacco Master Settlement Agreement Fund to the Tobacco Use 96795
Prevention and Cessation Trust Fund shall be reduced by the amount 96796
that is transferred from the Tobacco Master Settlement Agreement 96797
Fund to the General Revenue Fund in accordance with this division.96798

       (B) Up to $122,800,000 of the revenue that otherwise would be 96799
transferred form the Tobacco Master Settlement Agreement Fund to 96800
the Education Facilities Trust Fund (Fund N87) shall instead be 96801
transferred to the General Revenue Fund. Of the tobacco revenue 96802
that is credited to the Tobacco Master Settlement Agreement Fund 96803
in fiscal year 2004, the share that is determined pursuant to 96804
section 183.02 of the Revised Code to be the amount to be 96805
transferred by the Director of Budget and Management from the 96806
Tobacco Master Settlement Agreement Fund to the Education 96807
Facilities Trust Fund shall be reduced by the amount that is 96808
transferred from the Tobacco Master Settlement Agreement Fund to 96809
the General Revenue Fund in accordance with this division.96810

       Section 139. TEMPORARY ADJUSTMENT TO LOCAL GOVERNMENT 96811
DISTRIBUTIONS96812

        (A) On or before the seventh day of each month of the period 96813
July 2003 through June 2005, the Tax Commissioner shall determine 96814
and certify to the Director of Budget and Management the amount to 96815
be credited, by tax, during that month to the Local Government 96816
Fund, to the Library and Local Government Support Fund, and to the 96817
Local Government Revenue Assistance Fund, respectively, pursuant 96818
to divisions (B), (C), and (D) of this section.96819

        (B) Notwithstanding section 5727.84 of the Revised Code to 96820
the contrary, for the period July 1, 2003, through June 30, 2005, 96821
no amounts shall be credited to the Local Government Fund or to 96822
the Local Government Revenue Assistance Fund from the kilowatt 96823
hour tax, and such amounts that would have otherwise been required 96824
to be credited to such funds shall instead be credited to the 96825
General Revenue Fund. Notwithstanding sections 5727.45, 5733.12, 96826
5739.21, 5741.03, and 5747.03 of the Revised Code to the contrary, 96827
for each month in the period July 1, 2003, through June 30, 2005, 96828
from the public utility excise, corporate franchise, sales, use, 96829
and personal income taxes collected;96830

        (1) An amount shall first be credited to the Local Government 96831
Fund that equals the amount credited to that fund from that tax 96832
according to the schedule in division (C) of this section.96833

        (2) An amount shall next be credited to the Local Government 96834
Revenue Assistance Fund that equals the amount credited to that 96835
fund from that tax according to the schedule in division (C) of 96836
this section.96837

        (3) An amount shall next be credited to the Library and Local 96838
Government Support Fund that equals the amount credited to that 96839
fund from that tax according to the schedule in division (C) of 96840
this section. For purposes of determining the amount to be 96841
credited to the Library and Local Government Support Fund in each 96842
month of fiscal year 2004 pursuant to division (C) of this 96843
section, the amount credited in fiscal year 2003 shall be before 96844
the transfer made from the Library and Local Government Support 96845
Fund to the OPLIN Technology Fund under Section 70 of Am. Sub. 96846
H.B. 94 of the 124th General Assembly. For purposes of determining 96847
the amount to be credited to the Library and Local Government 96848
Support Fund in each month of fiscal year 2005 pursuant to 96849
division (C) of this section, the amount credited in fiscal year 96850
2004 shall be before any transfer required to be made from the 96851
Library and Local Government Support Fund to the OPLIN Technology 96852
Fund.96853

        (C) The amounts shall be credited from each tax to each 96854
respective fund as follows:96855

        (1) In July 2003, one hundred per cent of the amount credited 96856
in July 2002; in July 2004, one hundred per cent of the amount 96857
credited in July 2003;96858

        (2) In August 2003, one hundred per cent of the amount 96859
credited in August 2002; in August 2004, one hundred per cent of 96860
the amount credited in August 2003;96861

        (3) In September 2003, one hundred per cent of the amount 96862
credited in September 2002; in September 2004, one hundred per 96863
cent of the amount credited in September 2003;96864

        (4) In October 2003, one hundred per cent of the amount 96865
credited in October 2002; in October 2004, one hundred per cent of 96866
the amount credited in October 2003;96867

        (5) In November 2003, one hundred per cent of the amount 96868
credited in November 2002; in November 2004, one hundred per cent 96869
of the amount credited in November 2003;96870

        (6) In December 2003, one hundred per cent of the amount 96871
credited in December 2002; in December 2004, one hundred per cent 96872
of the amount credited in December 2003;96873

        (7) In January 2004, one hundred per cent of the amount 96874
credited in January 2003; in January 2005, one hundred per cent of 96875
the amount credited in January 2004;96876

        (8) In February 2004, one hundred per cent of the amount 96877
credited in February 2003; in February 2005, one hundred per cent 96878
of the amount credited in February 2004;96879

        (9) In March 2004, one hundred per cent of the amount 96880
credited in March 2003; in March 2005, one hundred per cent of the 96881
amount credited in March 2004;96882

        (10) In April 2004, one hundred per cent of the amount 96883
credited in April 2003; in April 2005, one hundred per cent of the 96884
amount credited in April 2004;96885

        (11) In May 2004, one hundred per cent of the amount in 96886
division (C)(11)(a) of this section; in May 2005, one hundred per 96887
cent of the amount in division (C)(11)(b) of this section;96888

        (a) The amount credited in May 2003, less any amount reduced 96889
pursuant to division (D)(4) of Section 140 of Am. Sub. H.B. 94 of 96890
the 124th General Assembly, as amended by Am. Sub. H.B. 405 of the 96891
124th General Assembly and as amended by Am. Sub. H.B. 390 of the 96892
124th General Assembly;96893

        (b) The amount credited in May 2004.96894

        (12) In June 2004, one hundred per cent of the amount in 96895
division (C)(12)(a) of this section, less any reduction required 96896
under division (D)(1) of this section; in June 2005, one hundred 96897
per cent of the amount in division (C)(12)(b) of this section, 96898
less any reduction required under division (D)(2) of this section;96899

        (a) The amount credited in June 2003 before any reduction 96900
made pursuant to division (D)(4) of Section 140 of Am. Sub. H.B. 96901
94 of the 124th General Assembly, as amended by Am. Sub. H.B. 405 96902
of the 124th General Assembly and as amended by Am. Sub. H.B. 390 96903
of the 124th General Assembly;96904

        (b) The amount credited in June 2004.96905

        (D) The Tax Commissioner shall do each of the following:96906

        (1) By June 7, 2004, the commissioner shall subtract the 96907
amount calculated in division (D)(1)(b) of this section from the 96908
amount calculated in division (D)(1)(a) of this section. If the 96909
amount in division (D)(1)(a) of this section is greater than the 96910
amount in division (D)(1)(b) of this section, then such difference 96911
shall be subtracted from the total amount of income tax revenue 96912
credited to the Local Government Fund, the Local Government 96913
Revenue Assistance Fund, and the Library and Local Government 96914
Support Fund in June 2004. An amount shall be subtracted from 96915
income tax revenue credited to the Local Government Fund, the 96916
Local Government Revenue Assistance Fund, or the Library and Local 96917
Government Support Fund only if, and according to the proportion 96918
by which, such fund contributed to the result that the amount in 96919
division (D)(1)(a) of this section exceeds the amount in division 96920
(D)(1)(b) of this section.96921

        (a) The sum of all money credited to the Local Government 96922
Fund, the Local Government Revenue Assistance Fund, and the 96923
Library and Local Government Support Fund from July 2003 through 96924
May 2004;96925

        (b) The sum of all money that would have been credited to the 96926
Local Government Fund, the Local Government Revenue Assistance 96927
Fund, and the Library and Local Government Support Fund from July 96928
2003 through May 2004, if sections 5727.45, 5727.84, 5733.12, 96929
5739.21, 5741.03, and 5747.03 of the Revised Code were in effect 96930
during this period.96931

        (2) By June 7, 2005, the commissioner shall subtract the 96932
amount calculated in division (D)(2)(b) of this section from the 96933
amount calculated in division (D)(2)(a) of this section. If the 96934
amount in division (D)(2)(a) of this section is greater than the 96935
amount in division (D)(2)(b) of this section, then such difference 96936
shall be subtracted from the total amount of income tax revenue 96937
credited to the Local Government Fund, the Local Government 96938
Revenue Assistance Fund, and the Library and Local Government 96939
Support Fund in June 2005. An amount shall be subtracted from 96940
income tax revenue credited to the Local Government Fund, the 96941
Local Government Revenue Assistance Fund, or the Library and Local 96942
Government Support Fund only if, and according to the proportion 96943
by which, such fund contributed to the result that the amount in 96944
division (D)(2)(a) of this section exceeds the amount in division 96945
(D)(2)(b) of this section.96946

        (a) The sum of all money credited to the Local Government 96947
Fund, the Local Government Revenue Assistance Fund, and the 96948
Library and Local Government Support Fund from June 2004 through 96949
May 2005;96950

        (b) The sum of all money that would have been credited to the 96951
Local Government Fund, the Local Government Revenue Assistance 96952
Fund, and the Library and Local Government Support Fund from June 96953
2004 through May 2005, if sections 5727.45, 5727.84, 5733.12, 96954
5739.21, 5741.03, and 5747.03 of the Revised Code were in effect 96955
during this period.96956

        (3) On the advice of the Tax Commissioner, during any month 96957
other than June 2004 or June 2005 of the period July 1, 2003, 96958
through July 31, 2005, the Director of Budget and Management may 96959
reduce the amounts that are to be otherwise credited to the Local 96960
Government Fund, Local Government Revenue Assistance Fund, or 96961
Library and Local Government Support Fund in order to accomplish 96962
more effectively the purposes of the adjustments in divisions 96963
(D)(1) and (2) of this section. If the respective calculations 96964
made in June 2004 and June 2005 pursuant to divisions (D)(1) and 96965
(2) of this section indicate that excess reductions had been made 96966
during the previous months, such excess amounts shall be credited, 96967
as appropriate, to the Local Government Fund, Local Government 96968
Revenue Assistance Fund, and Library and Local Government Support 96969
Fund.96970

        (E) Notwithstanding any other provision of law to the 96971
contrary, the total amount credited to each fund in each month 96972
during the period July 2003 through June 2005 shall be distributed 96973
by the tenth day of the immediately succeeding month in the 96974
following manner:96975

        (1) Each county undivided local government fund shall receive 96976
a distribution from the Local Government Fund based on its 96977
proportionate share of the total amount received from the fund in 96978
such respective month for the period July 1, 2002, through June 96979
30, 2003.96980

        (2) Each municipality receiving a direct distribution from 96981
the Local Government Fund shall receive a distribution based on 96982
its proportionate share of the total amount received from the fund 96983
in such respective month for the period July 1, 2002, through June 96984
30, 2003.96985

        (3) Each county undivided local government revenue assistance 96986
fund shall receive a distribution from the Local Government 96987
Revenue Assistance Fund based on its proportionate share of the 96988
total amount received from the fund in such respective month for 96989
the period July 1, 2002, through June 30, 2003.96990

        (4) Each county undivided library and local government 96991
support fund shall receive a distribution from the Library and 96992
Local Government Support Fund based on its proportionate share of 96993
the total amount received from the fund in such respective month 96994
for the period July 1, 2002, through June 30, 2003.96995

        (F) For the 2003, 2004, and 2005 distribution years, the Tax 96996
Commissioner is not required to issue the certifications otherwise 96997
required by sections 5747.47, 5747.501, 5747.51, and 5747.61 of 96998
the Revised Code, but shall provide to each county auditor by the 96999
twentieth day of July 2003, July 2004, and July 2005 an estimate 97000
of the amounts to be received by the county in the ensuing year 97001
from the Local Government Fund, Local Government Revenue 97002
Assistance Fund, and Library and Local Government Support Fund 97003
pursuant to this section and any pertinent section of the Revised 97004
Code. The Tax Commissioner may choose to report to each county 97005
auditor a revised estimate of the 2003, 2004, or 2005 97006
distributions at any time during the period July 1, 2003, through 97007
July 31, 2005.97008

        (G) During the period July 1, 2003, through July 31, 2005, 97009
the Director of Budget and Management shall issue those directives 97010
to state agencies that are necessary to ensure that the 97011
appropriate amounts are distributed to the Local Government Fund, 97012
to the Local Government Revenue Assistance Fund, and to the 97013
Library and Local Government Support Fund.97014

       Section 140. * CAPITAL APPROPRIATION TO SFC97015

       All items set forth in this section are hereby appropriated 97016
out of any moneys in the state treasury to the credit of the 97017
School Building Program Assistance Fund (Fund 032), created under 97018
section 3318.25 of the Revised Code, derived from the proceeds of 97019
obligations heretofore and herein authorized to pay the cost of 97020
facilities for a system of common schools throughout the state for 97021
the period beginning July 1, 2002, and ending June 30, 2004. The 97022
appropriation shall be in addition to any other appropriation for 97023
this purpose.97024

Appropriations

SFC SCHOOL FACILITIES COMMISSION
97025

CAP-770 School Building Program Assistance $ 122,800,000 97026
Total School Facilities Commission $ 122,800,000 97027
TOTAL School Building Program Assistance Fund $ 122,800,000 97028

       * SCHOOL BUILDING PROGRAM ASSISTANCE97029

       The foregoing appropriation item CAP-770, School Building 97030
Program Assistance, shall be used by the School Facilities 97031
Commission to provide funding to school districts that receive 97032
conditional approval from the Commission pursuant to Chapter 3318. 97033
of the Revised Code. Expenditures from appropriations contained in 97034
this section may be accounted for as though made for the fiscal 97035
year 2003-2004 biennium in H.B. 675 of the 124th General Assembly. 97036
The School Facilities Commission shall not disburse any of the 97037
appropriations made in this section until after April 1, 2004.97038

       * BOND ISSUANCE AUTHORITY97039

       The Ohio Public Facilities Commission is hereby authorized to 97040
issue and sell, in accordance with the provisions of Section 2n of 97041
Article VIII, Ohio Constitution, and Chapter 151. and particularly 97042
sections 151.01 and 151.03 of the Revised Code, original 97043
obligations in an aggregate principal amount not to exceed 97044
$123,000,000, in addition to the original issuance of obligations 97045
heretofore authorized by prior acts of the General Assembly. The 97046
authorized obligations shall be issued, subject to applicable 97047
constitutional and statutory limitations, to pay the costs to the 97048
state of previously authorized capital facilities and the capital 97049
facilities authorized in this section for the School Building 97050
Program Assistance Fund pursuant to Chapter 3318. of the Revised 97051
Code.97052

       Section 141. (A) On the effective date of this section, the 97053
following programs administered by the Ohio School Facilities 97054
Commission are terminated:97055

       (1) The Short-Term Loan Program established by Section 10.01 97056
of Am. Sub. H.B. 282 of the 123rd General Assembly;97057

       (2) The Emergency School Repair Program codified in section 97058
3318.35 of the Revised Code.97059

       No new school district shall be served under any of these 97060
programs. The Commission may continue serving school districts 97061
that were receiving assistance under any of these programs before 97062
the effective date of this section in accordance with terms and 97063
agreements in effect on that date.97064

       (B) On March 31, 2004, the Disability Access Program 97065
established by Section 50.15 of Am. Sub. H.B. 215 of the 122nd 97066
General Assembly, Section 5 of Am. Sub. S.B. 102 of the 122nd 97067
General Assembly, as subsequently amended, Section 10 of Am. Sub. 97068
H.B. 282 of the 123rd General Assembly, as subsequently amended, 97069
Section 102.01 of Am. Sub. H.B. 94 of the 124th General Assembly, 97070
and Section 5 of Am. Sub. H.B. 524 of the 124th General Assembly 97071
is terminated.97072

       No new school district shall be served under this program. 97073
The Commission may continue serving school districts that were 97074
receiving assistance under this program before the effective date 97075
of this section in accordance with terms and agreements in effect 97076
on that date.97077

       On April 1, 2004, or as soon as possible thereafter, the 97078
Director of Budget and Management shall transfer the unencumbered 97079
and unallotted balance in appropriation item CAP-777, Disability 97080
Access Projects, to appropriation item CAP-662, Public School 97081
Buildings. The amount transferred from CAP-777, Disability Access 97082
Projects, shall be used to fund classroom facilities projects in 97083
accordance with Chapter 3318. of the Revised Code.97084

       Section 142. (A) As used in this section, "pharmacy provider" 97085
has the same meaning as in rule 5101:3-9-01 of the Administrative 97086
Code. 97087

       (B) The Department of Job and Family Services shall establish 97088
the Medication Management Incentive Payment Program for state 97089
fiscal years 2004 and 2005 for pharmacy services provided Medicaid 97090
recipients other than those who reside in a nursing facility or an 97091
intermediate care facility for the mentally retarded. Any pharmacy 97092
provider that serves Medicaid recipients may elect to participate 97093
in the Program in one or both of the state fiscal years that it is 97094
in effect. 97095

       (C) The Department of Job and Family Services shall do the 97096
following:97097

       (1) Determine the statewide monthly average cost of providing 97098
pharmacy services to Medicaid recipients other than those who 97099
reside in a nursing home or an intermediate care facility for the 97100
mentally retarded during the last quarter of the biennium ending 97101
June 30, 2003;97102

       (2) Establish a reimbursement rate for pharmacy services 97103
provided under the Medication Management Incentive Payment Program 97104
for the first quarter of the biennium ending June 30, 2005. 97105

       (D) Under the Medication Management Incentive Payment 97106
Program: 97107

       (1) If a participating pharmacy provider's average monthly 97108
cost of providing pharmacy services to a number of Medicaid 97109
recipients specified by the Department of Job and Family Services 97110
in a quarter after the first quarter of the biennium ending June 97111
30, 2005, is greater than or equal to the statewide monthly 97112
average cost of providing pharmacy services during the last 97113
quarter of the biennium ending June 30, 2003, the pharmacy 97114
provider shall be reimbursed at the rate established by the 97115
Department for the first quarter of the biennium ending June 30, 97116
2005.97117

       (2) If a participating pharmacy provider's average monthly 97118
cost of providing pharmacy services to the number of Medicaid 97119
recipients specified by the Department of Job and Family Services 97120
in a quarter after the first quarter of the biennium ending June 97121
30, 2005, is less than the statewide monthly average cost of 97122
providing pharmacy services during the last quarter of the 97123
biennium ending June 30, 2003, the pharmacy provider shall be 97124
reimbursed at an enhanced rate established by the Department.97125

       (E) A pharmacy provider that elects to participate in the 97126
program may achieve a reduction in its average monthly cost for 97127
providing pharmacy services to Medicaid recipients by providing 97128
consulting services to the physicians who prescribe drugs to the 97129
recipient. These consulting services may include recommendations 97130
for eliminating unnecessary and duplicative drug therapies, 97131
modifying inefficient drug regimens, and implementing safe and 97132
cost-effective drug therapies. 97133

       (F) The Department of Job and Family Services shall adopt, in 97134
accordance with Chapter 119. of the Revised Code, any rule it 97135
considers necessary to develop and administer the Medication 97136
Management Incentive Payment Program. The rules may provide for 97137
compensation for physicians who consult with pharmacy providers 97138
that participate in the program.97139

       Section 143. OFFICE OF QUALITY SERVICES FUND TRANSFERS97140

        Notwithstanding any other provision of law to the contrary, 97141
the Director of Budget and Management shall transfer any remaining 97142
amounts of cash from the following specified obsolete fund to the 97143
General Revenue Fund within thirty days after the effective date 97144
of this section: Quality Services (General Services Fund 4C1). The 97145
amount of such transfer to the General Revenue Fund is hereby 97146
appropriated to General Revenue Fund appropriation item 042-409, 97147
Commission Closures.97148

       Section 144. TRANSFER FROM BOARD OF TAX APPEALS97149

        Notwithstanding any other provision of law to the contrary, 97150
on July 31, 2003, or as soon thereafter as possible, the Director 97151
of Budget and Management shall transfer any remaining amounts of 97152
cash from the following specified obsolete fund to the General 97153
Revenue Fund: Reproduction of Decisions (General Services Fund 97154
439).97155

       Section 145.  FEDERAL JOBS AND GROWTH TAX RELIEF 97156
RECONCILIATION ACT OF 200397157

       (A) The enhanced federal medical assistance percentage (FMAP) 97158
rate is authorized pursuant to the Federal Jobs and Growth Relief 97159
Reconciliation Act of 2003 for the third and fourth calendar 97160
quarters of federal fiscal year 2003 and the first, second, and 97161
third calendar quarters of federal fiscal year 2004. During this 97162
period, the reimbursement rate for all Medicaid service 97163
expenditures paid by state or local entities shall be the 97164
non-enhanced rate.97165

       (B) During the quarters that the enhanced FMAP rate is 97166
authorized pursuant to the Federal Jobs and Growth Relief 97167
Reconciliation Act of 2003, when drawing FMAP to the state 97168
treasury for Medicaid services paid by the Department of Job and 97169
Family Services or other state or local entities, the Department 97170
of Job and Family Services shall deposit the amount of federal 97171
revenue attributable to the enhanced FMAP that is being made 97172
available to the Federal Fiscal Relief Fund, which is hereby 97173
created in the state treasury. The disposition of cash from this 97174
fund shall occur as follows:97175

       (1) On a schedule to be determined by the Office of Budget 97176
and Management, the Director of Budget and Management shall make 97177
cash transfers to the Medicaid Reserve Fund, which is hereby 97178
created in the state treasury. The total amount transferred shall 97179
be $18,611,156 in state fiscal year 2004 and $90,851,972 in state 97180
fiscal year 2005. The Director of Job and Family Services shall 97181
make requests to the Director of Budget and Management as 97182
necessary to increase the appropriation in appropriation item 97183
600-525, Health Care/Medicaid. The Director of Budget and 97184
Management shall transfer the state share of such amounts from the 97185
Medicaid Reserve Fund to the General Revenue Fund. The transferred 97186
amount plus the federal share associated with this amount is 97187
hereby appropriated. The Department of Job and Family Services 97188
shall use this appropriation authority to pay claims for Medicaid 97189
services.97190

       (2) After the amounts in division (B)(1) of this section have 97191
been transferred, the Director of Budget and Management shall 97192
transfer the remainder of cash in the Federal Fiscal Relief Fund 97193
to the General Revenue Fund on a schedule to be determined by the 97194
Office of Budget and Management.97195

       Section 146.  (A) In September of 2003, each school district 97196
that has been declared to be under an academic watch or in a state 97197
of academic emergency pursuant to section 3302.03 of the Revised 97198
Code shall administer a half-length practice version of each Ohio 97199
Graduation Test prescribed by division (B) of section 3301.0710 of 97200
the Revised Code to all ninth grade students enrolled in the 97201
district. Each district shall determine the dates, times, and 97202
method of administering the tests to students and shall score the 97203
tests.97204

       (B) Each district declared to be in a state of academic 97205
emergency pursuant to section 3302.03 of the Revised Code shall 97206
determine for each high school in the district whether the school 97207
shall be required to provide intervention services in accordance 97208
with this division to any students who took the tests. In 97209
determining which high schools shall provide intervention services 97210
based upon available funding, the district shall consider each 97211
school's graduation rate and scores on the practice tests.97212

        Each high school selected to provide intervention services 97213
under this division shall provide intervention services to 97214
students whose practice test results indicate that they are 97215
failing to make satisfactory progress toward being able to attain 97216
scores at the proficient level on the Ohio Graduation Tests. 97217
Intervention services shall be provided in any skill in which a 97218
student demonstrates unsatisfactory progress and shall be 97219
commensurate with the student's test performance. Schools shall 97220
provide the intervention services prior to the end of the school 97221
year, during the summer following the ninth grade, in the next 97222
succeeding school year, or at any combination of those times.97223

       Section 147. (A) As used in this section, "nursing facility" 97224
means a facility, or a distinct part of a facility, that is 97225
certified as a nursing facility by the Director of Health for 97226
purposes of the Medicaid Program and is not an intermediate care 97227
facility for the mentally retarded. "Nursing facility" includes a 97228
facility, or a distinct part of a facility, that is certified as a 97229
skilled nursing facility by the Director of Health for purposes of 97230
the Medicare Program.97231

       (B) The Director of Health shall request from the Secretary 97232
of the United States Department of Health and Human Services 97233
approval to develop an alternative regulatory procedure for 97234
nursing facilities subject to federal regulation. If the Secretary 97235
gives approval, the Director shall convene the Nursing Facility 97236
Regulatory Reform Task Force.97237

       (C) The Director of Health shall serve as chair of the Task 97238
Force. The Director of Aging, the Director of Job and Family 97239
Services, the State Long-Term Care Ombudsman, or persons they 97240
designate and a member of the Governor's staff designated by the 97241
Governor shall serve on the Task Force. The Director of Health 97242
shall appoint the following individuals to serve on the Task 97243
Force: 97244

       (1) Two representatives of the Ohio Health Care Association;97245

       (2) Two representatives of the Association of Ohio 97246
Philanthropic Homes and Housing for the Aging;97247

       (3) Two representatives of the Ohio Academy of Nursing Homes;97248

       (4) Two representatives of the American Association of 97249
Retired Persons (AARP);97250

       (5) Two representatives of Families for Improved Care;97251

        (6) A representative from the Ohio Association of Regional 97252
Long-Term Care Ombudsman Programs;97253

       (7) A representative of the 1199 League of Registered Nurses;97254

       (8) A representative of the American Federation of State, 97255
County, and Municipal Employees.97256

       (D) Except to the extent that service on the task force is 97257
part of their employment, Task Force members shall serve without 97258
compensation and shall not be reimbursed by the State for expenses 97259
incurred in carrying out their duties on the Task Force. The 97260
Scripps Gerontology Center at Miami University shall provide 97261
technical and support services for the Task Force.97262

       (E) The Task Force shall do all of the following:97263

       (1) Review the effectiveness of current regulatory procedures 97264
for nursing facilities regarding the quality of care and quality 97265
of life of nursing facility residents;97266

       (2) Develop recommendations for improved regulatory 97267
procedures for nursing facilities to improve the quality of care 97268
and quality of life of nursing facility residents;97269

       (3) Evaluate potential effects on nursing facility residents 97270
of elimination of components of the Certificate of Need program 97271
pertaining to long-term care facilities;97272

       (4) Develop possible demonstration projects to present the 97273
potential of proposed changes to the regulatory procedure to 97274
increase the quality of care and the quality of life of nursing 97275
facility residents.97276

       (F) The Task Force shall submit a report of its findings and 97277
recommendations to the Speaker and Minority Leader of the House of 97278
Representatives and to the President and Minority Leader of the 97279
Senate. The report shall explain any changes to the Revised Code 97280
required to implement the recommendations. On submission of the 97281
recommendations, the Task Force shall cease to exist.97282

       (G) At the request of the General Assembly by adoption of a 97283
joint resolution, the Director of Health shall apply to the 97284
Secretary of the United States Department of Health and Human 97285
Services for a waiver to implement the recommendations of the Task 97286
Force.97287

       Section 148. In amending sections 121.084, 4104.41, 4104.44, 97288
4104,45, and 4104.46 (4104.48), in enacting new section 4104.46 97289
and section 4104.47, and in repealing and re-enacting sections 97290
4104.42 and 4104.43 of the Revised Code, it is the intent of the 97291
General Assembly that the provisions of this act are general laws 97292
created in the exercise of the state's police power, arising out 97293
of matters of statewide concern, and are designed for the health, 97294
safety, and welfare of contractors, their employees, and the 97295
public.97296

       Section 149. In amending sections 121.084, 4104.41, 4104.44, 97297
4104,45, and 4104.46 (4104.48), in enacting new section 4104.46 97298
and section 4104.47, and in repealing and re-enacting sections 97299
4104.42 and 4104.43 of the Revised Code, it is the intent of the 97300
General Assembly that power, refrigerating, hydraulic, heating and 97301
liquefied petroleum gas, oxygen, and other gaseous piping systems 97302
will continue to be inspected as part of the building permit 97303
process, enforcement of plumbing and mechanical building codes, 97304
and occupancy certification. The purpose of this legislative 97305
action is solely to eliminate duplicative inspection personnel and 97306
fees.97307

       Section 150. * The Hemophilia Advisory Council established 97308
under section 3701.145 of the Revised Code, renumbered as section 97309
3701.0210 of the Revised Code by this act, is hereby abolished.97310

       Section 151. * Upon the taking effect of this section, the 97311
Hazardous Waste Facility Board is abolished.97312

        All of the rules adopted by the Hazardous Waste Facility 97313
Board are abolished on that date. The Director of the Legislative 97314
Service Commission shall remove the rules from the Administrative 97315
Code as if they had been rescinded.97316

        On and after the effective date of this section and until the 97317
Director of Environmental Protection adopts rules that eliminate 97318
references to the Hazardous Waste Facility Board, whenever the 97319
Hazardous Waste Facility Board or Board, when "Board" refers to 97320
the Hazardous Waste Facility Board, is referred to in a rule, the 97321
reference shall be deemed to refer to the Environmental Protection 97322
Agency or the Director of Environmental Protection, whichever is 97323
appropriate. As expeditiously as possible after the effective date 97324
of this section, the Director of Environmental Protection shall 97325
adopt rules eliminating references to the Hazardous Waste Facility 97326
Board.97327

        Permits or modifications issued by the Hazardous Waste 97328
Facility Board under section 3734.05 of the Revised Code as that 97329
section existed prior to its amendment by this act shall continue 97330
in effect as if the Director had issued the permits or 97331
modifications under section 3734.05 of the Revised Code after the 97332
effective date of its amendment by this act. Any application 97333
pending before the Hazardous Waste Facility Board on the effective 97334
date of this section shall be transferred to the Environmental 97335
Protection Agency for approval or disapproval by the Director. All 97336
records, files, and other documents of the Hazardous Waste 97337
Facility Board shall be transferred to the Environmental 97338
Protection Agency.97339

       Section 152. (A) There is hereby created the Ohio Autism Task 97340
Force consisting of the following members:97341

       (1) All of the following persons to be appointed by the 97342
Governor:97343

       (a) A person diagnosed with autism;97344

       (b) Four persons who are parents of children diagnosed with 97345
autism;97346

       (c) A special education administrator of an Ohio school 97347
district;97348

       (d) A representative of the Ohio Association of County Boards 97349
of Mental Retardation and Developmental Disabilities;97350

       (e) A representative of the Ohio Developmental Disabilities 97351
Council;97352

       (f) A representative of the Autism Society of Ohio;97353

       (g) A developmental pediatrician who is a member of the Ohio 97354
Association of Pediatricians;97355

       (h) Two representatives from private schools in Ohio that 97356
provide special education services to children diagnosed with 97357
autism;97358

       (i) Two representatives from Ohio hospitals that provide 97359
services to children diagnosed with autism.97360

       (2) Two members of the House of Representatives, one from the 97361
majority party and one from the minority party, appointed by the 97362
Speaker of the House of Representatives;97363

       (3) Two members of the Senate, one from the majority party 97364
and one from the minority party, appointed by the President of the 97365
Senate;97366

       (4) The Director of Mental Retardation and Developmental 97367
Disabilities or the Director's designee;97368

       (5) The Director of Job and Family Services or the Director's 97369
designee;97370

       (6) The Superintendent of Public Instruction or the 97371
Superintendent's designee;97372

       (7) The Director of Health or the Director's designee.97373

       (B) All appointments and designations to the Task Force shall 97374
be made not later than thirty days after the effective date of 97375
this section. Any vacancy that occurs on the Task Force shall be 97376
filled in the same manner as the original appointment. The members 97377
of the Task Force shall serve without compensation.97378

       (C) The initial meeting of the Task Force shall be held not 97379
later than sixty days after the effective date of this section. At 97380
its initial meeting, the Task Force shall elect from its 97381
membership a chairperson and other officers it considers 97382
necessary. Thereafter, the Task Force shall meet on the call of 97383
the chairperson.97384

       (D) The Department of Mental Retardation and Developmental 97385
Disabilities shall provide meeting facilities and other support as 97386
necessary for the Task Force.97387

       (E) The Task Force shall study and make recommendations 97388
regarding both of the following:97389

       (1)The growing incidence of autism in Ohio;97390

       (2)Ways to improve the delivery in this state of autism 97391
services.97392

       (F) Not later than one year after the effective date of this 97393
section, the Task Force shall submit a written report of its 97394
recommendations to the Governor, the Speaker of the House of 97395
Representatives, and the President of the Senate.97396

       (G) On submission of its report, the Task Force shall cease 97397
to exist.97398

       Section 153.  (A) There is hereby created the Task Force to 97399
Eliminate Health Services Duplication. The Director of 97400
Administrative Services shall serve as chairperson. The Directors 97401
of Aging, Alcohol and Drug Addiction Services, Health, Mental 97402
Health, Mental Retardation and Developmental Disabilities, and 97403
Budget and Management, and the Executive Director of the 97404
Commission on Minority Health, or persons they designate, shall 97405
serve on the Task Force. The Commission on Dispute Resolution and 97406
Conflict Management shall provide technical and support services 97407
for the Task Force.97408

       (B) Except to the extent that service on the Task Force is 97409
part of their employment, Task Force members shall serve without 97410
compensation and shall not be reimbursed by the state for expenses 97411
incurred in carrying out their duties on the Task Force.97412

       (C) The Task Force shall do all of the following:97413

       (1) Evaluate the feasibility of combining all or parts of the 97414
Department of Aging, the Department of Alcohol and Drug Addiction 97415
Services, the Commission on Minority Health, the Department of 97416
Health, the Department of Mental Health, and the Department of 97417
Mental Retardation and Developmental Disabilities to eliminate 97418
duplication of services;97419

       (2) Evaluate the feasibility of establishing a central 97420
procurement point for basic operational services associated with 97421
each department, including human resources, training, research, 97422
legislative information, fiscal management, and public 97423
information.97424

       (D) Not later than March 31, 2004, the Task Force shall 97425
submit a report of its findings and recommendations to the Speaker 97426
and Minority Leaders of the House of Representatives and to the 97427
President and Minority Leader of the Senate. On submission of its 97428
report, the Task Force shall cease to exist.97429

       Section 154. The Parole Board shall review the sentences of 97430
prisoners who are confined in state correctional institutions and 97431
who were sentenced under the Felony Sentencing Law that was in 97432
effect prior to July 1, 1996, to determine the appropriateness of 97433
those sentences and to determine whether the length of any of 97434
those sentences should be adjusted. The Parole Board shall conduct 97435
this review in cooperation with the Department of Rehabilitation 97436
and Correction. The Parole Board shall prepare a report that 97437
contains its findings and makes recommendations regarding further 97438
action. Not later than one year after the effective date of this 97439
section, the Parole Board shall submit the report to the Speaker 97440
and Minority Leader of the House of Representatives, the President 97441
and Minority Leader of the Senate, the chair of the House Criminal 97442
Justice Committee, and the chair of the Senate Judiciary Committee 97443
on Criminal Justice.97444

       As used in this section, "state correctional institution" has 97445
the same meaning as in section 2967.01 of the Revised Code.97446

       Section 155.  As used in this section, "qualified property" 97447
means real and tangible personal property that satisfies the97448
qualifications for tax exemption under the terms of section 97449
3313.44, 5709.07, 5709.08, 5709.10, 5709.12, 5709.121, or 5709.14 97450
of the Revised Code.97451

       Notwithstanding section 5713.081 of the Revised Code, when 97452
qualified property has not received tax exemption due to a failure 97453
to comply with Chapter 5713. or section 5715.27 of the Revised 97454
Code, the owner of the property, at any time on or before twelve 97455
months after the effective date of this section, may file with the 97456
Tax Commissioner an application requesting that the property be 97457
placed on the tax exempt list and that all unpaid taxes, 97458
penalties, and interest on the property be abated.97459

       The application shall be made on the form prescribed by the 97460
Tax Commissioner under section 5715.27 of the Revised Code and 97461
shall list the name of the county in which the property is 97462
located; the property's legal description; its taxable value; the 97463
amount in dollars of the unpaid taxes, penalties, and interest; 97464
the date of acquisition of title to the property; the use of the97465
property during any time that the unpaid taxes accrued; and any 97466
other information required by the Tax Commissioner. The county 97467
auditor shall supply the required information upon request of the 97468
applicant.97469

       Upon request of the applicant, the county treasurer shall97470
determine if all taxes, penalties, and interest that became a lien 97471
on the qualified property before it first was used for an exempt97472
purpose and all special assessments charged against the property97473
have been paid in full. If so, the county treasurer shall issue a 97474
certificate to the applicant stating that all such taxes,97475
penalties, interest, and assessments have been paid in full. Prior 97476
to filing the application with the Tax Commissioner, the applicant 97477
shall attach the county treasurer's certificate to it. The Tax 97478
Commissioner shall not consider an application filed under this97479
section unless such a certificate is attached to it.97480

       Upon receipt of the application and after consideration of 97481
it, the Tax Commissioner shall determine if the applicant meets 97482
the qualifications set forth in this section, and if so shall 97483
issue an order directing that the property be placed on the tax 97484
exempt list of the county and that all unpaid taxes, penalties, 97485
and interest for every year the property met the qualifications 97486
for exemption described in section 3313.44, 5709.07, 5709.08, 97487
5709.10, 5709.12, 5709.121, or 5709.14 of the Revised Code be 97488
abated. If the Tax Commissioner finds that the property is not now 97489
being so used or is being used for a purpose that would foreclose 97490
its right to tax exemption, the Tax Commissioner shall issue an 97491
order denying the application.97492

       If the Tax Commissioner finds that the property is not 97493
entitled to tax exemption and to the abatement of unpaid taxes, 97494
penalties, and interest for any of the years for which the owner 97495
claims an exemption or abatement, the Tax Commissioner shall order 97496
the county treasurer of the county in which the property is 97497
located to collect all taxes, penalties, and interest due on the 97498
property for those years in accordance with law.97499

       The Tax Commissioner may apply this section to any qualified 97500
property that is the subject of an application for exemption 97501
pending before the Tax Commissioner on the effective date of this 97502
section, without requiring the property owner to file an 97503
additional application. The Tax Commissioner also may apply this97504
section to any qualified property that is the subject of an 97505
application for exemption filed on or after the effective date of 97506
this section and on or before twelve months after that effective 97507
date, even though the application does not expressly request 97508
abatement of unpaid taxes.97509

       Section 156. (A) The amendment, repeal and reenactment, or 97510
enactment by this act of sections 718.01, 718.02, 718.03, 718.05, 97511
718.051, and 718.121 of the Revised Code apply to taxable years 97512
beginning on or after January 1, 2004.97513

       (B) The amendment by this act of sections 718.11, 5717.011, 97514
and 5717.03 of the Revised Code apply to matters relating to 97515
taxable years beginning on or after January 1, 2004.97516

       (C) The credit allowed by section 718.021 of the Revised Code 97517
applies to qualifying losses sustained in taxable years beginning 97518
on or after January 1, 2004.97519

       Section 157. Not later than thirty days after the effective 97520
date of this section, the Governor, with the advice and consent of 97521
the Senate, shall make initial appointments to the Ohio Business 97522
Gateway Steering Committee created in section 5703.56 of the 97523
Revised Code. Terms of office shall be as prescribed in section 97524
5703.56 of the Revised Code.97525

       Section 158. (A) The amendment by this act of sections 97526
165.09, 902.11, 4981.20, 5703.052, 5739.01, 5739.011, 5739.012, 97527
5739.02, 5739.025, 5739.03, 5739.032, 5739.033 (in Section 1 of 97528
this act), 5739.12, 5739.121, 5739.122, 5739.17, 5739.21, 5741.01, 97529
5741.02, and 5741.121 of the Revised Code apply on and after July 97530
1, 2003.97531

        (B) The amendment by this act of sections 5739.021, 5739.022, 97532
5739.023, and 5739.026 of the Revised Code apply on and after 97533
January 1, 2004.97534

        (C) The amendment by this act of sections 5741.021, 5741.022, 97535
and 5741.023 of the Revised Code apply on and after January 1, 97536
2006.97537

        (D) The amendment by this act of section 5739.10 of the 97538
Revised Code pertaining to the temporary 6% excise tax levied upon 97539
the privilege of engaging in the business of making retail sales 97540
applies on and after July 1, 2003. The amendment by this act of 97541
that section pertaining to the elimination of the exemption for 97542
retail sales under 16¢ applies on and after January 1, 2006.97543

       (E) The repeal and re-enactment by this act of section 97544
5739.034 of the Revised Code applies on and after July 1, 2003.97545

       Section 159. Sections 107.32 and 107.33 of the Revised Code 97546
shall apply to all state institutional facilities, as defined in 97547
section 107.32 of the Revised Code, that were in operation on or 97548
after January 1, 2003.97549

       Section 160. The Legislative Office of Education Oversight 97550
shall conduct a review of partnership agreements between a Head 97551
Start provider and a provider of child care or day care services. 97552
In conducting this review, the Office shall analyze the following:97553

        (A) The impact on literacy-readiness for children receiving 97554
services as a result of such agreements;97555

        (B) The costs and benefits of such agreements to both 97556
participant children and the providers who are parties to the 97557
agreements. In analyzing the costs and benefits of such 97558
agreements, the Office shall examine the financial costs and 97559
benefits to providers who are parties to the agreements and to 97560
families of participant children. Additionally, the Office shall 97561
examine intangible costs and benefits to participant children, 97562
such as intellectual, emotional, and physical benefits or 97563
detriments caused by service under such agreements.97564

        (C) The operation of the agreements. In analyzing the 97565
operation of the agreements, the Office shall review how the 97566
agreements work, how well the agreements work, what components are 97567
included in the agreements, and whether the agreements are unique 97568
to the providers who are parties to the agreements or standardized 97569
across the state or within a local region.97570

        (D) Whether there is an administrative entity, such as a 97571
county department of job and family services, that oversees the 97572
implementation of a particular agreement. If there is such an 97573
entity that oversees an agreement, the Office shall examine the 97574
degree to which oversight is performed and what overhead costs the 97575
administrative entity incurs in overseeing such agreements.97576

        The Office shall submit the final results of this study to 97577
the General Assembly not later than December 31, 2004.97578

       Section 161.  (A) Within one hundred twenty days after the 97579
effective date of this section, the Director of Agriculture, the 97580
Director of Rehabilitation and Correction, and the Director of 97581
Youth Services shall develop a plan to optimize the quantity and 97582
use of food grown and harvested in state correctional institutions 97583
or secure facilities operated by the Department of Youth Services 97584
in the most cost-effective manner. The plan shall include methods 97585
to increase production at farms operated by either department and 97586
shall include methods to ensure that the highest possible 97587
percentage of food consumed at state correctional institutions and 97588
secure facilities operated by the Department of Youth Services is 97589
food grown and harvested at a state correctional institution or 97590
secure facility operated by the Department of Youth Services.97591

       (B) The plan shall consider possible amendments to the 97592
Revised Code, amendments to the Administrative Code, 97593
administrative changes, financial strategies, strategies to obtain 97594
a reliable workforce, and any other means to optimize the quantity 97595
and use of food of that nature in state correctional institutions 97596
and secure facilities operated by the Department of Youth 97597
Services.97598

       The plan and its findings, conclusions, and any 97599
recommendations and proposed legislation shall be submitted to the 97600
Speaker of the House of Representatives, the President of the 97601
Senate, the Governor, the Director of Rehabilitation and 97602
Correction, and the Director of Youth Services. 97603

       (C) As used in this section, "state correctional institution" 97604
has the same meaning as in section 2967.01 of the Revised Code.97605

       Section 162. The State Racing Commission shall conduct a 97606
performance study of the Commission based upon its current level 97607
of full-time employees. The Commission, not later than January 1, 97608
2004, shall make recommendations to the Governor and the General 97609
Assembly regarding possible staff reductions and ways to improve 97610
the efficiency of the Commission's operations.97611

       Section 163. For any metropolitan housing authority that is 97612
in existence when division (D) of section 3735.27 of the Revised97613
Code, as amended by this act, takes effect, and to which that97614
division applies, the board of county commissioners shall appoint97615
a member to fill the next vacancy that occurs due to the97616
expiration of the term of a member appointed by the chief97617
executive officer of the most populous city in the metropolitan97618
housing authority district. Thereafter, any vacancy in that97619
position shall be filled by an appointee of the board of county97620
commissioners and all other vacancies shall be filled in the97621
manner provided for the original appointments.97622

       Section 164. The amendment by this act of section 5747.02 of 97623
the Revised Code applies to taxable years ending on or after the 97624
effective date of this section.97625

       Section 165. (A) If a court finds that any provisions within 97626
sections 1346.04 to 1346.10 of the Revised Code conflict and 97627
cannot be harmonized with those within sections 1346.01 to 1346.03 97628
of the Revised Code, provisions of sections 1346.01 to 1346.03 of 97629
the Revised Code shall control. 97630

       (B) If any provision within sections 1346.04 to 1346.10 of 97631
the Revised Code causes sections 1346.01 to 1346.03 of the Revised 97632
Code to no longer constitute a qualifying or model statute, as 97633
those terms are defined in the Master Settlement Agreement entered 97634
into on November 23, 1998, by the state and leading United States 97635
tobacco product manufacturers, the provision in question shall be 97636
invalid. If any part of sections 1346.04 to 1346.10 of the Revised 97637
Code is for any reason held to be invalid, unlawful, or 97638
unconstitutional, the remaining portions of those sections shall 97639
remain valid.97640

       Section 166. The first report of stamping agents required by 97641
division (A) of section 1346.07 of the Revised Code shall be due 97642
on the last day of the month following the month in which this act 97643
becomes effective. The first certifications of a tobacco product 97644
manufacturer under division (A) of section 1346.05 of the Revised 97645
Code shall be due forty-five days after the effective date of this 97646
act. The directory established in division (B) of section 1346.05 97647
of the Revised Code shall be published within ninety days after 97648
the effective date of this act.97649

       Section 167. (A) For the purposes of section 321.24, as 97650
amended by this act, and of section 5703.80 of the Revised Code, 97651
as enacted by this act, the Tax Commissioner may determine the 97652
property tax administrative fee for fiscal year 2004 at any time 97653
after the day this act becomes law. One-half of the amount of the 97654
fee for that year may be deducted from each of the payments made 97655
in the fiscal year under division (F) of section 321.24 of the 97656
Revised Code, or the full amount of the fee for the year may be 97657
deducted from the second of those payments made in the fiscal 97658
year. The Director of Budget and Management may transfer the fee 97659
from the General Revenue Fund to the Property Tax Administration 97660
Fund created under section 5703.80 of the Revised Code, as enacted 97661
by this act, for fiscal year 2004 in three equal payments on 97662
November 1, 2003, February 1, 2004, and May 1, 2004.97663

       (B) Within thirty days after the Tax Commissioner determines 97664
the property tax administrative fee for fiscal year 2004 under 97665
division (A) of this section, the Tax Commissioner shall notify 97666
the Department of Education of the amount by which each school 97667
district's reimbursement made under division (F) of section 321.24 97668
of the Revised Code, as amended by this act, is to be reduced for 97669
the Property Tax Administration Fund.97670

       Section 168. (A) As used in this section, "housing officer" 97671
has the same meaning as in section 3735.65 of the Revised Code.97672

        (B) Any complaint filed with the tax commissioner on or after 97673
the effective date of this section challenging the continued 97674
exemption of property granted an exemption by a housing officer 97675
under section 3735.67 of the Revised Code shall be certified by 97676
the tax commissioner to the housing officer. The housing officer 97677
shall proceed to hear and determine such complaint in accordance 97678
with division (E) of section 3735.67 of the Revised Code. The 97679
commissioner may hear and determine any such complaint filed with 97680
the commissioner before the effective date of this section or may 97681
certify such complaint to the housing officer for hearing and 97682
determination.97683

        (C) The filing date of any complaint certified to a housing 97684
officer under this section shall be considered to be the date on 97685
which the complaint was filed with the tax commissioner.97686

       Section 169. Notwithstanding the date by which determinations 97687
must be made under divisions (D), (G), and (H) of section 5727.84 97688
of the Revised Code, the Tax Commissioner, as soon as is 97689
practicable after the effective date of that section as amended by 97690
this act, shall redetermine electric company tax value loss, 97691
fixed-rate levy loss, and fixed-sum levy loss for taxing districts 97692
described in division (D)(3) of that section on the basis of such 97693
amendments, and make the certification required by divisions (J) 97694
and (K) of that section. On or before July 31, 2003, or as soon as 97695
is practicable after the effective date of section 5727.84 of the 97696
Revised Code as amended by this act, the Department of Education 97697
shall make the computations required under section 5727.85 of the 97698
Revised Code on the basis of such redeterminations. Such 97699
redeterminations and computations apply for the purpose of 97700
computing payments made to taxing districts under sections 5727.85 97701
and 5727.86 of the Revised Code during state fiscal year 2004 and 97702
subsequent fiscal years, as otherwise provided in those sections.97703

       Section 170. The amendment by this act of sections 5733.051, 97704
5733.057, and 5733.06 of the Revised Code applies to tax year 2004 97705
and to each tax year thereafter.97706

       Section 171. (A)(1) There is hereby created the Legislative 97707
Audit Commission Study Committee, to be composed of four members. 97708
The committee shall study how other states provide for a 97709
legislative auditing function within their respective legislative 97710
branches of government and shall make recommendations on how Ohio 97711
should address the legislative auditing function and on the 97712
funding levels necessary to accomplish the objectives recommended. 97713
The President of the Senate shall appoint to the committee two 97714
members of the Senate, each of whom shall be a member of a 97715
different political party. The Speaker of the House of 97716
Representatives shall appoint to the committee two members of the 97717
House of Representatives, each of whom shall be a member of a 97718
different political party.97719

       (2) All vacancies in the membership of the committee shall be 97720
filled in the same manner prescribed for original appointments to 97721
the committee.97722

       (3) The members of the committee shall serve without 97723
compensation, but shall be reimbursed for their actual and 97724
necessary expenses incurred in the performance of their official 97725
duties.97726

        (B) The members of the Legislative Audit Commission Study 97727
Committee shall select a chairperson from among the appointed 97728
members.97729

        (C) The Legislative Service Commission shall provide 97730
necessary support to the Legislative Audit Commission Study 97731
Committee.97732

        (D) The Legislative Audit Commission Study Committee shall 97733
publish its findings and recommendations in a report to the 97734
Governor, the Speaker and the Minority Leader of the House of 97735
Representatives, and the President and Minority Leader of the 97736
Senate not later than December 31, 2003. Upon submission of the 97737
report, the committee shall cease to exist.97738

       Section 172. If the amendments made by this act to division 97739
(B)(2)(b) of section 1346.02 of the Revised Code are found 97740
unconstitutional or otherwise held invalid by a court of competent 97741
jurisdiction, then to the extent that a tobacco product 97742
manufacturer establishes that the amount it was required to place 97743
into escrow in a particular year was greater than the state's 97744
allocable share of the total payments that such manufacturer would 97745
have been required to make in that year under the Master 97746
Settlement Agreement (as determined pursuant to section IX(i)(2) 97747
of the Master Settlement Agreement, and before any of the 97748
adjustments or offsets described in section IX(i)(3) of that 97749
Agreement other than the inflation adjustment) had it been a 97750
participating manufacturer, the excess shall be released from 97751
escrow and revert back to such tobacco product manufacturer.97752

       The consequent of the preceding paragraph effectively 97753
reinstates division (B)(2)(b) of section 1346.02 of the Revised 97754
Code as it existed prior to its amendment by this act.97755

       Section 173.  The amendment by this act to division (H) of 97756
section 718.01 and to section 718.14 of the Revised Code apply to 97757
taxable years beginning on or after January 1, 2003.97758

       Section 174. (A) Any person required to make accelerated tax 97759
payments under section 5739.032, 5739.122, or 5741.121 of the 97760
Revised Code that makes full payment of the taxes for the April 97761
2003 reporting period on or before May 23, 2003; makes full 97762
payment of the taxes for the May 2003 reporting period on or 97763
before June 23, 2003; and makes all three of the required 97764
accelerated tax payments for the June 2003 reporting period on or 97765
before June 25, 2003, shall not be subject to the additional 97766
charge imposed under division (D)(1) of section 5739.032, division 97767
(D)(1) of section 5739.122, or division (D)(1) of section 5741.121 97768
of the Revised Code for the reporting periods of April 2003 and 97769
May 2003.97770

       (B) Notwithstanding division (A) of this section, a person 97771
required to make accelerated tax payments under section 5739.032, 97772
5739.122, or 5741.121 of the Revised Code that has not been 97773
notified by the Department of Taxation of the requirement to make 97774
accelerated payments under one of those sections shall not be 97775
subject to the additional charge imposed under division (D)(1) of 97776
section 5739.032, division (D)(1) of section 5739.122, or division 97777
(D)(1) of section 5741.121 of the Revised Code for any reporting 97778
period prior to the receipt of the notice, or until the reporting 97779
period of September 2003, whichever is earlier.97780

       Section 175. The Director of Administrative Services shall 97781
inquire into entering into multistate purchasing contracts in 97782
carrying out the Department's duties under Chapter 125. of the 97783
Revised Code. Not later than December 31, 2003, the Director shall 97784
file a report with the General Assembly detailing the Director's 97785
findings. The report shall include recommendations on any 97786
legislation necessary to authorize multistate purchasing 97787
contracts.97788

       Section 176.  On July 1, 2003, the Ohio Coal Development 97789
Office of the Department of Development is abolished and all of 97790
its functions, and assets and liabilities, are transferred to the 97791
Ohio Coal Development Office of the Ohio Air Quality Development 97792
Authority. The Ohio Coal Development Office of the Ohio Air 97793
Quality Development Authority is thereupon and thereafter 97794
successor to, assumes the obligations of, and otherwise 97795
constitutes the continuation of the Ohio Coal Development Office 97796
of the Department of Development.97797

       Any business commenced but not completed by the Ohio Coal 97798
Development Office of the Department of Development or the 97799
Director of that office on the effective date of this section 97800
shall be completed by the Ohio Coal Development Office of the Ohio 97801
Air Quality Development Authority or the Director of that office 97802
in the same manner, and with the same effect, as if completed by 97803
the Ohio Coal Development Office of the Department of Development 97804
or the Director of that office. Any validation, cure, right, 97805
privilege, remedy, obligation, or liability is not lost or 97806
impaired by reason of the transfer required by this section and 97807
shall be administered by the Ohio Coal Development Office of the 97808
Ohio Air Quality Development Authority. All of the rules, orders, 97809
and determinations of the Ohio Coal Development Office of the 97810
Department of Development or of the Director of Development in 97811
relation to that office continue in effect as rules, orders, and 97812
determinations of the Ohio Coal Development Office of the Ohio Air 97813
Quality Development Authority, until modified or rescinded by that 97814
office or by the Ohio Air Quality Development Authority in 97815
relation to that office. If necessary to ensure the integrity of 97816
the numbering of the Administrative Code, the Director of the 97817
Legislative Service Commission shall renumber rules of the 97818
Director of Development in relation to the Ohio Coal Development 97819
Office of the Department of Development to reflect their transfer 97820
to the Ohio Air Quality Development Authority.97821

       Subject to the lay-off provisions of sections 124.321 to 97822
124.328 of the Revised Code, all of the employees of the Ohio Coal 97823
Development Office of the Department of Development are 97824
transferred to the Ohio Coal Development Office of the Ohio Air 97825
Quality Development Authority and retain their positions and all 97826
the benefits accruing thereto, except that they shall be in the 97827
unclassified service and shall serve at the pleasure of the 97828
Authority.97829

       Whenever the Ohio Coal Development Office in the Department 97830
of Development or the Director of Development in relation to that 97831
office is referred to in any law, contract, or other document, the 97832
reference shall be deemed to refer to the Ohio Coal Development 97833
Office of the Ohio Air Quality Development Authority or the 97834
Authority in relation to that office, whichever is appropriate.97835

       Any action or proceeding pending on the effective date of 97836
this section is not affected by the transfer and shall be 97837
prosecuted or defended in the name of the Ohio Air Quality 97838
Development Authority or its Ohio Coal Development Office. In all 97839
such actions and proceedings, the Ohio Air Quality Development 97840
Authority or its Ohio Coal Development Office upon application to 97841
the court shall be substituted as a party.97842

       Section 177. Sections 2743.51, 2743.60, 2743.65, and 3701.741 97843
of the Revised Code, as amended by Section 1 of this act, apply to 97844
claims filed under section 2743.56 of the Revised Code that are 97845
based on criminally injurious conduct occuring on and after July 97846
1, 2003.97847

       Section 178. The amendment by this act of section 5747.01 of 97848
the Revised Code, by the addition of divisions (A)(20)(d) and 97849
(A)(21)(c) to that section, is intended as a clarification of the 97850
law as it exists before the effective date of that amendment.97851

       Section 179. Except as otherwise specifically provided in 97852
this act, the codified sections of law amended or enacted in this 97853
act, and the items of law of which the codified sections of law 97854
amended or enacted in this act are composed, are subject to the 97855
referendum. Therefore, under Ohio Constitution, Article II, 97856
Section 1c and section 1.471 of the Revised Code, the codified 97857
sections of law amended or enacted by this act, and the items of 97858
law of which the codified sections of law as amended or enacted by 97859
this act are composed, take effect on the ninety-first day after 97860
this act is filed with the Secretary of State. If, however, a 97861
referendum petition is filed against any such codified section of 97862
law as amended or enacted by this act, or against any item of law 97863
of which any such codified section of law as amended or enacted by 97864
this act is composed, the codified section of law as amended or 97865
enacted, or item of law, unless rejected at the referendum, takes 97866
effect at the earliest time permitted by law.97867

       Section 180. Except as otherwise specifically provided in 97868
this act, the repeal by this act of a codified section of law is 97869
subject to the referendum. Therefore, under Ohio Constitution, 97870
Article II, Section 1c and section 1.471 of the Revised Code, the 97871
repeal by this act of a codified section of law takes effect on 97872
the ninety-first day after this act is filed with the Secretary of 97873
State. If, however, a referendum petition is filed against any 97874
such repeal, the repeal, unless rejected at the referendum, takes 97875
effect at the earliest time permitted by law.97876

       Section 181. The repeal by this act of sections 122.12, 97877
173.45, 173.46, 173.47, 173.48, 173.49, 173.50, 173.51, 173.52, 97878
173.53, 173.54, 173.55, 173.56, 173.57, 173.58, 173.59, 1553.01, 97879
1553.02, 1553.03, 1553.04, 1553.05, 1553.06, 1553.07, 1553.08, 97880
1553.09, 1553.10, 1553.99, 3318.35, 3701.142, 3701.144, 4141.044, 97881
5115.011, 5115.012, 5115.06, and 5115.061 of the Revised Code is 97882
not subject to the referendum. Therefore, under Ohio Constitution, 97883
Article II, Section 1d and section 1.471 of the Revised Code, the 97884
repeals go into immediate effect when this act becomes law.97885

       Section 182. (A) Sections 117.45, 121.04, 122.658, 124.03, 97886
124.15, 124.152, 124.181, 124.183, 127.16, 131.23, 173.08, 323.01, 97887
329.03, 329.04, 329.051, 340.021, 340.03, 901.21, 901.63, 901.85, 97888
1501.04, 1548.06. 1551.11, 1551.12, 1551.15, 1551.311, 1551.32, 97889
1551.33, 1551.35, 1555.02, 1555.03, 1555.04, 1555.05, 1555.06, 97890
1555.08, 1555.17, 2101.16, 2151.3529, 2151.3530, 2305.234 (in 97891
Section 1), 2329.66, 2715.041, 2715.045, 2716.13, 2743.191, 97892
2743.51, 2743.60, 2743.65, 2921.13, 3111.04, 3119.01, 3123.952, 97893
3311.05, 3311.059, 3313.975, 3313.976, 3313.977, 3313.978, 97894
3313.979, 3313.981, 3314.08, 3314.083, 3316.031, 3316.08, 97895
3317.012, 3317.013, 3317.014, 3317.02, 3317.022, 3317.023, 97896
3317.024, 3317.029, 3317.0217, 3317.03, 3317.032, 3317.05, 97897
3317.064, 3317.07, 3317.10, 3317.16, 3318.37, 3323.16, 3332.04 (in 97898
Section 1), 3333.121, 3517.092, 3701.021, 3701.022, 3701.029, 97899
3701.141, 3701.145 (3701.0210), 3701.741, 3702.31, 3702.63, 97900
3702.68, 3702.74, 3705.24, 3709.09, 3711.021, 3721.02, 3733.43, 97901
3733.45, 3734.28, 3734.57, 3745.40, 3748.07, 3748.13, 3769.087, 97902
3773.43, 3781.19, 4104.01, 4104.02, 4104.04, 4104.06, 4104.07, 97903
4104.08, 4104.15, 4104.18, 4104.19, 4104.20, 4105.17, 4112.15, 97904
4117.14, 4123.27, 4141.09, 4301.43, 4501.06, 4505.06, 4519.55, 97905
4723.06, 4723.08, 4723.082, 4723.17, 4729.01, 4729.41, 4731.65, 97906
4731.71, 4736.12, 4747.05, 4747.06, 4747.07, 4747.10, 4771.22, 97907
4903.24, 4905.91, 4919.79, 5101.11, 5101.14, 5101.141, 5101.142, 97908
5101.144, 5101.145, 5101.146, 5101.1410, 5101.16, 5101.18, 97909
5101.181, 5101.20, 5101.21, 5101.211, 5101.212, 5101.23, 5101.36, 97910
5101.58, 5101.59, 5101.75, 5101.80, 5103.155, 5104.04, 5104.30, 97911
5107.02, 5107.30, 5107.40, 5107.60, 5111.0113, 5111.02, 5111.025, 97912
5111.03, 5111.06, 5111.08 (5111.071), new 5111.16, 5111.16 97913
(5111.08), 5111.161, 5111.17, 5111.171, 5111.172, 5111.174, 97914
5111.175, 5111.20, 5111.21, 5111.211, 5111.22, 5111.251, 5111.252 97915
(5123.199), 5111.85, 5111.87, 5111.871, 5111.872, 5111.873, 97916
5111.88, 5111.911, 5111.912, 5111.913, 5112.03, 5112.08, 5112.17, 97917
5115.01, 5115.02 (5115.04), 5115.03, 5115.04 (5115.02), 5115.05, 97918
5115.07 (5115.06), 5115.10, 5115.11, 5115.12, new 5115.13, 5115.13 97919
(5115.07), 5115.14, 5115.15 (5115.23), 5115.20, 5115.22, 5119.61, 97920
5123.01, 5123.19, 5123.196, 5123.198, 5123.1910, 5123.38, 5126.01, 97921
5126.042, 5126.12, 5153.78, 5502.13, 5709.61, 5709.62, 5709.632, 97922
5709.64, 5735.05, 5735.053, 5735.23, 5735.26, 5735.291, 5735.30, 97923
and 6109.21 of the Revised Code as amended, enacted, or renumbered 97924
by this act, and the items of law of which such sections as 97925
amended or enacted by this act are composed, are not subject to 97926
the referendum. Therefore, under Ohio Constitution, Article II, 97927
Section 1d and section 1.471 of the Revised Code, such sections as 97928
amended, enacted, or renumbered by this act, and the items of law 97929
of which such sections as amended or enacted by this act are 97930
composed, go into immediate effect when this act becomes law.97931

       (B) Sections 3317.11 and 5111.173 of the Revised Code as 97932
repealed and reenacted by this act, and the items of law of which 97933
it is composed, is not subject to the referendum. Therefore, under 97934
Ohio Constitution, Article II, Section 1d and section 1.471 of the 97935
Revised Code, the section as repealed and reenacted by this act 97936
goes into immediate effect when this act becomes law.97937

       (C) The amendment of sections 109.32, 2915.01, 2915.02, 97938
2915.08, 2915.081, 2915.082, 2915.09, 2915.091, 2915.092, 97939
2915.093, 2915.095, 2915.10, 2915.101, and 2915.13 of the Revised 97940
Code is not subject to the referendum under Ohio Constitution, 97941
Article II, Section 1d and section 1.471 of the Revised Code and 97942
goes into effect on July 1, 2003.97943

       (D) The amendments of sections 4503.101 and 4503.103 of the 97944
Revised Code are not subject to the referendum under Ohio 97945
Constitution, Article II, Section 1d and section 1.471 of the 97946
Revised Code and go into effect on June 30, 2003.97947

       Section 183. (A) The amendment, enactment, or repeal and 97948
reenactment by this act of sections 122.17, 122.171, 307.676, 97949
321.24, 323.13, 715.013, 718.01, 718.02, 718.021, 718.03, 718.05, 97950
718.051, 718.11, 718.121, 718.14, 718.15, 718.151, 2923.35, 97951
2925.44, 2933.43, 3735.66, 3735.67, 3735.671, 4503.06, 5703.56, 97952
5703.57, 5703.80, 5709.20, 5709.201, 5709.21, 5709.211, 5709.212, 97953
5709.22, 5709.23, 5709.24, 5709.25, 5709.26, 5709.27, 5711.02, 97954
5711.13, 5711.22, 5711.27, 5711.33, 5713.07, 5713.08, 5713.081, 97955
5713.082, 5715.27, 5715.39, 5717.011, 5717.03, 5725.19, 5727.111, 97956
5727.30, 5727.84, 5727.85, 5727.86, 5728.04, 5728.06, 5728.99, 97957
5729.08, 5733.04, 5733.05, 5733.051, 5733.056, 5733.057, 97958
5733.0511, 5733.059, 5733.06, 5733.0611, 5733.09, 5733.45, 97959
5733.49, 5733.55, 5733.56, 5733.57, 5733.98, 5735.14, 5735.15, 97960
5735.19, 5735.99, 5739.09, 5743.45 (in Section 1 of this act), 97961
5745.01, 5745.02, 5745.04, 5747.01, 5747.02, 5747.026, 5747.31, 97962
5747.80, and 6111.06 of the Revised Code provides for or is 97963
essential to implementation of a tax levy. Therefore, under Ohio 97964
Constitution, Article II, Section 1d, the amendments, enactments, 97965
or repeals and reenactments and the items of which they are 97966
composed, are not subject to the referendum and go into immediate 97967
effect when this act becomes law.97968

       (B) The amendment or enactment by this act of sections 97969
165.09, 902.11, 4981.20, 5703.052, 5739.01, 5739.011, 5739.02, 97970
5739.025, 5739.03, 5739.032, 5739.033 (in Section 1 of this act), 97971
5739.09, 5739.12, 5739.121, 5739.122, 5739.17, 5739.21, 5739.33, 97972
5741.01, 5741.02, 5741.121, and 5741.25 of the Revised Code 97973
provides for or is essential to implementation of a tax levy. 97974
Therefore, under Ohio Constitution, Article II, Section 1d, the 97975
amendments, and the items of which they are composed, are not 97976
subject to the referendum and go into immediate effect when this 97977
act becomes law.97978

        (C) The amendment by this act of sections 5739.021, 5739.022, 97979
5739.023, and 5739.026 of the Revised Code provides for or is 97980
essential to implementation of a tax levy. Therefore, under Ohio 97981
Constitution, Article II, Section 1d, the amendments, and the 97982
items of which they are composed, are not subject to the 97983
referendum and go into effect January 1, 2004.97984

        (D) The amendment by this act of sections 5741.021, 5741.022, 97985
and 5741.023 of the Revised Code provides for or is essential to 97986
implementation of a tax levy. Therefore, under Ohio Constitution, 97987
Article II, Section 1d, the amendments, and the items of which 97988
they are composed, are not subject to the referendum and, except 97989
as provided in this section, go into effect January 1, 2006.97990

        (E) The amendment by this act of section 5739.10 of the 97991
Revised Code provides for or is essential to implementation of a 97992
tax levy. Therefore, under Ohio Constitution, Article II, Section 97993
1d, the amendment, and the items of which it is composed, are not 97994
subject to the referendum and, as they pertain to the temporary 6% 97995
excise tax levied upon the privilege of engaging in the business 97996
of making retail sales, go into effect July 1, 2003, and, as they 97997
pertain to the elimination of the exemption for retail sales under 97998
16¢, go into effect January 1, 2006.97999

       (F) The repeal and re-enactment by this act of section 98000
5739.034 of the Revised Code provides for or is essential to 98001
implementation of a tax levy. Therefore, under Ohio Constitution, 98002
Article II, Section 1d, the repeal and re-enactment, and the items 98003
of which they are composed, are not subject to the referendum and 98004
go into effect July 1, 2003.98005

       (G) The amendment by this act of section 5735.142 of the 98006
Revised Code provides for or is essential to implementation of a 98007
tax levy. Therefore, under Ohio Constitution, Article II, Section 98008
1d the amendment is not subject to the referendum and goes into 98009
effect on June 30, 2003.98010

       Section 184. The repeal by this act of sections 319.311, 98011
5733.111, 5739.012, 5741.011, and 5747.131 of the Revised Code 98012
provides for or is essential to implementation of a tax levy. 98013
Therefore, under Ohio Constitution, Article II, Section 1d, the 98014
repeals, and the items of which they are composed, are not subject 98015
to the referendum and go into immediate effect when this act 98016
becomes law.98017

       Section 185. The repeal by this act of sections 5709.231, 98018
5709.30, 5709.31, 5709.32, 5709.33, 5709.34, 5709.35, 5709.36, 98019
5709.37, 5709.45, 5709.46, 5709.47, 5709.48, 5709.49, 5709.50, 98020
5709.51, 5709.52, 6111.31, 6111.311, 6111.32, 6111.34, 6111.35, 98021
6111.36, 6111.37, 6111.38, and 6111.39 of the Revised Code 98022
provides for or is essential to implementation of a tax levy. 98023
Therefore, under Ohio Constitution, Article II, Section 1d, the 98024
repeals, and the items of which they are composed, are not subject 98025
to the referendum and go into immediate effect when this act 98026
becomes law.98027

       Section 186. (A) The amendment by this act of sections 98028
4905.79, 4931.45, 4931.47, 4931.48, 5727.32, and 5727.33 of the 98029
Revised Code provides for or is essential to implementation of a 98030
tax levy. Therefore, under Ohio Constitution, Article II, Section 98031
1d, the amendments, and the items of which they are composed, are 98032
not subject to the referendum and go into effect December 31, 98033
2004.98034

       (B) The repeal by this act of sections 5727.39 and 5727.44 of 98035
the Revised Code provide for or is essential to implementation of 98036
a tax levy. Therefore, under Ohio Constitution, Article II, 98037
Section 1d, the repeals, and the items of which they are composed, 98038
are not subject to the referendum and go into effect December 31, 98039
2004.98040

       Section 187. Section 3301.31 of the Revised Code, as repealed 98041
and reenacted by this act, and the items of law of which the 98042
section as repealed and reenacted by this act is composed, is not 98043
subject to the referendum. Therefore, under Ohio Constitution, 98044
Article II, Section 1d and section 1.471 of the Revised Code, the 98045
section as repealed and reenacted is entitled to go into immediate 98046
effect when this act becomes law. However, that section as 98047
repealed and reenacted by this act, and the items of law of which 98048
that section as repealed and reenacted by this act are composed, 98049
takes effect July 1, 2004, or the day this act becomes law, 98050
whichever is later.98051

       Section 188. New section 3301.33 and sections 3301.34, 98052
3301.35, 3301.36, and 3301.38, as enacted by this act, and section 98053
3301.33 (3301.40) of the Revised Code as renumbered by this act, 98054
and the items of law of which those sections as enacted or 98055
renumbered by this act are composed, are not subject to the 98056
referendum. Therefore, under Ohio Constitution, Article II, 98057
Section 1d and section 1.471 of the Revised Code, the sections as 98058
enacted or renumbered are entitled to go into immediate effect 98059
when this act becomes law. However, those sections as enacted or 98060
renumbered by this act, and the items of law of which those 98061
sections as enacted or renumbered by this act are composed, take 98062
effect July 1, 2004, or the day this act becomes law, whichever is 98063
later.98064

       Section 189. Sections 3301.37, 3301.52, 3301.53, 3301.54, 98065
3301.55, 3301.57, and 3301.58 of the Revised Code, as amended or 98066
enacted by this act, are not subject to the referendum. Therefore, 98067
under Ohio Constitution, Article II, Section 1d and section 1.471 98068
of the Revised Code the sections as amended or enacted by this 98069
act, and the items of law of which the sections as amended or 98070
enacted by this act are composed, are entitled to go into 98071
immediate effect when this act becomes law. However, the sections 98072
as amended or enacted by this act, and the items of law of which 98073
the sections as amended or enacted by this act are composed, take 98074
effect September 1, 2003, or the day this act becomes law, 98075
whichever is later.98076

       Section 190. The repeal by this act of section 3301.581 of 98077
the Revised Code is not subject to the referendum under Ohio 98078
Constitution, Article II, Section 1d and section 1.471 of the 98079
Revised Code and goes into effect September 1, 2003, or the day 98080
this act becomes law, whichever is later.98081

       Section 191. The version of section 3332.04 of the Revised 98082
Code that is scheduled to take effect July 1, 2003, as amended by 98083
this act, and the items of law of which that section as amended is 98084
composed, are not subject to the referendum. Therefore, under Ohio 98085
Constitution, Article II, Section 1d and section 1.471 of the 98086
Revised Code, the section as amended by this act, and the items of 98087
law of which that section as amended is composed, go into 98088
immediate effect on July 1, 2003.98089

       Section 192.  (A) Except as otherwise provided in division 98090
(B) of this section, the amendments by this act to section 3745.11 98091
of the Revised Code are not subject to the referendum. Therefore, 98092
under Ohio Constitution, Article II, Section 1d and section 1.471 98093
of the Revised Code, the amendments, and the items of law they 98094
contain, go into immediate effect when this act becomes law.98095

       (B)(1) The amendments by this act of division (P) of section 98096
3745.11 of the Revised Code provides for or is essential to 98097
implementation of a tax levy. Therefore, under Ohio Constitution, 98098
Article II, Section 1d, the amendments, and the items of which 98099
they are composed, are not subject to the referendum and go into 98100
immediate effect when this act becomes law.98101

       (2) The seventh and last paragraph added to division (S)(1) 98102
of section 3745.11 of the Revised Code by this act is subject to 98103
the referendum. Therefore, under Ohio Constitution, Article II, 98104
Section 1c and section 1.471 of the Revised Code, the paragraph 98105
takes effect on the ninety-first day after this act is filed with 98106
the Secretary of State. If, however, a referendum petition is 98107
filed against the paragraph, or against any item of law it 98108
contains, the paragraph or item, unless rejected at the 98109
referendum, takes effect at the earliest time permitted by law.98110

       Section 193. The amendment by this act of the version of 98111
section 4511.75 of the Revised Code that is scheduled to take 98112
effect January 1, 2004, and the items of law of which that 98113
amendment is composed, are not subject to the referendum under 98114
Ohio Constitution, Article II, Section 1d and section 1.471 of the 98115
Revised Code and go into effect on July 1, 2004.98116

       Section 194.  (A) Except as otherwise provided in division 98117
(B) of this section, the amendments by this act to section 4743.05 98118
of the Revised Code are subject to the referendum. Therefore, 98119
under Ohio Constitution, Article II, Section 1c and section 1.471 98120
of the Revised Code, the amendments take effect on the 98121
ninety-first day after this act is filed with the Secretary of 98122
State. If, however, a referendum petition is filed against the 98123
amendments, or against any item of law they contain, the 98124
amendments or item, unless rejected at the referendum, takes 98125
effect at the earliest time permitted by law.98126

       (B) The amendment by this act adding a reference to "4771." 98127
to section 4743.05 of the Revised Code is not subject to the 98128
referendum. Therefore, under Ohio Constitution, Article II, 98129
Section 1d and section 1.471 of the Revised Code, the amendment 98130
goes into immediate effect when this act becomes law.98131

       Section 195. (A) The amendments by this act to section 98132
5104.01 of the Revised Code are not subject to the referendum. 98133
Therefore, under Ohio Constitution, Article II, Section 1d and 98134
section 1.471 of the Revised Code, the amendments, and the items 98135
of law they contain, go into immediate effect when this act 98136
becomes law, except as provided in division (B) of this section.98137

        (B) The amendments by this act to division (T) of section 98138
5104.01 of the Revised Code shall take effect on July 1, 2004.98139

       Section 196. Section 5104.02 of the Revised Code, as amended 98140
by this act, and the items of law of which the section as amended 98141
by this act is composed, are not subject to the referendum. 98142
Therefore, under Ohio Constitution, Article II, Section 1d and 98143
section 1.471 of the Revised Code the section as amended by this 98144
act, and the items of law of which the section as amended by this 98145
act is composed, are entitled to go into immediate effect when 98146
this act becomes law. However, the section as amended by this act, 98147
and the items of law of which the section as amended by this act 98148
are composed, take effect September 1, 2003, or the day this act 98149
becomes law, whichever is later.98150

       Section 197. (A) The amendments by this act to section 98151
5104.32 of the Revised Code are not subject to the referendum. 98152
Therefore, under Ohio Constitution, Article II, Section 1d and 98153
section 1.471 of the Revised Code, the amendments, and the items 98154
of law they contain, go into immediate effect when this act 98155
becomes law, except as provided in division (B) of this section.98156

        (B) The amendments by this act to division (B)(4) of section 98157
5104.32 of the Revised Code shall take effect on September 1, 98158
2003.98159

       Section 198.  (A) Except as otherwise provided in division 98160
(B) of this section, the amendments by this act to section 98161
5111.022 of the Revised Code are not subject to the referendum. 98162
Therefore, under Ohio Constitution, Article II, Section 1d and 98163
section 1.471 of the Revised Code, the amendments, and the items 98164
of law they contain, go into immediate effect when this act 98165
becomes law.98166

       (B) The amendments by this act adding divisions (B)(4), (E), 98167
and (F) to section 5111.022 of the Revised Code are subject to the 98168
referendum. Therefore, under Ohio Constitution, Article II, 98169
Section 1c and section 1.471 of the Revised Code, the amendments 98170
take effect on the ninety-first day after this act is filed with 98171
the Secretary of State. If, however, a referendum petition is 98172
filed against the amendments, or against any item of law they 98173
contain, the amendments or item, unless rejected at the 98174
referendum, takes effect at the earliest time permitted by law.98175

       Section 199.  Section 5112.31 of the Revised Code, as amended 98176
by this act, and the items of law of which that section as amended 98177
is composed, are not subject to the referendum. Therefore, under 98178
Ohio Constitution, Article II, Section 1d and section 1.471 of the 98179
Revised Code, that section as amended by this act, and the items 98180
of law of which that section as amended is composed, are entitled 98181
to go into immediate effect when this act becomes law. However, 98182
that section as amended by this act, and the items of law which 98183
that section as amended by this act are composed, take effect on 98184
July 1, 2003, or the day this act becomes law, whichever is later.98185

       Section 200. Sections 175.21, 175.22, 317.32, 317.36, 319.63, 98186
1563.42, 1702.59, 2505.13, 4141.23, 4509.60, 5111.021, 5310.15, 98187
5719.07, 5727.56, 5733.18, 5733.22, 6101.09, and 6115.09 of the 98188
Revised Code, as amended and enacted by this act, and the items of 98189
law which those sections as amended and enacted are composed, are 98190
not subject to the referendum. Therefore, under Ohio Constitution, 98191
Article II, section 1d and section 1.471 of the Revised Code, 98192
those sections as amended and enacted by this act, and the items 98193
of law of which those sections as amended and enacted are 98194
composed, are entitled to go into immediate effect when this act 98195
becomes law. However, those sections as amended and enacted by 98196
this act, and the items of law of which those sections as amended 98197
and enacted by this act are composed, take effect on August 1, 98198
2003, or the day this act becomes law, whichever is later.98199

       Section 201. * Divisions (A) and (E) of section 9.24 of the 98200
Revised Code, as enacted by this act, shall take effect January 1, 98201
2004.98202

       Section  202. * Section 102.02 of the Revised Code, as amended 98203
by this act, shall take effect January 1, 2004.98204

       Section 203. * Section 4759.08 of the Revised Code, as 98205
amended by this act, shall take effect July 1, 2004.98206

       Section 204. * Sections 5103.031, 5103.033, 5103.034, 98207
5103.036, 5103.037, 5103.038, 5103.0312, 5103.0313, 5103.0314, 98208
5103.0315, 5103.0316, 5153.60, 5153.69, and 5153.72 of the Revised 98209
Code, as amended by this act, shall take effect on January 1, 98210
2004.98211

       Section 205. * Sections 5103.154 and 5153.163 of the Revised 98212
Code as amended by this act take effect July 1, 2004.98213

       Section 206. Except as otherwise specifically provided in 98214
this act, the uncodified sections of law amended or enacted in 98215
this act, and the items of law of which the uncodified sections of 98216
law amended or enacted in this act are composed, are not subject 98217
to the referendum. Therefore, under Ohio Constitution, Article II, 98218
Section 1d and section 1.471 of the Revised Code, the uncodified 98219
sections of law amended or enacted in this act, and the items of 98220
law of which the uncodified sections of law amended or enacted in 98221
this act are composed, go into immediate effect when this act 98222
becomes law.98223

       Section 207. Uncodified sections of law amended or enacted in 98224
this act, and items of law contained within the uncodified 98225
sections of law amended or enacted in this act, that are marked 98226
with an asterisk are subject to the referendum. Therefore, under 98227
Ohio Constitution, Article II, Section 1c and section 1.471 of the 98228
Revised Code, the uncodified sections and items of law marked with 98229
an asterisk take effect on the ninety-first day after this act is 98230
filed with the Secretary of State. If, however, a referendum 98231
petition is filed against an uncodified section or item of law 98232
marked with an asterisk, the uncodified section or item of law 98233
marked with an asterisk, unless rejected at the referendum, takes 98234
effect at the earliest time permitted by law.98235

       If the amending and existing repeal clauses commanding the 98236
amendment of an uncodified section of law are both marked with 98237
asterisks, the uncodified section as amended is deemed also to 98238
have been marked with an asterisk.98239

       An asterisk marking an uncodified section or item of law has 98240
the form *.98241

       This section defines the meaning and form of, but is not 98242
itself to be considered marked with, an asterisk.98243

       Section 208. The repeal by this act of the following 98244
uncodified sections of law is not subject to the referendum and 98245
therefore, under Ohio Constitution, Article II, Section 1d and 98246
section 1.471 of the Revised Code, goes into immediate effect when 98247
this act becomes law:98248

       (A) Section 11 of Am. Sub. S.B. 50 of the 121st General 98249
Assembly;98250

       (B) Section 72 of Am. Sub. H.B. 850 of the 122nd General 98251
Assembly;98252

       (C) Section 129 of Am. Sub. H.B. 283 of the 123rd General 98253
Assembly;98254

       (D) Section 3 of Am. Sub. S.B. 238 of the 123rd General 98255
Assembly; 98256

       (E) Section 63.37 of Am. Sub. H.B. 94 of the 124th General 98257
Assembly;98258

       (F) Section 16 of Am. Sub. H.B. 87 of the 125th General 98259
Assembly.98260

       Section 209. If the amendment or enactment in this act of a 98261
codified or uncodified section of law is subject to the 98262
referendum, the corresponding indications in the amending, 98263
enacting, or existing repeal clauses commanding the amendment or 98264
enactment also are subject to the referendum, along with the 98265
amendment or enactment. If the amendment or enactment by this act 98266
of a codified or uncodified section of law is not subject to the 98267
referendum, the corresponding indications in the amending, 98268
enacting, or existing repeal clauses commanding the amendment or 98269
enactment also are not subject to the referendum, the same as the 98270
amendment or enactment.98271

       Section 210. * The amendment of section 122.25 of the Revised 98272
Code by this act is not intended to supersede the earlier repeal, 98273
with delayed effective date, of that section.98274

       Section 211. * Section 921.151 was amended and renumbered as 98275
section 921.22 of the Revised Code by Am. Sub. S.B. 217 of the 98276
124th General Assembly, passed November 21, 2002, and effective 98277
July 1, 2004. The amendment of section 921.151 of the Revised Code 98278
in Section 1 of this act does not supersede that earlier amendment 98279
and renumbering. This act therefore amends both sections to ensure 98280
that its amendments continue on and after July 1, 2004.98281

       Section 212.  The amendment by this act of sections 5112.03 98282
and 5112.08 of the Revised Code is not intended to supersede the 98283
earlier repeal, with delayed effective date, of those sections.98284

       Section 213. The amendment by this act of section 5112.99 of 98285
the Revised Code is not intended to supersede the earlier repeal, 98286
with delayed effective date, of that section.98287

       Section 214. * Section 109.572 of the Revised Code is 98288
presented in this act as a composite of the section as amended by 98289
both Sub. H.B. 448 and Sub. H.B. 538 of the 123rd General 98290
Assembly. The General Assembly, applying the principle stated in 98291
division (B) of section 1.52 of the Revised Code that amendments 98292
are to be harmonized if reasonably capable of simultaneous 98293
operation, finds that the composite is the resulting version of 98294
the section in effect prior to the effective date of the section 98295
as presented in this act.98296

       Section 215. Section 121.04 of the Revised Code is presented 98297
in this act as a composite of the section as amended by both Sub. 98298
H.B. 601 and Am. Sub. H.B. 640 of the 123rd General Assembly. The 98299
General Assembly, applying the principle stated in division (B) of 98300
section 1.52 of the Revised Code that amendments are to be 98301
harmonized if reasonably capable of simultaneous operation, finds 98302
that the composite is the resulting version of the section in 98303
effect prior to the effective date of the section as presented in 98304
this act.98305

       Section 216.  Section 122.171 of the Revised Code is 98306
presented in this act as a composite of the section as amended by 98307
both H.B. 675 and Am. Sub. S.B. 180 of the 124th General Assembly. 98308
The General Assembly, applying the principle stated in division 98309
(B) of section 1.52 of the Revised Code that amendments are to be 98310
harmonized if reasonably capable of simultaneous operation, finds 98311
that the composite is the resulting version of the section in 98312
effect prior to the effective date of the section as presented in 98313
this act.98314

       Section 217.  Section 124.15 of the Revised Code is presented98315
in this act as a composite of the section as amended by both Am.98316
Sub. H.B. 640 and Sub. S.B. 245 of the 123rd General Assembly. The 98317
General Assembly, applying the principle stated in division (B) of 98318
section 1.52 of the Revised Code that amendments are to be98319
harmonized if reasonably capable of simultaneous operation, finds98320
that the composite is the resulting version of the section in98321
effect prior to the effective date of the section as presented in98322
this act.98323

       Section 218.  The version of section 2152.19 of the Revised 98324
Code that is scheduled to take effect January 1, 2004, is 98325
presented in this act as a composite of the section as amended by 98326
both Am. Sub. H.B. 400 and Am. Sub. H.B. 490 of the 124th General 98327
Assembly. The General Assembly, applying the principle stated in 98328
division (B) of section 1.52 of the Revised Code that amendments 98329
are to be harmonized if reasonably capable of simultaneous 98330
operation, finds that the composite is the resulting version of 98331
the section in effect prior to the effective date of the section 98332
as presented in this act.98333

       Section 219. The version of section 2301.03 of the Revised 98334
Code that is scheduled to take effect January 1, 2004, is 98335
presented in this act as a composite of the section as amended by 98336
both Am. Sub. H.B. 490 and Am. Sub. H.B. 530 of the 124th General 98337
Assembly. The General Assembly, applying the principle stated in 98338
division (B) of section 1.52 of the Revised Code that amendments 98339
are to be harmonized if reasonably capable of simultaneous 98340
operation, finds that the composite is the resulting version of 98341
the section in effect prior to the effective date of the section 98342
as presented in this act.98343

       Section 220. * The version of section 2305.234 of the Revised 98344
Code that is scheduled to take effect January 1, 2004, is 98345
presented in this act as a composite of the section as amended by 98346
both Am. Sub. H.B. 490 and Am. Sub. S.B. 281 of the 124th General 98347
Assembly. The General Assembly, applying the principle stated in 98348
division (B) of section 1.52 of the Revised Code that amendments 98349
are to be harmonized if reasonably capable of simultaneous 98350
operation, finds that the composite is the resulting version of 98351
the section in effect prior to the effective date of the section 98352
as presented in this act.98353

       Section 221.  Section 2743.02 of the Revised Code is 98354
presented in this act as a composite of the section as amended by 98355
both Am. Sub. S.B. 115 and Am. Sub. S.B. 281 of the 124th General 98356
Assembly. The General Assembly, applying the principle stated in 98357
division (B) of section 1.52 of the Revised Code that amendments 98358
are to be harmonized if reasonably capable of simultaneous 98359
operation, finds that the composite is the resulting version of 98360
the section in effect prior to the effective date of the section 98361
as presented in this act.98362

       Section 222.  The version of section 2743.191 of the Revised 98363
Code that is scheduled to take effect January 1, 2004, is 98364
presented in this act as a composite of the section as amended by 98365
both Sub. H.B. 427 and Am. Sub. S.B. 123 of the 124th General 98366
Assembly. The General Assembly, applying the principle stated in 98367
division (B) of section 1.52 of the Revised Code that amendments 98368
are to be harmonized if reasonably capable of simultaneous 98369
operation, finds that the composite is the resulting version of 98370
the section in effect prior to the effective date of the section 98371
as presented in this act.98372

       Section 223.  Section 2917.41 of the Revised Code is 98373
presented in this act as a composite of the section as amended by 98374
both Am. H.B. 61 and Am. Sub. S.B. 2 of the 121st General 98375
Assembly. The General Assembly, applying the principle stated in 98376
division (B) of section 1.52 of the Revised Code that amendments 98377
are to be harmonized if reasonably capable of simultaneous 98378
operation, finds that the composite is the resulting version of 98379
the section in effect prior to the effective date of the section 98380
as presented in this act.98381

       Section 224.  Section 3309.341 of the Revised Code is 98382
presented in this act as a composite of the section as amended by 98383
both Sub. H.B. 535 and Sub. S.B. 270 of the 123rd General 98384
Assembly. The General Assembly, applying the principle stated in 98385
division (B) of section 1.52 of the Revised Code that amendments 98386
are to be harmonized if reasonably capable of simultaneous 98387
operation, finds that the composite is the resulting version of 98388
the section in effect prior to the effective date of the section 98389
as presented in this act.98390

       Section 225.  Section 3314.03 of the Revised Code is 98391
presented in this act as a composite of the section as amended by 98392
both Sub. H.B. 248 and Sub. H.B. 364 of the 124th General 98393
Assembly. The General Assembly, applying the principle stated in 98394
division (B) of section 1.52 of the Revised Code that amendments 98395
are to be harmonized if reasonably capable of simultaneous 98396
operation, finds that the composite is the resulting version of 98397
the section in effect prior to the effective date of the section 98398
as presented in this act.98399

       Section 226.  Section 3317.012 of the Revised Code is 98400
presented in this act as a composite of the section as amended by 98401
both Am. Sub. H.B. 94 and Am. Sub. S.B. 1 of the 124th General 98402
Assembly. The General Assembly, applying the principle stated in 98403
division (B) of section 1.52 of the Revised Code that amendments 98404
are to be harmonized if reasonably capable of simultaneous 98405
operation, finds that the composite is the resulting version of 98406
the section in effect prior to the effective date of the section 98407
as presented in this act.98408

       Section 227.  Section 3319.07 of the Revised Code is 98409
presented in this act as a composite of the section as amended by 98410
both Am. Sub. H.B. 117 and Am. Sub. H.B. 223 of the 121st General 98411
Assembly. The General Assembly, applying the principle stated in 98412
division (B) of section 1.52 of the Revised Code that amendments 98413
are to be harmonized if reasonably capable of simultaneous 98414
operation, finds that the composite is the resulting version of 98415
the section in effect prior to the effective date of the section 98416
as presented in this act.98417

       Section 228.  Section 3319.36 of the Revised Code is 98418
presented in this act as a composite of the section as amended by 98419
both Sub. H.B. 81 and Am. Sub. S.B. 230 of the 121st General 98420
Assembly. The General Assembly, applying the principle stated in 98421
division (B) of section 1.52 of the Revised Code that amendments 98422
are to be harmonized if reasonably capable of simultaneous 98423
operation, finds that the composite is the resulting version of 98424
the section in effect prior to the effective date of the section 98425
as presented in this act.98426

       Section 229.  Section 4303.181 of the Revised Code is 98427
presented in this act as a composite of the section as amended by 98428
both Sub. H.B. 330 and Sub. H.B. 371 of the 124th General 98429
Assembly. The General Assembly, applying the principle stated in 98430
division (B) of section 1.52 of the Revised Code that amendments 98431
are to be harmonized if reasonably capable of simultaneous 98432
operation, finds that the composite is the resulting version of 98433
the section in effect prior to the effective date of the section 98434
as presented in this act.98435

       Section 230.  Section 4723.07 of the Revised Code is98436
presented in this act as a composite of the section as amended by98437
both Sub. H.B. 511 and Am. Sub. S.B. 180 of the 123rd General98438
Assembly. The General Assembly, applying the principle stated in98439
division (B) of section 1.52 of the Revised Code that amendments98440
are to be harmonized if reasonably capable of simultaneous98441
operation, finds that the composite is the resulting version of98442
the section in effect prior to the effective date of the section98443
as presented in this act.98444

       Section 231. * Section 4973.17 of the Revised Code is 98445
presented in this act as a composite of the section as amended by 98446
both Am. Sub. H.B. 566 and Sub. H.B. 670 of the 121st General 98447
Assembly. The General Assembly, applying the principle stated in 98448
division (B) of section 1.52 of the Revised Code that amendments 98449
are to be harmonized if reasonably capable of simultaneous 98450
operation, finds that the composite is the resulting version of 98451
the section in effect prior to the effective date of the section 98452
as presented in this act.98453

       Section 232.  Section 5111.20 of the Revised Code is 98454
presented in this act as a composite of the section as amended by 98455
both Sub. H.B. 403 and Sub. H.B. 448 of the 123rd General 98456
Assembly. The General Assembly, applying the principle stated in 98457
division (B) of section 1.52 of the Revised Code that amendments 98458
are to be harmonized if reasonably capable of simultaneous 98459
operation, finds that the composite is the resulting version of 98460
the section in effect prior to the effective date of the section 98461
as presented in this act.98462

       Section 233. Section 5115.01 of the Revised Code is presented98463
in this act as a composite of the section as amended by both Am.98464
Sub. H.B. 283 and H.B. 471 of the 123rd General Assembly. The 98465
General Assembly, applying the principle stated in division (B) of 98466
section 1.52 of the Revised Code that amendments are to be 98467
harmonized if reasonably capable of simultaneous operation, finds 98468
that the composite is the resulting version of the section in 98469
effect prior to the effective date of the section as presented in 98470
this act.98471

       Section 234. * Section 5709.62 of the Revised Code is 98472
presented in this act as a composite of the section as amended by 98473
both Am. Sub. H.B. 283 and Sub. H.B. 27 of the 123rd General 98474
Assembly. The General Assembly, applying the principle stated in 98475
division (B) of section 1.52 of the Revised Code that amendments 98476
are to be harmonized if reasonably capable of simultaneous 98477
operation, finds that the composite is the resulting version of 98478
the section in effect prior to the effective date of the section 98479
as presented in this act.98480

       Section 235. * Section 5709.63 of the Revised Code is 98481
presented in this act as a composite of the section as amended by 98482
both Am. Sub. H.B. 283 and Sub. H.B. 27 of the 123rd General 98483
Assembly. The General Assembly, applying the principle stated in 98484
division (B) of section 1.52 of the Revised Code that amendments 98485
are to be harmonized if reasonably capable of simultaneous 98486
operation, finds that the composite is the resulting version of 98487
the section in effect prior to the effective date of the section 98488
as presented in this act.98489

       Section 236.  Section 5733.04 of the Revised Code is 98490
presented in this act as a composite of the section as amended by 98491
both Sub. S.B. 200 and Am. Sub. S.B. 261 of the 124th General 98492
Assembly. The General Assembly, applying the principle stated in 98493
division (B) of section 1.52 of the Revised Code that amendments 98494
are to be harmonized if reasonably capable of simultaneous 98495
operation, finds that the composite is the resulting version of 98496
the section in effect prior to the effective date of the section 98497
as presented in this act.98498

       Section 237.  Section 5735.05 of the Revised Code is 98499
presented in this act as a composite of the section as amended by 98500
both H.B. 612 and Am. Sub. H.B. 640 of the 123rd General Assembly. 98501
The General Assembly, applying the principle stated in division 98502
(B) of section 1.52 of the Revised Code that amendments are to be 98503
harmonized if reasonably capable of simultaneous operation, finds 98504
that the composite is the resulting version of the section in 98505
effect prior to the effective date of the section as presented in 98506
this act.98507

       Section 238. Section 5739.01 of the Revised Code was amended 98508
by Am. Sub. H.B. 524, Am. Sub. S.B. 143, and Sub. S.B. 200, all of98509
the 124th General Assembly. Comparison of these amendments in 98510
pursuance of section 1.52 of the Revised Code discloses that while 98511
certain of the amendments of these acts are reconcilable, certain 98512
other of the amendments are substantively irreconcilable. Am. Sub. 98513
H.B. 524 was passed on March 21, 2002; Am. Sub. S.B. 143 was 98514
passed on January 30, 2002; Sub. S.B. 200 was passed on March 13, 98515
2002. Section 5739.01 of the Revised Code is therefore presented 98516
in this act as it results from Am. Sub. H.B. 524 and Sub. S.B. 200 98517
and such of the amendments of Am. Sub. S.B. 143 as are not in 98518
conflict with the amendments of Sub. S.B. 200. The General 98519
Assembly, applying the principle stated in division (B) of section 98520
1.52 of the Revised Code that amendments are to be harmonized if 98521
reasonably capable of simultaneous operation, finds that the 98522
composite is the resulting version of the section in effect prior 98523
to the effective date of the section as presented in this act.98524

       Section 239.  Section 5741.01 of the Revised Code is98525
presented in this act as a composite of the section as amended by98526
Am. Sub. H.B. 524, Am. Sub. S.B. 143, and Sub. S.B. 200, all of98527
the 124th General Assembly. The General Assembly, applying the98528
principle stated in division (B) of section 1.52 of the Revised98529
Code that amendments are to be harmonized if reasonably capable of98530
simultaneous operation, finds that the composite is the resulting98531
version of the section in effect prior to the effective date of98532
the section as presented in this act.98533

       Section 240.  Section 5743.45 of the Revised Code is 98534
presented Section 1 of in this act as a composite of the section 98535
as amended by both Am. Sub. H.B. 566 and Sub. H.B. 670 of the 98536
121st General Assembly. The General Assembly, applying the98537
principle stated in division (B) of section 1.52 of the Revised98538
Code that amendments are to be harmonized if reasonably capable of98539
simultaneous operation, finds that the composite is the resulting98540
version of the section in effect prior to the effective date of98541
the section as presented in this act.98542

       Section 241.  Section 5747.01 of the Revised Code is 98543
presented in this act as a composite of the section as amended by 98544
both H.B. 675 and Am. Sub. S.B. 266 of the 124th General Assembly. 98545
The General Assembly, applying the principle stated in division 98546
(B) of section 1.52 of the Revised Code that amendments are to be 98547
harmonized if reasonably capable of simultaneous operation, finds 98548
that the composite is the resulting version of the section in 98549
effect prior to the effective date of the section as presented in 98550
this act.98551

       Section 242. If any item of law that constitutes the whole or 98552
part of a codified or uncodified section of law contained in this 98553
act, or if any application of any item of law that constitutes the 98554
whole or part of a codified or uncodified section of law contained 98555
in this act, is held invalid, the invalidity does not affect other 98556
items of law or applications of items of law that can be given 98557
effect without the invalid item of law or application. To this 98558
end, the items of law of which the codified and uncodified 98559
sections contained in this act are composed, and their 98560
applications, are independent and severable.98561